The Dubai real estate market is expected to grow by 5% in 2024, according to experts

Dubai has established itself as a top destination for investors looking for high returns and diversification in its real estate market, which is still thriving.

Recent data indicates that investment in Dubai’s real estate market reached a startling $100 billion in 2023, with a projected growth rate of 5% in 2024, according to Bas Kooijman, CEO and Asset Manager of DHF Capital S.A. The economy of the United Arab Emirates is also expected to grow by 4.5 percent.

It is anticipated that the UAE’s notable economic expansion will help several industries, with Dubai’s real estate market leading the way.

Dubai’s real estate boom in 2023

The market has experienced impressive growth, enhancing its appeal as an investment hub. Real estate transactions saw a remarkable uptick in 2023, with values rising by more than 36.7 percent.

Driven by a transactional growth of 33.8 percent, the industry recorded a record-breaking year with 116,116 real estate transactions, totaling $429.67 billion.

Additionally, Kooijman emphasized the favorable outlook for Dubai’s residential real estate market, projecting a significant growth rate of approximately 15 percent by 2024.

He emphasizes how wise investors can profit greatly from capital appreciation in the stable and diverse economy of the United Arab Emirates thanks to the steady expansion of the real estate market in Dubai.

“Dubai’s real estate landscape presents a unique and compelling opportunity for people seeking multiple investment opportunities in real estate,” Kooijman said.

A significant benefit of investing in the Emirate’s real estate market is the possibility of earning substantial rental income. He said that the city provides an amazing return on investment, with yearly yields of up to 10%.

Rates in many other major markets, including New York and London, are lower than this.

According to Kooijman, investors seeking to optimize their returns may find Dubai a suitable destination due to the availability of properties at competitive prices that can be rented out at a high annual yield, with profit margins ranging from 5 to 9 percent.