2020 report: Indians invested Dh8.1 billion in Dubai real estate in 2019
Dubai: The annual report published by the Dubai Land Department in November 2020 showed that Indians and Emiratis led the investment in real estate in 2019. While Indians were highest in terms of the number of individual investors, while Emiratis made the highest investment in terms of the amount, at Dh10.9 billion.
The report shows that Dubai real estate investments have grown from Dh221 billion in 2018 to Dh226 billion in 2019, a growth rate of 2.1 per cent. This growth rate is being attributed to a commensurate spike in real estate sales and mortgage transaction during the period.
Off-plan or ready properties
Data in 2019 showed a returning increase in off-plan or under construction investments (42 per cent) with transactions on completed properties coming down to 58 per cent. In 2018, off-plan investment was just 34 per cent, and the 2019 figures show, the report states, a rising investor confidence in the real estate sector in Dubai.
Freehold vs. non-freehold
Investment data shows that 93 per cent of real estate transactions were made in the freehold areas of the emirate, out of which most transactions were sales. In freehold areas, more than half of the investments were made on ready properties. In non-freehold areas, however, ready properties made up 96 per cent of the transactions.
Nationalities and investments
Indian investors led in terms of the number of individuals spending money in Dubai real estate [Dh8.1 billion] followed by Emiratis, who spent the highest [Dh10.9 billion], Saudis [Dh4.9 billion], investors from United Kingdom [Dh3.9 billion], and Chinese [Dh3.6 billion].
Age group of investors
The age group of 45-55 spent the highest amount of money in real estate investment at 16 billion, followed by investors aged 35-45 at 15 billion. The 25-35 age group made investments of more than 9,000 transactions at a value of about Dh11 billion.
The report stated that new projects registered in 2019 are expected to add 13,881 apartments when completed with an area of more than 1 million square meters, while 4,416 villas are expected to be added with more than 800,000 square meters when completed.
During the first quarter of 2020, the real estate sector grew by 3.66 per cent compared to the same period in 2019, which grew by 3.09 per cent despite the onset of the COVID-19 outbreak. The report added, ” This positive trend of growth rates for the real estate sector is expected to continue in 2020 and the coming years, underscoring its pivotal role in achieving Dubai’s economic leadership.”
Source: Gulfnews.com | Published: November 14, 2020 17:45 | Dona Cherian, Assistant Online Editor
For any inquiry, please drop us an email at Info@oneearthproperties.com or call us at +97143999055