According To Research, In The Dh20 Million And Above Luxury Property Market Segment, The Famous Man-Made Island Accounted For 30% Of Dubai’s Real Estate Deals In 2022.
According to a report published by a luxury property consultancy, Palm Jumeirah is the ultra-high net worth individual’s (UHNWI) favorite target when investing in Dubai’s ultra-luxury property market. As per luxury property consultants Penhouse.ae, the famous man-made island will account for 30% of Dubai’s real estate transactions in the Dh20 million. In addition, above the luxury property market segment in 2022.
In 2022, Dubai Hills contributed 20% of the segment’s overall transaction volume. Which witnessed the sale of 826 super-luxury properties for a total of Dh29 billion.
According to Petri Mannila, demand for Dubai’s luxury property market is predicted to increase by 20% this year. Despite the sharp price increases for opulent residences in Dubai. This demand is being driven mostly by HNWIs in Europe and the USA.
With 4,000 high-net-worth people (HNWIs) and ultra-high-net-worth individuals (UHNWIs) reported to have flown in last year. The UAE, and particularly Dubai, has emerged as the preferred destination for millionaires from all over the world. Despite the pandemic’s effects, Dubai’s luxury market has been increasing in recent years due to the influx of HNWIs.
According to estimates, Dubai now has more than 67,000 millionaires living there. As more mega-rich migrants are anticipated to move there over the next ten years. This figure is likely to rise by 52%. The New World Wealth and Henley & Partners study found that Dubai was the wealthiest city in the Middle East.
According to a survey by Consultancy Knight Frank, “the number of HNWIs in the UAE is predicted to rise from 163,000 in 2021. And approach more than 228,000 by 2026, marking a 39 percent increase.”
According to a recent Property Market report, Business Bay, Dubai Marina, Downtown Dubai, and Jumeirah Village Circle were the top ideal locations. Especially, for those looking to purchase an apartment. While Arabian Ranches, Arabian Ranches 2, and Arabian Ranches 3 were the most well-liked choices for villas. In the investment or residence categories for 2022.
Mannila remarked, “I have never seen this tremendous interest from HNWI interested in migrating here to live or for business.” “As the political and economic situation in wealthy western markets, Russia, and Asia continue to be unclear. Encouraging rich individuals to turn to safe places where they can safeguard and develop their capital. Demand for Dubai’s ultra-luxury apartments has reached new levels.”
The Palm Jumeirah home sold for Dh600 million in 2022. While a villa on Dubai’s Billionaire’s Row went for Dh302.5 million. A super-luxury mansion on the Palm Jumeirah was recently advertised for Dh800 million on Penthouse.ae. The sale of a Bulgari Residences apartment for Dh80.35 million was the company’s largest transaction in its books last year.
Two years ago, there were only a few, if any, such deals in Dubai’s real estate market. But now, according to Mannila, “we are witnessing a market that this year may approach Dh35 billion in transaction value.”
According to statistics from DLD, HNW investors are primarily to blame for sharp rise in real estate prices in Dubai. Which has an average annual growth rate of 8.72 percent across all market segments. UHNW investors in the city’s most prestigious neighborhoods also increased the average cost of luxury apartments by a factor of two.
In entire world, there is no bigger or better market than this one in Dubai for lovers of opulent lifestyles. Due to their perception of Dubai as a safe and secure destination, more than 75% of buyers are making a permanent move there. According to Mannila, the UAE welcomed 4,000 millionaires last year, and this tendency will only grow.