Bayut’s Dubai Sales Market Report for H1 2023

• Top Neighbourhoods in Dubai
• Affordable Apartments
• Luxury Apartments
• Affordable Villas
• Luxury Villas
• Top Off-Plan Projects

As we wrap up the first half of 2023, it’s time to analyse how Dubai property prices for the sale of apartments and villas fared in the the most-searched for districts of the emirate. As the real estate market in Dubai continues to grow, Bayut’s H1 2023 Dubai sales market report takes a look at the significant property price trends observed on the portal throughout the first six months of this year.

In this Bayut sales property market report we compare and analyse the property sales prices in Dubai from H1 2023 to those recorded in H2 2022.

A look at the data confirms that the property prices in Dubai for the sale of villas and apartments, in both the luxury and affordable segments, have recorded an upward momentum throughout H1 2023. Overall consumer search trends as observed on Bayut show:

• The average sale price-per-square foot for affordable properties in Dubai recorded upticks of between 1% and 11%.

• In the luxury segment Dubai, prices increased by up to 17% during H1 2023.

We have segregated popular areas for buying apartments and villas into ‘Affordable’ and ‘Luxury’ to offer a more tailored view of the Dubai real estate market in H1 2023.

TOP AREAS IN DUBAI ACCORDING TO TRENDS ON BAYUT

The demand for properties from investors located overseas and within the country continues to thrive amidst ‘Brand Dubai’ being a sustained catalyst for the growing real estate market in Dubai. With global inflation on the rise and socio-economic conditions around the globe still unstable, Dubai’s stability and investor-friendly policies ensure a haven for investors. It is no surprise that the continuing stream of steady demand has led to prices for properties in Dubai to rise in the prominent districts of the city.

Based on the data gathered for Bayut’s annual Dubai sales real estate market report for H1 2023, potential buyers mainly searched for properties in:

• Dubai Marina
• Jumeirah Village Circle (JVC)
• Downtown Dubai
• Business Bay
• DAMAC Hills 2

According to the Dubai Land Department, there were a total of 60,927 residential property sales transactions (ready and off-plan) worth AED 179.3B recorded during H1 2023. Using the Dubai Transactions feature on Bayut, here’s how the most popular areas contributed to these numbers.

AREA	SALES VOLUME	SALES VALUE
AREA Jumeirah Village Circle	SALES VOLUME 6,603	SALES VALUE AED 6.5B
AREA Business Bay	SALES VOLUME 4,559	SALES VALUE AED 10.2B
AREA Dubai Marina	SALES VOLUME 3,521	SALES VALUE AED 11B
AREA Downtown Dubai	SALES VOLUME 2,444	SALES VALUE AED 10.1B
AREA DAMAC Hills 2	SALES VOLUME 733	SALES VALUE AED 768.2M

*The data shown in the table above has been sourced directly from the DLD. The areas in the table have been selected based on the overall search volume observed on Bayut.

Let’s now look at the detailed Dubai real estate sales market report for H1 2023, compiled using the search trends and advertised prices observed on Bayut.

For an accurate representation of Dubai property prices, our H1 2023 sales market report compares the average price-per-square-foot for an area. Please note that these prices are subject to change based on multiple factors including amenities available, the developer involved in the project, location and other key factors.

JUMEIRAH VILLAGE CIRCLE HAS REMAINED THE MOST POPULAR AREA TO BUY AFFORDABLE APARTMENTS IN DUBAI

AVERAGE SALES PRICES FOR AFFORDABLE APARTMENTS: BAYUT ANNUAL DUBAI REAL ESTATE SALES MARKET REPORT H1 2023

POPULAR AREAS	ROI	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022	STUDIO	1-BED	2-BED
Jumeirah Village Circle	ROI 8.40%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 974 4.96%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 650,986 -2.17%	STUDIO 488,000	1-BED 759,000	2-BED 1,144,000
Jumeirah Lake Towers	ROI 8.75%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 1,118 6.88%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 1,134,054 -0.97%	STUDIO 632,000	1-BED 993,000	2-BED 1,525,000
Dubai Silicon Oasis	ROI 9.03%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 648 1.26%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 481,632 -1.33%	STUDIO 338,000	1-BED 473,000	2-BED 794,000
Dubai Sports City	ROI 9.04%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 697 5.12%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 504,578 5.93%	STUDIO 362,000	1-BED 547,000	2-BED 818,000
International City	ROI 8.60%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 521 5.78%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 358,465 -5.74%	STUDIO 263,000	1-BED 363,000	2-BED 780,000

Based on the property search and price trends in Dubai observed on Bayut during H1 2023, Jumeirah Village Circle (JVC) continued to be the most-searched-for neighbourhood for reasonably-priced apartments:

• The average price-per-square-foot for apartments for sale in JVC recorded increases of 4.96% to stand at AED 974 in H1 2023.

