Dubai South, adjacent to the expanding Al Maktoum International Airport, is experiencing a surge in real estate demand, positioning itself among Dubai's top five developing areas. Following the announcement of Al Maktoum's transformation into the world's largest airport, interest in Dubai South properties has skyrocketed.
Key highlights:
Soaring Demand: Between Q2 and Q3 2024, buy listings on Property Finder grew three times faster in Dubai South than the overall Dubai market. User interest doubled from 9% in January to 16% by mid-2024.
Rapid Development: 32 new developments were added to Property Finder's catalogue in 2024 alone, with month-on-month interest in new projects increasing by 15%.
Price Increases: Average prices for off-plan villas rose by 43% and off-plan apartments by 12% in 2024.
High Occupancy: Apartment occupancy rates increased from 87.6% in 2023 to 91.6% in 2024.
Competitive Rents: Annual rents are competitive compared to the wider market: studios (Dh42,000), one-bedroom apartments (Dh59,999), two-bedroom apartments (Dh80,000), 2-bedroom villas (Dh92,000), 3-bedroom villas (Dh110,000), and 4+ bedroom villas (Dh145,000-220,000).
Source: Cbnme.com
Accessible Prices: 31% of properties are priced below Dh1 million, 40% between Dh1-3 million, and 30% above Dh3 million, attracting diverse buyers.
Freehold Ownership: Both UAE nationals and foreign investors can purchase freehold properties.
Stable/Positive Price Outlook: Experts predict stable or positive price trends.
Future Growth: The development of Al Maktoum International as a global hub is expected to further drive demand for residential and commercial spaces in Dubai South.
In essence, Dubai South is rapidly transforming into a sought-after residential and business hub, driven by the expansion of Al Maktoum International Airport and offering a range of investment opportunities for various budgets.