Bayut’s Dubai Sales Market Report for Q1 2023
- Top Neighbourhoods in Dubai
- Affordable Apartments
- Luxury Apartments
- Affordable Villas
- Luxury Villas
- Top Off-Plan Projects
With the first quarter of the year wrapped up, we take a look at how Dubai property prices for the sale of villas and apartments fared in the emirate’s most popular residential areas. With the market continuing its upward momentum from the previous year, Bayut’s Q1 2023 Dubai Sales Market Report investigates the prominent property price trends recorded in the first three months of this year.
For this edition of the Bayut sales property market report, our data analysts have compared property sales prices in Dubai from Q1 2023 to those recorded in Q4 2022.
During the last three months, the Dubai property sector continued to grow. Property prices in Dubai for the sale of apartments and villas have recorded an upward trajectory in both the affordable and luxury segments of the real estate market. Overall, the consumer search trends observed on Bayut reveal:
- The average sale price-per-square foot for properties in the affordable segment increased by up to 12%.
- Prices for luxury properties in Dubai recorded upticks of up to 24% during Q1 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 Q1 2023.
TOP NEIGHBOURHOODS IN DUBAI ACCORDING TO TRENDS ON BAYUT
The real estate market in Dubai continues to see a steady demand for properties from investors within the country and abroad. The emirate’s economic stability and investor-friendly policies continue to be the driving factors behind the ongoing influx of foreign investment in the property sector. This unprecedented demand for apartments and villas for sale in Dubai has led landlords to increase prices upwards in the most popular districts of the city.
Based on the data gathered for our Dubai annual sales real estate market report for Q1 2023, potential buyers mainly searched for properties in:
- Dubai Marina
- Jumeirah Village Circle (JVC)
- DAMAC Hills 2
- Downtown Dubai
- Palm Jumeirah
According to the Dubai Land Department, there were a total of 30,767 sales transactions (ready and off-plan), worth AED 87.9 billion, recorded during Q1 2023. Using the Dubai Transactions feature on Bayut, here’s a look at how the most popular areas contributed to those figures.
AREA | SALES VOLUME | SALES VALUE |
|---|---|---|
AREA Jumeirah Village Circle | SALES VOLUME 3,404 | SALES VALUE AED 3.1B |
AREA Dubai Marina | SALES VOLUME 1,610 | SALES VALUE AED 4.9B |
AREA Downtown Dubai | SALES VOLUME 1,142 | SALES VALUE AED 4.7B |
AREA Palm Jumeirah | SALES VOLUME 772 | SALES VALUE AED 6.6B |
AREA DAMAC Hills 2 | SALES VOLUME 302 | SALES VALUE AED 307M |
*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.
We now take a look at the detailed Dubai real estate sales market report for Q1 2023, compiled using the search trends and advertised prices observed on Bayut.
For an accurate representation of Dubai property prices, our Q1 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 Q1 2023
POPULAR AREAS | ROI | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022 | TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022 | STUDIO | 1-BED | 2-BED |
|---|---|---|---|---|---|---|
| Jumeirah Village Circle | ROI 7.26% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| STUDIO
| 1-BED
| 2-BED
|
| Jumeirah Lake Towers | ROI 8.02% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| STUDIO
| 1-BED
| 2-BED
|
| Dubai Silicon Oasis | ROI 8.02% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| STUDIO
| 1-BED
| 2-BED
|
| International City | ROI 9.16% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| STUDIO
| 1-BED
| 2-BED
|
| The Greens | ROI 7.69% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| STUDIO
| 1-BED
| 2-BED
|
An analysis of the property search and price trends in Dubai for Q1 2023, revealed that Jumeirah Village Circle (JVC) remained the most-searched-for area for affordable apartments:
- The price-per-square-foot for flats for sale in JVC increased by 7.83% to average at AED 908 in Q1 2023.
- The average transaction price for the sale of apartments in Jumeirah Village Circle, as reported by the DLD, stands at AED 660k, following an increase of 6.81% from the previous quarter.
- To buy these affordable apartments, investors would need an average budget of AED 443k for studios, AED 707k for 1-bed and AED 1.07M for 2-bed units.
Investors interested in reasonably priced apartments also showed a considerable preference for Jumeirah Lake Towers:
- During Q1 2023, the average sales price-per-square-foot for flats in JLT was recorded at AED 1,013, after an 11% increase from Q4 2022.
- As per the DLD, the average sales transaction in JLT is valued at AED 1.19M, recording an increase of 8.95% from Q4 2022.
