Demand for luxury rental properties in Dubai spiked in Q2
According to a new analysis from Luxhabitat, a high-end property brokerage, secondary residential market transactions in Dubai remains stable in the second quarter of 2018. The market saw a total volume of AED 12.1 billion in Q2 when compared to AED 14.4 billion in Q1.
The data reveals that over 1,400 villas and 6,652 apartments were bought and sold in the quarter.
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The report also claimed that off-plan market activity in Dubai continued to stabilise in Q2. There were several new launches during the quarter that helped stabilise it.
Off-plan transaction volumes along with the overall number of transactions fell by almost 28% from the previous quarter according to Luxhabitat. There are a total of 80,000 units scheduled for completion in 2018.
The data indicate that secondary villa sales volume is double that of off-plan sales in the quarter while the prime residential market in Q2 totalled AED 3.5 billion.
Of the areas recognised by Luxhabitat as prime residential, Business Bay were the top performers in terms of sales volume. They made a total of AED 2.3 billion in transactions and were closely followed by Mohammed bin Rashid City. The latter had an operation of AED 1.9 billion while Dubai Marina had a total of AED 1.2 billion.
Ryan Kasper Luxhabitat’s rentals director noted that rental prices continued to fall across Dubai. He claims that it is due to the considerable demand for high-end, luxury rental properties. There has been a massive spike in this area.
Kwality was initially set up as an integration unit of Kwality Ice Creams India Ltd. A prominent Indian family then acquired it in 2002Nobody from Kwality’s headquarters in New Delhi was immediately available to comment on the planned closure. There has been no further statement made by the company on their decision and have also not mentioned when the withdrawal process will begin.
“This, in turn, has sparked a trend among landlords who are reinvesting and upgrading their properties to compete with the many new and modern developments recently handed over. So far, this year has reinforced that Dubai remains one of the most active and versatile rental markets in the world,” he said.
“We anticipate stabilising rental prices as we continue to adjust to the conditions of a maturing market, which should come as positive news for everyone,” he added.
By: Anuj Sharma