• The DLD valued the average transaction price for apartment sale in Jumeirah Village Circle at AED 651k, following a decrease of 2.17%.

• On average, studios for sale in JVC were priced at AED 488k, whereas buyers paid around AED 759k for 1-bed flats and AED 1.14M for 2-bed units.

Potential investors looking for budget-friendly apartments also gravitated towards Jumeirah Lake Towers:

• Flats in Jumeirah Lake Towers recorded an average sales price-per-square-foot of AED 1,118 in H1 2023, following an increase of 6.88%.

• The DLD reported an average sales transaction value of AED 1.13M for flats in JLT, recording a decrease of 0.97% from H2 2022.

• On average, investors paid AED 632k for a studio in Jumeirah Lake Towers. The 1-bed and 2-bed flats were priced at AED 993k and AED 1.53M on average, respectively.

Based on the data collected for Bayut’s Dubai real estate market report, small ticket investors also showed interest in:

• Dubai Silicon Oasis
• Dubai Sports City
• International City

The average sales price-per-square-foot for flats in these districts recorded upticks of between 1% and 6%.

DUBAI SPORTS CITY OFFERS THE HIGHEST ROI FOR AFFORDABLE APARTMENTS IN DUBAI

According to the data collected for our Dubai sales real estate market report H1 2023, these areas offer high yields for reasonably-priced apartments:

• Dubai Sports City, offering average rental returns of 9.04%, was the most appealing option for investors in search of budget flats.

• The affordable flats in Dubai Silicon Oasis offered impressive ROIs of 9.03%.

• The buy-to-let flats in Jumeirah Lake Towers offered projected rental returns of 8.75%.

DUBAI MARINA HOLDS INVESTOR INTEREST FOR LUXURY APARTMENTS IN H1 2023

DUBAI PROPERTY PRICES FOR LUXURY APARTMENTS FOR SALE: H1 2023 BAYUT DUBAI PROPERTY SALES MARKET REPORT

POPULAR AREAS	ROI	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022	1-BED	2-BED	3-BED
Dubai Marina	ROI 7.25%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 1,679 5.61%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 1,855,613 15.8%	1-BED 1,428,000	2-BED 2,302,000	3-BED 3,740,000
Downtown Dubai	ROI 6.52%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 2,576 5.70%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 2,514,381 9.19%	1-BED 1,866,000	2-BED 3,616,000	3-BED 6,284,000
Business Bay	ROI 6.69%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 1,712 10.0%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 1,500,395 6.44%	1-BED 1,341,000	2-BED 2,255,000	3-BED 3,282,000
Palm Jumeirah	ROI 6.00%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 2,511 12.7%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 4,508,885 19.4%	1-BED 2,803,000	2-BED 4,211,000	3-BED 5,576,000
Jumeirah Beach Residence (JBR)	ROI 6.47%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 1,891 5.09%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 2,711,993 4.91%	1-BED 2,060,000	2-BED 3,009,000	3-BED 3,157,000

Bayut’s Dubai real estate sales market report for H1 2023 shows that Dubai Marina remained the top choice for luxury apartments sales:

• Apartments for sale in Dubai Marina experienced a 5.61% uptick in price-per-square-foot, to average at AED 1,679.

• The DLD data shows that the sales transaction value in Dubai Marina increased to an average of AED 1.86M, which represents a 15.8% increase from H2 2022.

• On average, property buyers paid AED 1.43M to buy 1-bed, AED 2.30M for 2-bed and AED 3.74M for 3-bed flats in Dubai Marina.

Potential buyers also showed an inclination towards the luxury apartments in Downtown Dubai:

• The sales price-per-square-foot for flats in Downtown Dubai recorded an uptick of 5.70%, averaging at AED 2,576 in H1 2023.

• As per the DLD data, the value of the average apartment sales transactions in Downtown Dubai increased by 9.19%, to stand at AED 2.51M during H1 2023.

• Flats for sale in Downtown Dubai were priced at AED 1.87M for 1-bed, AED 3.62M for 2-bed and AED 6.28M for 3-bed units.

According to our Dubai sales property market report H1 2023, other areas that potential buyers considered for luxury flats in Dubai include:

• Business Bay
• Palm Jumeirah
• Jumeirah Beach Residence (JBR)

The property sale price trends in Dubai observed on Bayut reveal that these neighbourhoods experienced upticks of between 5% and 13% in the average price-per-square-foot for expensive apartments. Most of these price hikes can be attributed to the high demand for properties in these districts.

DUBAI MARINA YIELDS THE BEST ROI FOR LUXURY APARTMENTS IN DUBAI

Based on the trends observed for Dubai sales market report H1 2023, the luxury apartments for sale in Dubai‘s following districts yielded the healthiest returns:

• Dubai Marina offered the highest ROI of 7.25% for luxury apartments in H1 2023.

• Expensive apartments in Business Bay generated projected rental yields of 6.69%.

• Buy-to-let flats in Downtown Dubai offered ROIs averaging at 6.52%.

The projected ROIs for apartments in Dubai may vary depending on the location of the building, its developer and the amenities offered.

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DAMAC HILLS 2 RANKS AS THE MOST POPULAR CHOICE FOR BUYING AFFORDABLE VILLAS IN DUBAI

AVERAGE PROPERTY PRICES IN DUBAI TO BUY AFFORDABLE HOUSES: BAYUT DUBAI ANNUAL SALES MARKET REPORT H1 2023

POPULAR AREAS	ROI	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022	3-BED	4-BED	5-BED
DAMAC Hills 2	ROI 6.51%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 684 6.25%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 1,240,027 N/A	3-BED 1,219,000	4-BED 1,655,000	5-BED 1,841,000
Jumeirah Village Circle	ROI 7.98%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 714 6.43%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 2,168,333 7.72%	3-BED 2,149,000	4-BED 2,484,000	5-BED 2,555,000
Al Furjan	ROI 6.73%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 972 5.47%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 3,059,839 8.42%	3-BED 2,638,000	4-BED 3,366,000	5-BED 5,161,000
The Springs	ROI 6.11%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 1,379 11.0%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 3,339,538 13.1%	3-BED 3,604,000	4-BED N/A	5-BED N/A
Reem	ROI 7.04%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 912 6.13%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 2,225,276 3.78%	3-BED 2,242,000	4-BED 2,693,000	5-BED 3,500,000

According to the data collected for Bayut’s H1 2023 Dubai sales market report, DAMAC Hills 2 remained the top choice for affordable villas in Dubai: 

• Recording an uptick of 6.25%, the average price-per-square-foot for houses in DAMAC Hills 2 stood at AED 684 in H1 2023.

• As per the DLD, the average transaction value for sale of villas in DAMAC Hills 2 stood at AED 1.24M.

• To buy a 3-bed villa in DAMAC Hills 2, tenants paid an average of AED 1.22M. The the 4-bed and 5-bed villas were priced at AED 1.66M and AED 1.84M on average, respectively.

The affordable villas in Jumeirah Village Circle also attracted small-ticket investors:

• Villas for sale in Jumeirah Village Circle recorded an increase of 6.43% in average price-per-square-foot, standing at AED 714 in H1 2023.

• As per the DLD, the average sales transaction in JVC averaged at AED 2.17M, following an increase of 7.72%.

• The prices for homes for JVC averaged at AED 2.15M for 3-bed, AED 2.48M for 4-bed and AED 2.56M for 5-bed units.

Investors on a tighter budget also focused their interest on the reasonably-priced villas in:

• Al Furjan
• The Springs
• Reem

The average price-per-square-foot for sale of villas in these neighbourhoods increased from between 5% and 11%.

JUMEIRAH VILLAGE CIRCLE YIELDS THE BEST RENTAL RETURNS IN DUBAI FOR AFFORDABLE VILLAS

In the affordable segment, villas for sale in the following areas of Dubai offered the healthiest returns in H1 2023:

• The buy-to-let villas in Jumeirah Village Circle recorded the highest rental yields of 7.98% in H1 2023.

