How villas led the Dubai property price rebound in February
Villas across Dubai and apartments in selected areas led the continued rebound in property prices in the emirate during February, according to new research published on Thursday.
Real estate consultants ValuStrat said all villa freehold locations in Dubai registered price increases last month while apartment values in Jumeirah Beach Residence, Palm Jumeirah and International City also rose.
However, most freehold apartment locations monitored by the ValuStrat Price Index saw capital values decline monthly by 0.6 percent on average, examples of which were Downtown Dubai, Motor City, Remraam and Dubai Sports City.
Overall, the ValuStrat Price Index grew by 0.7 percent to 65.9 points in February, continuing the gradual growth trend since October of last year.
Annually, the valuation-based index was 11 percent lower than the same month in the previous year.
“On a citywide level, capital values of residential homes approached stabilisation and slight growth, as the downward trend is gradually coming to a halt. Clear improvements in capital values were observed in all established villa communities monitored by the index. Freehold apartments were still witnessing price drops with few exceptions,” ValuStrat said in its latest research.
It added that February registered a 25.2 percent monthly gain in sales transaction volumes, as existing ready-to-move-in homes saw an improvement of 21.1 percent and off-plan sales grew 34.5 percent when compared to the number of deals completed the previous month.
Improvements in apartment capital values were only observed in Jumeirah Beach Residence, Palm Jumeirah, and International City with an average monthly growth of 1.3 percent.
Regarding villas, a record 2 percent monthly growth was seen in The Meadows, The Lakes, and Emirates Hills, ValuStrat noted.
It added that 67 percent of February’s cash-based sales transactions volume were towards ready homes as off-plan sales slowed due to limited project launches.
Properties developed by Emaar, Nakheel, Damac, Triplanet International and MAG Property Development topped the sales charts overall. Top off-plan locations transacted during February were in Jumeirah Village, MBR City, Al Jaddaf, Business Bay and Downtown Dubai.
According to ValuStrat, most transacted ready homes were located in Business Bay, Dubai Marina, International City, Town Square, Jumeirah Village and Dubai Sports City