The Growing Population Is Encouraging The Development Of New Projects And The Supply Of Residential Units In Dubai.
Dubai’s population officially reached 3.55 million in 2022. Moreover, more expats choose the emirate as their second home. It continues to expand at a rapid rate.
Several new home developments by famous builders have been launched in the emirate to accommodate this growing population. Among these are the Dubai Ritz-Carlton Residences, Safa One and Safa Two Towers, Mama Residences Dubai, Cavalli Couture, and a major $5.4 billion neighborhood by Azizi Developments.
“More initiatives are in the works and ready to go,” says the CEO. This has presented overseas investors to venture into the industry and benefit from the constantly expanding Dubai real estate,” according to Zoom Property Research. In addition to real estate growth, the emirate is seeing large-scale infrastructure construction to support the growing population.
Speaking about the impact of the growing population on the Dubai property market. Ata Shobeiry, CEO of Zoom Property stated that an upscale lifestyle, safety, security, and plenteous opportunities to progress. Professionals and businessmen are just a handful of the reasons why Dubai is welcoming more and more expats every year.
The latest visa amendments have also proven to be the frosting on the cake. As they have allowed international investors to reap additional privileges when buying property in Dubai. All of these things continue to have a good impact on the property market, Shobeiry said.
Dubai Real Estate Is Expanding
The Dubai real estate market is expanding alongside the city’s growing population. As per Zoom Property Analytics, annual transactions surpassed half a trillion dirhams for the first time in the previous year. The overall transaction value in 2022 hit Dh528 billion, up 76.5 percent from 2021.
With more expats wanting to make Dubai their secondary home, the rental market has gained traction as demand has risen. Last year, the average rent increased by over 27 percent, with villas and flats increasing by 27.1 % and 24.9 %, respectively.
As per Zoom Property Insights, with increased demand due to population growth, these figures are likely to rise even more in 2023. “Dubai is all set to entice more investors, businessmen, job-seekers, and those pursuing an elite lifestyle in 2023. This will eventually lead to growth in a variety of industries, including property investment, which is currently at an all-time high,” Shobeiry said.
- Dubai’s population will reach 3.55 million in 2022
- To accommodate Dubai’s rising population, various developers have developed new residential buildings throughout the city
- Annual transactions will surpass half a trillion dirhams for the first time in 2022, following a 76.5 percent increase
- The rental market also experienced a surge, with the average rent increasing by roughly 27 percent