Welcome to ALTAIR

S&P Global Ratings expects a 5-7% increase in Dubai property prices in 2024

blog

On Monday, S&P Global Ratings, an American credit rating agency, posted a report regarding the performance of Dubai’s real estate market. According to the report, prices will most likely slightly reverse by 5-10% over the next 12-18 months. At the same time, there will be no massive market disruption.

blog

Overall, in 2023, property prices are expected to grow by 15-18%, and by another 5-7% in 2024.

The value of villas has surpassed past peak levels, however apartments are priced at 10-20% less than previous peaks, due to an oversupply.

Pre-sales will remain at a “still healthy” level, as developers keep their offerings in line with the demand, such as upscale and branded projects. It is expected that smaller units will dominate the market, as the price per sq. ft has become costlier.

All in all, the real estate market of Dubai is going strong thanks to competitiveness among developers and solvent buyers. As the prices keep growing, local properties have strong potential as an investment asset both for resale and rental.