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The Dubai real estate market reached unprecedented levels in May 2024, recording historic highs in transaction volume and value. According to the latest report from Property Finder, the month saw a total of 17,713 transactions, up 53% compared to May 2023, with transaction values also increasing by 38% to 46.5 billion dirhams.

Cherif Sleiman, Chief Revenue Officer at Property Finder, remarked, "May 2024 once again demonstrates the robust growth of the UAE's real estate market. The volume and value of transactions this month not only significantly surpassed the previous year's figures but also exceeded pre-pandemic levels." Transaction volumes in May increased by 10% compared to the peak in March 2024 and by 30% compared to December 2023.

In terms of the rental market, the report highlights that 78% of tenants prefer apartments, while the remaining 22% consider villas or townhouses. Among those opting for apartments, 58% prefer furnished properties, whereas 40% opt for unfurnished units. For villas and townhouses, about 57% of tenants seek unfurnished units, while 42% prefer furnished properties.

When searching for apartments, 35% of tenants prefer one-bedroom units, 33% prefer two-bedroom units, and 19% opt for studio apartments. Among those looking for villas or townhouses, 43% seek three-bedroom units, while 38% are interested in four-bedroom units or larger.

Popular areas for renting apartments include Dubai Marina, Jumeirah Village Circle, Downtown Dubai, Business Bay, and Jumeirah Lakes Towers. For villas or townhouses, Jumeirah, Dubai Hills Estate, Damac Hills 2, Umm Suqeim, and Al Barsha are the preferred regions.

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The off-plan real estate market also showed strong performance, setting new highs in transaction volume and value, reaching 11,107 transactions. Sleiman noted, "The growth in off-plan investments indicates strong long-term demand for community living and high return potential. Several new projects are in the pipeline, catering to diverse price ranges and ensuring community diversity."

Compared to the previous peak in April 2009, transaction volumes in the off-plan market increased by 13%, underscoring a positive trend in long-term investments. The transaction value in the off-plan market stood at approximately 22.7 billion dirhams, surpassing the previous peak in September 2023 by 25%.

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The existing market also continued to support Dubai's real estate sector, with transaction volumes rising by approximately 8.8% year-on-year, totaling 6,606 transactions. These transactions recorded a significant 21% increase in value compared to May 2023, amounting to about 23.8 billion dirhams, up from 19.7 billion dirhams.

In terms of ownership preferences, 59% of buyers prefer purchasing apartments, while 41% lean towards villas or townhouses. Among investors, 32% opt for one-bedroom units, 36% prefer two-bedroom units, and 14% choose studios. For villas and townhouses, 40% of buyers seek three-bedroom units, while 46% are interested in four-bedroom units or larger.

Popular areas for purchasing apartments include Dubai Marina, Downtown Dubai, Jumeirah Village Circle, Business Bay, and Jumeirah Palm Island. For villas or townhouses, Dubai Hills Estate, Dubai South (Dubai World Central), Al Furjan, Arabian Ranches, and Jumeirah Palm Island are ideal regions.

The attractiveness of Dubai South continues to grow with the development of Al Maktoum International Airport, indicating increasing interest in mixed-use communities.

The report by Property Finder also underscores strong demand for luxury residences, particularly in projects centered around community living and high investment returns. With several new projects slated for launch, Dubai's real estate market is poised to continue thriving, catering to a wide range of homebuyers and investors.

The robust performance of the Dubai real estate market not only reflects steady economic growth but also reaffirms its status as a global investment hotspot. As infrastructure continues to improve and new projects emerge, Dubai's real estate market is expected to attract substantial investments in the coming months and years, offering numerous opportunities for homebuyers and investors alike.

Cherif Sleiman concluded, "We will continue to enhance the real estate search experience, collaborating closely with regulatory bodies and partners to provide essential information that helps people make informed decisions during the home buying process."