Unsupported browser

For a better experience please update your browser to its latest version.

Your browser appears to have cookies disabled. For the best experience of this website, please enable cookies in your browser

We'll assume we have your consent to use cookies, for example so you won't need to log in each time you visit our site.
Learn more

Dubai residential prices soar

  • Comment

The price of prime residential buildings in Dubai has soared by more than a fifth this year, according to research

Estate agents Knight Frank found that the growth of the sector in Dubai in 2013 was the quickest seen in any of the 10 cities it analysed over any of the past three years.

The emirate is expected to lead the world on housing growth again next year, with a further rise of up to 15 per cent despite attempts to cool the market.

The report said: ‘In the last quarter of 2013 Dubai has seen a doubling in the transfer fee to 4 per cent; mortgage caps for both expatriates and nationals; and a part state-owned developer banning real estate agents from selling off-plan property before completion.

‘All of this has come into play in order to ease residential price growth in the emirate, which so far this year has been running at a rate of 18-22 per cent year-on-year.’

Knight Frank said that although the crackdown was likely to hit transaction volumes and slow the rise in prices, Dubai would not be held down for long. The city was recently awarded Expo 2020, a decision expected to provide a further boost to the rapidly-growing economy.

‘We suspect that price growth will quicken again in the early part of 2014,’ said the report.

Beijing, Shanghai and Sydney all saw double-digit growth in prime residential prices this year, while London saw a smaller increase.

The prime residential markets in Paris and New York were flat in 2013, according to the report, while prices fell slightly in Singapore, Geneva and Hong Kong.

Woods Bagot regional executive chairman for Europe and the Middle East Jonathan French told AJ earlier this month that the latest wave of design work in Dubai was attractive to British practices.

‘Contract terms are becoming more acceptable, with limits on liability, and other elements that will lead to more international consultants working in Dubai,’ he said.

  • Comment

Have your say

You must sign in to make a comment

Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions.

Links may be included in your comments but HTML is not permitted.