- On average, buying a studio in Jumeirah Lake Towers cost AED 546k. The prices for 1-bed and 2-bed flats averaged at AED 887k and AED 1.42M respectively.
As per the data collected for our Dubai real estate market report, investors on a tighter budget also showed interest in:
- Dubai Silicon Oasis
- International City
- The Greens
The average sales price-per-square-foot for apartments in these districts recorded increases of between 3% and 8%.
INTERNATIONAL CITY OFFERS THE HIGHEST ROI FOR AFFORDABLE APARTMENTS IN DUBAI
Based on the data reported in our Dubai sales real estate market report Q1 2023, these districts offer high yields for affordable apartments:
- International City, with projected rental returns of 9.16%, offered the highest ROI for budget flats.
- The affordable apartments in Dubai Silicon Oasis and Jumeirah Lake Towers offered impressive ROIs of 8.02%.
- The buy-to-let flats in The Greens recorded rental returns of 7.69%.
DUBAI MARINA HOLDS INVESTOR INTEREST FOR LUXURY APARTMENTS IN Q1 2023
DUBAI PROPERTY PRICES FOR LUXURY APARTMENTS FOR SALE: Q1 2023 BAYUT DUBAI PROPERTY SALES MARKET REPORT
POPULAR AREAS | ROI | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022 | TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022 | 1-BED | 2-BED | 3-BED |
|---|---|---|---|---|---|---|
| Dubai Marina | ROI 6.91% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| 1-BED
| 2-BED
| 3-BED
|
| Downtown Dubai | ROI 6.21% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| 1-BED
| 2-BED
| 3-BED
|
| Palm Jumeirah | ROI 5.73% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| 1-BED
| 2-BED
| 3-BED
|
| Business Bay | ROI 6.32% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| 1-BED
| 2-BED
| 3-BED
|
| Mohammed Bin Rashid City | ROI 5.80% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| 1-BED
| 2-BED
| 3-BED
|
Our Dubai real estate sales market report for Q1 2023 reveals that Dubai Marina continued to reign the market for luxury apartments sales:
- In Q1 2023, apartments for sale in Dubai Marina reported an average price-per-square-foot of AED 1,529, which represented a 12.5% increase from Q4 2022.
- As per the DLD, the value of average sales transactions in the area increased by 1.23% to stand at AED 1.58M in Q1 2023.
- Investors paid an average of AED 1.28M to buy 1-bed flats in Dubai Marina. The sales price for 2-bed and 3-bed apartments averaged at AED 2.04M and AED 3.39M, respectively.
Prospective investors also showed considerable interest in Downtown Dubai for buying luxury apartments:
- The average sales price-per-square-foot for apartments in Downtown Dubai increased by 15.4% to stand at AED 2,247 in Q1 2023.
- The DLD data shows that the average transaction value for apartment sales in Downtown Dubai increased by 8.19% to stand at AED 2.36M during the first quarter of 2023.
- To buy flats in Downtown Dubai, investors have paid AED 1.74M for 1-bed, AED 3.32M for 2-bed and AED 5.61M for 3-bed units on average.
Our Dubai sales property market report Q1 2023 shows that potential buyers and investors in search of luxury flats in Dubai also focused on:
- Palm Jumeirah
- Business Bay
- Mohammed Bin Rashid City
An analysis of the property sale price trends in Dubai reveals that these areas recorded increases of 6% to 14% in average price-per-square-foot for luxury flats. Most of these price hikes, including those observed in Dubai Marina and Downtown Dubai could be attributed to the steady demand for upscale properties in these districts.
DUBAI MARINA YIELDS THE BEST ROI FOR LUXURY APARTMENTS IN DUBAI
Based on our data for the Dubai sales market report Q1 2023, the luxury apartments for sale in Dubai in the following areas yielded the best returns:
- The luxury apartments in Dubai Marina offered healthy rental returns of 6.91% in Q1 2023.
- The luxury apartments in Business Bay offered projected rental yields of 6.32%.
- The ROI for buy-to-let flats in Downtown Dubai averaged at 6.21%.
The projected ROIs for apartments in Dubai may vary depending on the location of the building, its developer and the amenities offered.