• The affordable villas in Reem also recorded impressive rental returns of 7.04%.

• The projected rental yields for houses in Al Furjan averaged at 6.73% in H1 2023.

ARABIAN RANCHES HOLDS THE TOP SPOT FOR BUYING LUXURY HOMES IN DUBAI

REAL ESTATE PRICES IN DUBAI FOR LUXURY VILLAS IN POPULAR NEIGHBOURHOODS: BAYUT DUBAI ANNUAL SALES MARKET REPORT H1 2023

POPULAR AREAS	ROI	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022	4-BED	5-BED	6-BED
Arabian Ranches	ROI 5.71%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 1,316 2.81%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 5,616,642 17.6%	4-BED 5,717,000	5-BED 7,714,000	6-BED 13,962,000
Dubai Hills Estate	ROI 5.72%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 1,833 11.9%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 6,976,699 14.0%	4-BED 5,313,000	5-BED 9,643,000	6-BED 27,808,000
DAMAC Hills	ROI 7.28%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 1,233 6.17%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 4,154,348 -0.47%	4-BED 3,572,000	5-BED 7,045,000	6-BED 13,632,000
Palm Jumeirah	ROI 3.97%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 4,552 16.4%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 30,446,406 13.6%	4-BED 24,817,000	5-BED 33,041,000	6-BED 54,266,000
Jumeirah Park	ROI 5.71%	PRICE PER SQ.FT Avg. Price/sq.ftChange from H2 2022 1,300 5.50%	TRANSACTION PRICE Avg. Transaction PriceChange from H2 2022 5,059,806 6.16%	4-BED 5,893,000	5-BED 8,252,000	6-BED 13,313,000

For luxury villas in Dubai, investors were most inclined towards Arabian Ranches during H1 2023:

• The sales price-per-square-foot for houses in Arabian Ranches increased by 2.81%, to average at AED 1,316.

• An increase of 17.6% was also reported by the DLD in the area’s average transaction value for the sale of villas, which stood at AED 5.62M.

• To buy villas in Arabian Ranches, buyers paid an average of AED 5.72M for 4-bed houses, AED 7.71M for 5-bed villas and AED 13.9M for 6-bed units.

Dubai Hills Estate was also preferred by investors in search of luxury villas for sale in Dubai:

• Villa properties in Dubai Hills Estate experienced an uptick of 11.9% in average price-per-square-foot, which stood at AED 1,833 in H1 2023.

• The average transaction value for sale of villas in Dubai Hills Estate increased by 14%, to average at AED 6.98M, as per the DLD.

• The sales price for houses in Dubai Hills Estate averaged at AED 5.31M for 4-bed units, AED 9.64M for 5-bed and AED 27.8M for 6-bed units.

Prospective buyers for luxury villas in Dubai also considered properties in:

•  DAMAC Hills
• Palm Jumeirah
• Jumeirah Park

The average price-per-square-foot in these districts experienced upticks of between 5% and 17%. The most noticeable movement in prices were recorded in Palm Jumeirah, which can likely be attributed to increased demand in the area.

DAMAC HILLS OFFERS THE HEALTHIEST RETURN ON INVESTMENT IN DUBAI FOR LUXURY HOUSES

Based on the data collected for Dubai’s H1 2023 sales market report, these neighbourhoods offered the highest rental yields for expensive villas:

• The houses in DAMAC Hills generated average rental returns of 7.28% in H1 2023.

• Villas in Dubai Hills Estate, with their projected rental yields of 5.72% also made good investment options in luxury segment.

• Houses in Arabian Ranches and Jumeirah Park offered average ROIs of 5.71% in H1 2023.

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POPULAR AREAS FOR OFF-PLAN PROPERTIES IN DUBAI

This section of the H1 2023 Bayut sales property market report reveals the most searched-for districts for off-plan villas and apartments.

