Dubai Real Estate Market Report — June, 2022

Dubai Real Estate Market Report – June 2022

June 2022 brought Dubai's property market to a record high. The apartment, villa and commercial categories together saw 8,327 transactions, a +39% rise versus June 2021, and their combined value advanced +52% to AED 19.25 billion. Widen the lens to every asset class, plots included, and the month tallied 8,637 deals worth AED 22.33 billion, priced at a median of AED 1,133/sqft.

For the nine-year series this ranked as a June record on both volume and value, and the strength was widespread rather than concentrated: apartments set the pace, yet villas and commercial premises each reached their own multi-year June peaks.

Headline figures

Year-on-year performance by category

Apartments carried the market. The category recorded 5,726 sales, a +38% annual gain and 1,578 above the year-earlier figure — the busiest June the nine-year series has seen. Value climbed faster still, rising +78% to AED 10.83 billion as prices strengthened: the median hit AED 1,485/sqft (+24% over the year and +21% above the 2014 base), another June record. The typical apartment changed hands at AED 1,222,452, +22% above June 2021.

Villas expanded quickest in unit terms, climbing +45% to 2,303 deals — 713 more than the previous June and, as with apartments, a June high for the series. Value rose +28% to AED 7.98 billion, while per-square-foot pricing hardened +14% to AED 957/sqft, now +23% above the 2014 mark. A single measure pointed down: the median villa ticket slipped to AED 2,000,000, a -31% fall on the year. With pricing per foot rising but the usual ticket shrinking, buyers leaned toward smaller, more affordable villas rather than the trophy segment.

Commercial made for a calmer narrative but stayed clearly in positive territory. Volume nudged up +9% to 298 units — just 25 above the prior year, though still the best June turnout since 2015 — as value gained +45% to AED 439.76 million. The median of AED 848/sqft was +19% higher year on year and the firmest June rate since 2017, yet it sits -16% under its 2014 level, the lone category still priced below its base year. The median commercial ticket was little changed at AED 780,861 (-1%).

Every category, including plots and buildings

Plots fall outside the apartment, villa and commercial count but merit their own mention: 310 plot deals contributed AED 3.08 billion during June, posting the largest median ticket of any asset class at AED 3,700,000 even with the lowest median rate, AED 385/sqft — the well-known hallmark of sizeable land parcels trading hands.

Primary versus resale

New-build activity set the pace. Off-plan and primary transactions represented 57% of volume and 54% of value — 4,781 deals worth AED 10.37 billion — with the secondary market delivering the other 3,546 transactions and AED 8.88 billion. Resale carried a touch more weight in value than volume, claiming 46% of value versus 43% of deals, indicating that finished, ready homes tilted toward pricier transactions.

Where the activity was

Downtown Dubai headed both rankings, pulling in AED 2.30 billion over 795 transactions. Marsa Dubai came next on value (AED 2.01 billion, 735 deals), and Al Hebiah Fifth took third on each measure (AED 1.60 billion, 726 deals). Palm Jumeirah's AED 1.55 billion earned it fourth by value on relatively few sales — a high-ticket enclave — while Business Bay (AED 974.40 million, 641 deals) and volume-driven Al Barsha South Fourth (456 deals) completed the front-runners.

Rental market

Leasing remained solid. New apartment contracts were broadly steady in number at 10,701 contracts (-2.58%), yet the median asking rent advanced +16.05% to AED 47,000; notably, renewals jumped +58.06% to 9,520 contracts at a median AED 45,000 (-6.25%), as existing tenants acted to secure rates beneath the fresh-lease market. Villa rents rose on both new (AED 123,000, +2.50%) and renewal (AED 129,059, +3.25%) agreements, and commercial recorded the steepest new-lease increase, climbing +19.73% to a median AED 81,600.

Supply

Supply leaned toward the pipeline. Developers introduced 5,082 units over 15 projects while 3,487 units were handed over across 8 projects — a launch-to-delivery ratio of 1.5 and a net 1,595 more units launched than finished, signalling a forward pipeline that continues to grow.

Launched

• Park Field Tower 2 – Hadaeq Sheikh Mohammed Bin Rashid (Emaar), 306 units
• Address The Bay – Marsa Dubai (Emaar), 448 units
• Al Jazi 4 – Um Suqaim Third (Meraas), 378 units
• Shams Townhouses – Al Yelayiss 2 (Nshama), 212 units
• Lime Gardens – Hadaeq Sheikh Mohammed Bin Rashid (Emaar), 293 units
• Address Hillcrest – Hadaeq Sheikh Mohammed Bin Rashid (Emaar), 138 units
• The Paragon By Igo – Business Bay (Invest Group Overseas), 330 units
• Tria By Deyaar – Nadd Hessa (Deyaar), 717 units
• 1 Residences - 2 – Al Kifaf (Wasl), 793 units
• Binghatti Heights – Al Barsha South Fourth (Binghatti), 366 units
• The Valley - Orania – Al Yufrah 1 (Emaar), 308 units
• Palm Beach Towers -1 – Palm Jumeirah (Nakheel), 284 units
• Prime Gardens – Al Barsha South 3 (Prescott), 139 units
• Mudon Al Ranim 2 – Al Hebiah Sixth (Dubai Properties), 176 units
• Azizi Riviera 47 – Al Merkadh (Azizi), 194 units

Delivered

• Harbour Gate Tower 2 – Dubai Creek Harbour (Emaar), 547 units
• Reva Residences – Business Bay (Damac), 605 units
• Damac Hills (2) - Mulberry – Madinat Hind 4 (Damac), 111 units
• Damac Hills (2) - Zinnia – Madinat Hind 4 (Damac), 486 units
• The Estate - Ii – Jabal Ali First (Invest Group Overseas), 40 units
• Samana Hills South - Tower A – Saih Shuaib 2 (Samana), 446 units
• Sun Point Dubai C – Me'Aisem First (Sol Properties), 168 units
• Park Ridge Tower C – Hadaeq Sheikh Mohammed Bin Rashid (Emaar), 1,084 units

Most expensive sales

Top apartment sales

1. AED 105,000,000 – Jumeirah Living Marsa Al Arab, Um Suqaim Third
2. AED 50,000,000 – Bulgari Residences 4, Jumeirah Bay Islands
3. AED 29,983,534 – Mr C Residences Jumeirah - Block A, Jumeirah Second
4. AED 23,250,000 – Anantara Residences South, Palm Jumeirah
5. AED 21,795,225 – Mr C Residences Jumeirah - Block B3, Jumeirah Second

Top villa sales

1. AED 110,000,000 – Al Merkadh
2. AED 73,000,000 – Palm Jumeirah
3. AED 52,534,986 – Emirates Living
4. AED 28,899,000 – Al Hebiah Fourth
5. AED 28,250,000 – Hadaeq Sheikh Mohammed Bin Rashid

Notes on methodology

Scope. Headline totals and the category table span every property type captured in the data, Plot and Building included. The primary/resale breakdown, top-area rankings and the year-on-year series include Apartment, Villa and Commercial only, so those numbers are intentionally smaller than the headline and should not be summed across sections.

Rounding. The headline totals are the definitive rounded values. Category-level figures are rounded separately and may not add up precisely to the headline.

Definitions. Quoted prices are medians rather than averages. Year-on-year sets the period against the matching period twelve months before. Every value is in AED and all areas are in square feet.