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 Q1 2023
POPULAR AREAS | ROI | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022 | TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022 | 3-BED | 4-BED | 5-BED |
|---|---|---|---|---|---|---|
| DAMAC Hills 2 | ROI 5.63% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| 3-BED
| 4-BED
| 5-BED
|
| The Springs | ROI 5.77% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| 3-BED
| 4-BED
| 5-BED
|
| Dubailand | ROI 6.07% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| 3-BED
| 4-BED
| 5-BED
|
| Jumeirah Village Circle | ROI 6.90% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| 3-BED
| 4-BED
| 5-BED
|
| Mudon | ROI 6.31% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| 3-BED
| 4-BED
| 5-BED
|
Based on our Q1 2023 Dubai sales market report, DAMAC Hills 2 continued to be an investor favourite for affordable villas in Dubai:
- Following an increase of 3.05%, the price-per-square-foot for villas in DAMAC Hills 2 averaged at AED 627 in Q1 2023.
- As per the DLD, the average transaction value for the sale of villas in DAMAC Hills 2 stood at AED 1.24M.
- On average, the 3-bed villas in DAMAC Hills 2 were priced at AED 1.12M. The sale price for 4-bed and 5-bed houses averaged at AED 1.46M and AED 1.92M, respectively.
The affordable villas in The Springs also appealed to investors on a tighter budget:
- Houses in The Springs recorded an uptick of 7.59% in sales price-per-square-foot, averaging at AED 1,162 in Q1 2023.
- The DLD valued the average sales transaction in The Springs at AED 2.86M, showing an increase of 15.1% from Q4 2022.
- The prices for homes for sale in The Springs averaged at AED 3.04M for 3-bed and AED 3.65M for 4-bed units.
Besides DAMAC Hills 2 and The Springs, small ticket investors showed an inclination towards the reasonably-priced villas in:
- Dubailand
- Jumeirah Village Circle
- Mudon
The average sales price-per-square-foot budget villas in these districts experienced upticks of up to 12%. The steady demand for properties in these areas has pushed prices upwards in most cases.
JUMEIRAH VILLAGE CIRCLE YIELDS THE BEST RENTAL RETURNS IN DUBAI FOR AFFORDABLE VILLAS
When it comes to reasonably-priced villas in Dubai, the following areas offered the most lucrative returns in Q1 2023:
- The buy-to-let villas in Jumeirah Village Circle offered impressive rental yields of 6.90%.
- The affordable villa properties in Mudon also recorded healthy rental returns of 6.31%.
- The projected ROI for houses in Dubailand averaged at 6.07% in Q1 2023.
PALM JUMEIRAH 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 Q1 2023
POPULAR AREAS | ROI | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022 | TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022 | 4-BED | 5-BED | 6-BED |
|---|---|---|---|---|---|---|
| Palm Jumeirah | ROI 4.69% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| 4-BED
| 5-BED
| 6-BED
|
| The Villa | ROI 5.30% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| 4-BED
| 5-BED
| 6-BED
|
| Arabian Ranches | ROI 5.62% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| 4-BED
| 5-BED
| 6-BED
|
| Dubai Hills Estate | ROI 6.16% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| 4-BED
| 5-BED
| 6-BED
|
| The Meadows | ROI 5.25% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q4 2022
| TRANSACTION PRICE Avg. Transaction PriceChange from Q4 2022
| 4-BED
| 5-BED
| 6-BED
|
When it comes to luxury villas in Dubai, prospective buyers were most keen on Palm Jumeirah during Q1 2023:
- The sales price-per-square-foot for villas in Palm Jumeirah experienced an uptick of 23.3%, to average at AED 3,711.
- This increase is consistent with the 22% increase in the average transaction value for the sale of villas in Palm Jumeirah as reported by the DLD, which stood at AED 23.1M.
- To buy villas in Palm Jumeirah, investors paid around AED 17.8M for 4-bed houses, AED 26M for 5-bed villas and AED 51.7M for 6-bed units.
The Villa also emerged as a popular choice among investors looking for upscale houses for sale in Dubai:
- Properties in The Villa reported an increase of 11.6% in the price-per-square-foot, to average at AED 872.
- The average transaction value in The Villa increased by 5.75%, to average at AED 4.41M as per the DLD.
- The price to buy houses in The Villa averaged at AED 4.43M for 4-bed units, AED 4.88M for 5-bed and AED 7.22M for 6-bed houses.
Potential buyers interested in upscale villas in Dubai also considered properties in:
- Arabian Ranches
- Dubai Hills Estate
- The Meadows
The average price-per-square-foot in these neighbourhoods experienced upticks of between 8% and 18%. The most prominent movement in prices were observed in Dubai Hills Estate, which can likely be attributed to increased demand in the area.
