Property prices crash in Dubai
Dubai real estate prices are down. Here are some key facts:
- Property prices in Dubai fell by 25 percent in four years.
- Dubai residential property prices will fall another 5-10 percent this year
- Explanation? A continued gap between supply and demand
- According to S&P, property prices will stabilize in 2020
Dubai property price per square foot are now back to where they were in 2010. Indeed, the increase that happened between 2011 and 2014 has been completely washed off (Bayut). Worst, from April 2010 to July 2019, prices decreased by 10.12%.
How much does a flat cost in Dubai?
The average apartment in Dubai now costs $490K (AED 1.8 million). In comparison, the average house price now costs $1,22 million (AED 4.5 million). However this doesn’t mean much, so let’s go a bit further.
Property prices in the neighborhoods of Dubai
What are the best neighborhoods in Dubai?
According to an interactive map developed by PropertyFinder (one of the best real estate websites in Dubai), the best communities in Dubai are:
- City Walk
- Downtown Dubai
- Palm Jumeirah
- Discovery Gardens
- Arabian Ranches
- Jumeirah Beach Residence
- Dubai Marina
- Bur Dubai
- Sports City
- Motor City
- Jumeirah Village Circle
- Jumeirah Lake Towers
- Business Bay
- Jumeirah
- DIFC
- Greens
- Jumeirah Village Triangle
- Mirdig
- Al Qusais
- Al Quoz
- Deira
- Al Barsha
For more details you can also see their Area Guides, which present in more details each neighborhood.
So, now that we know better the neighborhoods, let’s look at prices.
Dubai property prices per neighborhood
Dubai Marina property prices are, for example:
- Average 1 Bedroom Apartment Transaction Price: $272,000 (1,000,000 AED)
- Average 1 Bedroom Apartment Rental Price: $22,800 (84,000 AED)
- Average Gross Yield: 7.12%
Graphically, Bayut (other leading property portal in Dubai) makes some great market reports. This gives us a clear view of property prices per neighborhood:
