In the vibrant landscape of UAE real estate, promising returns are forecasted for residential properties in 2024, with expected yields ranging between 7% to 7.5%, as projected by CBRE, a leading commercial real estate services company.
Diving deeper into the market dynamics, premium properties are anticipated to offer yields ranging from 6.25% to 7%, presenting lucrative investment opportunities for discerning investors.
Notably, the UAE emerges as a standout performer in the Middle East real estate arena, boasting growth in both price and transaction volume throughout 2023, a feat unparalleled by its regional counterparts.
Reflecting on the market performance, average prices per square meter witnessed notable escalations in key cities:
In Abu Dhabi, apartments saw a commendable 5.1% rise to $3,300, while villas surged by 8.5% to $2,900.
Meanwhile, Dubai experienced even more pronounced growth, with apartment prices soaring by 20.5% to $4,300 and villas recording a remarkable 23% increase to $5,100.
Looking ahead to 2024, anticipations are high
In Abu Dhabi, both transaction volumes and prices are expected to ascend, signaling continued momentum in the market.
Conversely, in Dubai, while transaction volumes may see a slight dip, prices are projected to maintain a moderate upward trajectory.
The UAE’s real estate landscape is further enriched by an impressive array of projects currently in the pipeline or under construction. With a cumulative value of $409 billion, these projects constitute a substantial 24.4% share of the total projects across the GCC region.
Amidst this dynamic environment, the UAE real estate sector remains a beacon of opportunity, offering investors a compelling blend of stability, growth potential, and innovation.
