Executive Newsletter – May 2023
The growth trajectory of the UAE real estate market remains to record a steady momentum during the first half of the year
In the month of May, the Dubai Land Department has recorded nearly 12,000 total property transactions, a significant increase of 76% in sales volume from May of last year. We have noticed a total sales value of over AED 34 billion, an increase of 90% compared to May 2022. This was considered the best-performing month of May on record, for both sales volume and value.
Dubai Sales Transactions in May 2023 went up by 46% compared to April 2023, and increased by 76% vs. May 2022.
Dubai Sales Value in May 2023 went up by 29% compared to April 2023, and increased by 87% vs. May 2022.
The residential property average price in May 2023 has increased by 6% compared to May-2023.
Dubai property average price per sq.ft. in May-23 has increased by 9% compared to May last year.
The average price per square foot is now up to AED 1.28K, which is the highest on record for the month of May.
On the mortgage side, we have witnessed a surge in mortgage transactions, with a 71% increase in the number of transactions compared to May 2022.
On the mortgage side, we have witnessed a surge in mortgage transactions, with a 71% increase in the number of transactions compared to May 2022. The value of these transactions was AED 10.6 billion, an increase of more than 43% compared to May 2022.
The top performing areas by demand were Dubai Marina, Jumeirah Village Circle, Business Bay, Downtown Dubai and Al Barsha South Third.
In Abu Dhabi, the sales volume in Q1 of 2023 has slightly increased by 2% compared to Q4 2022. The sales value has increased by 68% Q1-23 vs Q4-22.
Sharjah’s real estate transactions touched 21,486 with a total value of AED 5.9 billion, as the Sharjah Real Estate Registration Department (SRERD) reported. The Sales Price Index increased by 11.40% y-o-y. Rental Price Index increased by 4.95 % y-o-y.
The Department of Land and Real Estate Regulation in Ajman recorded 1,000 real estate transactions during May 2023 with a total value of AED 1.9 Billion while the trading volume reached AED 649 million, realizing remarkable growth of 133% compared to the same period in 2022. There were 779 trading transactions, with a total value of AED 1.36 billion. The highest sales value was recorded in Al Ameera area, with a value of AED 380 million. On the mortgage side, the department has recorded 156 mortgage transactions with a total of AED 395 million. Ajman Sales Price Index increased by 3.42% y-o-y while Rental Price Index increased by 0.21% y-o-y.
In Ras Al Khaimah, the Sales Price Index increased by 21.37% y-o-y, Rental Price Index increased by 4.0% y-o-y.
With strong demands and investment opportunities, we envision that the UAE real estate market will continue its performance trajectory throughout the year.
