Off-Plan Transactions Fuel Surge In Dubai's August Property Deals

(MENAFN- Khaleej Times)

A 25 per cent surge in off-plan transactions fuelled a 15 per cent gain in the volume of real estate transactions in Dubai last month, data showed on Thursday.

According to Property Finder, a leading property portal in the MENA region, the city recorded 18,564 transactions worth Dh50.7 billion, representing a 15 per cent increase in volume and 7 per cent rise in value compared to August 2024.

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Secondary off-plan transactions in particular reflected accelerating investor demand, with Dh4.1 billion recorded across 1,978 deals, up 59 per cent in volume and 69 per cent in value compared to August 2024

Primary market

The primary market accounted for the bulk of August's activity with 12,106 transactions, up 20 per cent from last year. Primary off-plan dominated this space, comprising 91 per cent of total Primary transactions. While the segment's value rose more modestly at 4 per cent year-on-year, Business Bay emerged as a standout, contributing 11 per cent of total volume and 12 per cent of total value with growth of 377 per cent and 290 per cent respectively. Dubai Investment Park also ranked among the top performers, contributing 9 per cent of both overall value and volume

Secondary sales overview

The secondary market delivered Dh22.6 billion in transactions across 6,458 deals, marking a 15 per cent annual increase in value and a 7 per cent increase in volume. Growth was strongly supported by surging demand in emerging communities in the secondary off-plan market. Wadi Al Safa 4 led the way, registering Dh786 million in sales compared to just Dh26 million in August 2024, while Al Barsha South Fourth saw values grow by 154 per cent and volumes rise 142 per cent.

Consumer preferences

Apartments remain the overwhelming choice for renters and buyers, accounting for nearly 80 per cent of rental searches and 59 per cent of buyer interest. Smaller units in particular continue to gain traction. Studios represent 22 per cent of rental searches but only 16 per cent of buyer demand, while one-bedroom apartments account for 36 per cent of buyer searches and 40 per cent of rental interest. Demand for studios and one-bedroom units is rising faster than for larger properties, as tenants shift toward ownership of more affordable homes to offset rising rents and secure long-term value.

Cherif Sleiman, Chief Revenue Officer at Property Finder, said,“August's figures offer a clear picture of Dubai's real estate market strength, driven by an off-plan surge and bolstered by consistently healthy secondary activity. What's remarkable this month is how neighbourhoods like Business Bay and Wadi Al Safa 4 are outperforming the broader trend, demonstrating that both investor confidence and demand for emerging communities remain elevated. This is further supported by broader market signals, including Emaar's announcement of a 33 per cent jump in H1 profits - which reflects the underlying demand in high-end segments - as well as developers bringing construction in-house to meet surging demand and ensure delivery speed. These moves affirm Dubai's proactive market stewardship and its appeal to both end users and investors. As developers adjust strategies, and policy measures continue to stabilize the market, Property Finder stands ready to equip stakeholders with timely insights that help them make smart, forward-looking choices.”

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