US$ 10 million+ home sales reach US$ 4.91 billion between January and September
Dubai, 4th October 2023 – The volume of super-prime homes sold in Dubai, priced at over US$ 10 million, totalled US$ 1.59 billion during Q3, according to the latest market analysis by global property consultant, Knight Frank.
Faisal Durrani, Partner – Head of Research, Middle East & Africa, explained: “Demand for luxury homes in Dubai remains resilient and supply continues to stubbornly lag demand. The total number of US$ 10 million home sales in Dubai for the first nine-months of the year has hit 277, a record high with three-months of the year still left to run. This builds on Dubai’s emergence as the world’s busiest US$ 10 million+ sales market during H1, ranking ahead of New York (125), Hong Kong (109), and London (99).
The average transacted price for homes that were sold for more than US$ 10 million stood at AED 6,557psf at the end of Q3, according to Knight Frank’s analysis.
City luxury home demand continues to strengthen, attracting both local and international purchasers. The city’s prime residential areas are witnessing consistent interest, with The Palm Jumeirah remains the key focal point for super-prime home sales, accounting for 52.3% of total sales in this exclusive US10 million+ price bracket.
Not to be outdone however is Umm Suqeim Third, which is anchored by the Madinat Jumeirah Living development. Average transacted prices here stand at AED 15,700 psf, 62%% higher than its nearest competitor, Business Bay, says Knight Frank.
Durrani continued: “The extraordinary run of price rises in this third market cycle has seen prices escalating for nine-consecutive quarters. Dubai’s prime neighbourhoods of the Palm Jumeirah, Emirates Hills, and Jumeirah Bay Island, have been and continue to be the real stars of this cycle, leaving prime values 15.9% higher than this time last year.”
Dubai’s third freehold residential market cycle remains firmly in its growth phase. Cash purchasers dominate activity, with the buyer pool still being exceptionally diverse. Stock in the prime markets is still restricted and demand for luxury beach-front homes, as evidenced by the recent sell-out of the initial tranche of villas on the Palm Jebel Ali, is likely to continue sustaining price growth until such time that supply outstrips supply.