TOP PROJECTS FOR OFF-PLAN APARTMENTS IN DUBAI

PROJECT	AREA	CATEGORY
PROJECT District 10	AREA Jumeirah Village Circle	CATEGORY Affordable
PROJECT Beverly Boulevard	AREA Arjan	CATEGORY Affordable
PROJECT Equiti Residence	AREA Al Furjan	CATEGORY Affordable
PROJECT Emaar Beachfront	AREA Dubai Harbour	CATEGORY Luxury
PROJECT Forte	AREA Downtown Dubai	CATEGORY Luxury
PROJECT Aykon City	AREA Business Bay	CATEGORY Luxury

During Hi 2023, property buyers in search of affordable off-plan apartments in Dubai were mostly attracted to suburban options:

• Based on the data collected for Bayut’s Dubai sales property market report H1 2023, District 10 in JVC was the most appealing option for budget off-plan apartments in Dubai.

• Investors also gravitated towards Beverly Boulevard in Arjan and Equiti Residence in Al Furjan for affordable off-plan flats in Dubai.

Investors looking for luxury off-plan apartments showed greater inclination towards centrally-located districts:

• Emaar Beachfront in Dubai Harbour emerged as the top choice for prospective investors interested in luxury off-plan flats.

• Forte in Downtown Dubai and Aykon City in Business Bay also appealed to those looking for expensive off-plan apartments.

TOP PROJECTS FOR OFF-PLAN VILLAS IN DUBAI

PROJECT	AREA	CATEGORY
PROJECT Villanova	AREA Dubailand	CATEGORY Affordable
PROJECT Murooj Al Furjan	AREA Al Furjan	CATEGORY Affordable
PROJECT Emaar South	AREA Dubai South	CATEGORY Affordable
PROJECT Alaya	AREA Tilal Al Ghaf	CATEGORY Luxury
PROJECT Cavalli Estates	AREA DAMAC Hills	CATEGORY Luxury
PROJECT District One	AREA Mohammed Bin Rashid City	CATEGORY Luxury

As per the data accumulated for Bayut’s Dubai annual sales market report H1 2023, potential investors looking for affordable off-plan villas were most inclined towards suburban properties:

• The reasonably-priced off-plan houses in Villanova, Dubailand emerged as the top choice for among investors in H1 2023.

• Murooj Al Furjan in Al Furjan and Emaar South in Dubai South also appealed to buyers interested in budget-friendly off-plan villas.

Investors interested in luxury off-plan villas in Dubai mostly gravitated towards master-planned communities:

• Alaya in Tilal Al Ghaf Dubai garnered the highest investor interest for upscale off-plan villas in Dubai.

• Cavalli Estates in DAMAC Hills and District One in Mohammed Bin Rashid City also attracted investors for luxury off-plan villas in Dubai.

Commenting on the findings, Haider Ali Khan, the CEO of Bayut and the Head of Dubizzle Group MENA said:

“Six months in, and we’re enjoying fabulous results. Prices are at a record high, traffic is steadily rising and transactions are also increasing month on month. A simple search of our new and improved Dubai Transactions tells you that the volume of sales transactions has gone up nearly 12% and value has increased by almost 20%. There is a lot of positive movement of wealth into the UAE as evidenced by the much talked about millionaire migration. Multiple reports have also confirmed that HNWIs from various parts of the world have earmarked a substantial budget towards property investments in the UAE.

We proactively launched our Chinese version in anticipation of this changing market dynamic and will follow it up with other innovations as well. We can also really see the supply vs demand dynamics playing out strongly in the rental market, with traditionally popular areas constantly being out-priced because of the supply crunch. The constant increase in rental prices has also prompted more people to take the plunge into homeownership, so the money they are allocating towards real estate ends up creating an asset in the long term. A strong focus on PropTech and transparency has also aided in creating a more positive outlook for the market overall, and we are excited to be a part of our city’s fantastic journey of growth.”

That wraps up Bayut’s H1 2023 Dubai Sales Market Report. For those interested in the prevalent rental trends in the market, our H1 2023 Dubai Rental Market Report contains all the essential insights.

Our H1 2023 real estate market reports for Abu Dhabi will be released later this week. So stay tuned to MyBayut.

Disclaimer: The above Dubai sales real estate market report (MKTRPTH12023) is based on prices for ready properties advertised by real estate agencies on behalf of their clients on Bayut.com (excluding room share), and is not representative of actual real estate transactions conducted in Dubai, unless specified as based on DLD data.