Currently, one of the most alluring and promising locations for buying property is the UAE. But as time goes on and the economy shifts, in addition to other elements like political stability, infrastructural growth, a rise in tourism, and increasing cost of real estate in Dubai, the property market is constantly evolving and providing new opportunities for overseas purchasers. This market is already gearing up for a lot of surprises and possibilities as 2024 draws near, and prospective investors have to analyze loads of data and take thoughtful action.
General overview of the upcoming property trends
There are a lot of changes expected in the real estate sector in the UAE in the upcoming year. First, rising demand from both locals and foreign buyers is driving up the cost of residential properties. Second, there is an increasing supply of new real estate, including shopping malls, hotels, office buildings, and apartment complexes. Thirdly, the development of new neighborhoods and districts draws the interest of investors due to a variety of infrastructure and close proximity to important sites. Fourthly, there is a lot of work being done on building residential complexes. Cutting-edge technologies and materials are being used, and current comfort and safety standards are being considered.
Generally speaking, the real estate market in the UAE keeps growing and presents fresh chances for foreign investors hoping to profit from their investments by purchasing attractive homes.
Real estate forecasts for the 2024
Sagacious investors know that absolute attention should be paid to the new trends in Dubai. The upcoming tendencies will shape the real estate sector in 2024.
Mismatch of sellers’ expectations and real market prices
In the Dubai property market, sellers often overestimate the value of their properties based on their own expectations, perceptions of the market and all time-high demand. This leads to the fact that the advertised selling prices can be significantly higher than the actual market values. As a result, many sellers face the problem of low liquidity of their properties and difficulties in selling them.
The real selling prices of properties sold in Dubai are determined through a bidding and negotiation process between the seller and the buyer. Real-time market data can track price movements and identify trends to help homeowners to manage their property effectively.
Thus, the discrepancy between sellers’ expectations and actual market prices is due to various factors, including pricing psychology, limited information about the market and its trends, and the impact of speculative sentiment on supply and demand.
High time to make money
The sector of real estate in the UAE has its own cycle of activity and decline. Buyers and sellers of property come and go from the market, and this process repeats itself at regular intervals. In November 2023, the 2014 record for the average price per square metre of property in Dubai was broken, indicating that the market is stabilising and gradually recovering from the COVID-19 pandemic.
For some investors and property owners, there may now be a good opportunity to earn capital gains, but the situation is somewhat different for end users of property. Rising rental values for residential properties in Dubai have led to an increase in the number of potential buyers, which has helped to boost demand for properties in the price range of AED 3 million and above. More than 70% of all property transactions in Dubai are in this price segment.
Implementation of AI
Usage of AI in property management will play an increasing role in property management, which will improve customer service and reduce operating costs.
- Analyzing the market with the help of AI. Artificial intelligence can be used to analyse large amounts of data about the real estate market and make predictions for the future. For example, you can predict demand for property in certain areas, assess business prospects and improve the efficiency of property management.
- Implementing automated building management systems (BMS). These systems can monitor and optimise the use of energy, water and other resources, reducing property maintenance costs.
- Implementing vertical reality. Foreign buyers can navigate and inspect the desired real estate without a personal visit to the UAE. It saves time and money.
- Implementing building information modelling (BIM). With its help potential buyers can see an accurate image of the final product before development even begins.
Off-plan objects are coming into play
In the first half of 2023, the number of green spaces increased, the number of projects under development surged, and the sales of completed properties increased, leading to a rapid diversification of the property market. In 2024, this diversity is anticipated to continue. A large number of the unanticipated initiatives that were initiated in prior years will be completed.
The following objects are expected to be on top in 2024:
- Villas and townhouses. These are gated, green communities with their own infrastructure. The maintenance costs for the infrastructure are also two to three times less than those of comparable apartment complexes.
- Exclusive objects. Swimming pool inside an apartment, branded furniture, private lagoon, exceptional service and other unique features make real estate distinctive and incredibly popular.
- Properties located in the prospective neighborhoods, such as Palm Jebel Ali, Maritime City, Dubai Islands, and others.
Increasing number of property buyers
Dubai is one of the fastest growing and most stable economic centres in the world, which attracts investors and buyers. For this reason, the number of property buyers in Dubai is expected to grow in 2024. To keep up with the recent trends, select the suitable property through Emirates.Estate. The source offers checked real estate in different locations of Dubai directly from developers. The constantly updated database helps to make a reasonable investment and gain the highest return.
The Dubai property market in 2024 will continue to develop and attract foreign buyers with its stability, growth and diversity of offerings. For this reason, prospective buyers need to analyze the present conditions and think about the future.