Media monitoring services compiling news from the major news providers in the UAE
Dubai villa market continued its positive trend in Q2
Jul 31, 2012
The results of Q2 shows villa market in Dubai continued its positive trend and offered better value to property buyers and sellers in Dubai. Villa market has been signaling positive growth since the mid of 2010 but this growth gained momentum by the end of 2011. After a tremendous growth in sale prices and rentals in Q1, Q2 remained another cheerful period for the villa market in Dubai.
During the quarter, established villa areas offering prime buildings with better infrastructure performed much better than villas in secondary locations of Dubai. In comparison to the same period last year, rents of quality villas increased 9%-10% across Dubai. On the other hand, sale price of villas experienced a growth of 21% year-on-year. The apartment market continued to remain stable which clearly indicated villa market still outperforming apartment market in Dubai.
According to report of JLL (Jones Lang LaSalle), villa sale price indices shows growth by 21%, are now 9% higher as compared to 2008 times. On the other hand, sale price indices for apartments in Dubai remained quite stable. If you look at rentals of apartments and villas, we come to know they have inched up by 10% for both types of property in Dubai. The results of Q2 also show that mid size villas in posh areas like Arabian Ranches, Palm Jumeirah, Jumeirah Lake Towers and Downtown Dubai experienced high occupancy levels and increase in asking rents.
Owing to regional unrest in other parts of the country and global investors once again eyeing Dubai property for investment, new supply of units is expected to launch in the market to meet the emerging demand of property in Dubai. Almost 3000 units were added to market during Q2 and more supply has been scheduled to add to the market during the next two quarters. The clear trend of positive growth for villa market in Dubai is leading the experts to predict much better times for villa market during the second half of the year.