Property Monitor, a real estate research and data platform, has unveiled a surge in new project launches in Dubai's property market. In 2024, the market witnesses an average of more than one project daily, translating to a new project emerging every 18 hours.

According to the latest March report from Dubai's real estate market, as reported by Al Bayan, nearly 10,000 units were launched for sale during March alone. These figures contribute to an impressive total of 34,000 units distributed across 120 projects in the first quarter of the year, maintaining the pace of a new launch approximately every 18 hours.

Despite this substantial market activity, there are no indications of a slowdown in the near future. With the recent announcement of three major developments and the anticipated launch of the "Ghaf Gardens" project by Majid Al Futtaim, the options for investors and end-users are expected to expand further.

However, this surge in new projects presents challenges for developers. Intense competition, heightened buyer expectations, and increased scrutiny in investment choices are factors developers must navigate. Established and larger developers may have an advantage due to their pricing flexibility, while specialized developers focusing on luxury segments also maintain a strong presence, targeting specific markets.

For new entrants into the market, competition with established developers poses challenges in differentiation. Resorting to traditional commercial offerings like gifts, post-delivery payment plans, and covering land and property fees may be necessary to attract buyers.

In terms of performance, property prices in Dubai saw a notable rise in March, with monthly gains reaching 2.37%—the largest increase since May 2023. The current property prices stand at AED 1,325 per square foot, representing a 7.4% increase compared to the previous peak in September 2014.

This significant increase in prices can be attributed to the notable differences in trading prices between existing homes and newly planned properties, deviating from the trend observed since late 2023.

Regarding luxury properties, the report underscores their growing market share. Properties priced above AED 10 million accounted for 2.7% of sales in March. Additionally, properties in the AED 5 million to AED 10 million range represented 6.3% of sales, while those in the AED 3 million to AED 5 million range witnessed their share rise to 13.8% of market sales during March.

Source:Al-Bayan newspaper