DUBAI HILLS ESTATE OFFERS THE HEALTHIEST RETURN ON INVESTMENT IN DUBAI FOR LUXURY HOUSES
According to the data compiled for Dubai’s Q1 2023 sales market report, these districts recorded the highest rental returns for luxury villas:
- The villas in Dubai Hills Estate generated projected rental yields of 6.16% in Q1 2023.
- With an average ROI of 5.62%, the houses in Arabian Ranches also offered healthy rental yields in the luxury segment.
- Properties in The Villa offered an average ROI of 5.30% in Q1 2023.
POPULAR AREAS FOR OFF-PLAN PROPERTIES IN DUBAI
This section of the Q1 2023 Bayut sales property market report reveals the areas that attracted investors for off-plan apartments and villas.
TOP PROJECTS FOR OFF-PLAN APARTMENTS IN DUBAI
PROJECT | AREA | CATEGORY |
|---|---|---|
PROJECT District 10 | AREA Jumeirah Village Circle | CATEGORY Affordable |
PROJECT Skyz by Danube | AREA Arjan | CATEGORY Affordable |
PROJECT Wind Towers | AREA Jumeirah Lake Towers | CATEGORY Affordable |
PROJECT Urban Oasis by Missoni | AREA Business Bay | CATEGORY Luxury |
PROJECT Sobha Hartland | AREA Mohammed Bin Rashid City | CATEGORY Luxury |
PROJECT Downtown Views II | AREA Downtown Dubai | CATEGORY Luxury |
During Q1 2023, investors looking for affordable off-plan apartments in Dubai showed a greater inclination towards properties in suburbs:
- According to the data collected for our Dubai sales property market report Q1 2023, District 10 in JVC emerged as the top choice for budget off-plan apartments in Dubai.
- Investors also showed a preference for Skyz by Danube in Arjan and Wind Towers in Jumeirah Lake Towers for affordable off-plan flats in Dubai.
Investors in search of expensive off-plan apartments showed greater interest in centrally-located districts:
- Urban Oasis by Missoni in Business Bay attracted the most attention from prospective investors in luxury off-plan flats.
- Sobha Hartland in Mohammed bin Rashid City and Downtown Views II in Downtown Dubai also emerged as popular options for high-end 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 Nara Townhouses | AREA The Valley | CATEGORY Affordable |
PROJECT Alaya | AREA Tilal Al Ghaf | CATEGORY Luxury |
PROJECT District One | AREA Mohammed Bin Rashid City | CATEGORY Luxury |
PROJECT Cavalli Estates | AREA DAMAC Hills | CATEGORY Luxury |
Based on the data accumulated for our Dubai annual sales market report Q1 2023, prospective investors in search of budget-friendly off-plan villas were most keen on suburban properties:
- The affordable off-plan houses in Villanova, Dubailand was the most searched-for project among investors in Q1 2023.
- Murooj Al Furjan in Al Furjan and Nara Townhouses in The Valley also attracted property buyers interested in reasonably-priced off-plan villas.
Those looking for luxury off-plan villas gravitated more towards master-planned communities in Dubai:
- Alaya in Tilal Al Ghaf attracted the most investor interest for expensive off-plan villas in Dubai.
- District One in Mohammed Bin Rashid City and Cavalli Estates in DAMAC Hills also appealed to investors for luxury off-plan villas in Dubai.
Commenting on the trends in Dubai, Haider Ali Khan, the CEO of Bayut & dubizzle and the Head of EMPG MENA said:
“I think there is absolutely no doubt that Dubai is experiencing a property boom unlike any other, while leading global economies are reeling under financial strains. Backed by a growing economy full of opportunity, not only has Dubai become a brand to be reckoned with, thanks to the safety, infrastructure, government support and overall positive outlook of the emirate, the city has also very successfully strengthened its hold as a popular metropolis, everyone in the world wants to be associated with.
Feels like a lot of talented people from all walks of life across the globe are making their way to Dubai, resulting in an obvious demand for real estate in the city. Interest for lease and sale in various communities is on the rise, with traffic growing every month. We are attracting over 7M visits each month for properties in Dubai alone on Bayut, and the number just keeps growing by the day, which shows how much trust and demand there is for the Dubai real estate market!
With that, we wrap up Bayut’s Q1 2023 Dubai Sales Market Report. Those interested in knowing more about rental properties in the market can get all the insights from our Q1 2023 Dubai Rental Market Report.
We’ll be releasing our quarterly real estate market reports for Abu Dhabi later this week. So stay tuned to MyBayut.
Disclaimer: The above Dubai sales real estate market report (MKKT RPT Q1 2023) 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.
