ALBAWABA – Asteco, a property management company, issued a UAE real estate report for Q2 2024. The report highlighted the boost in UAE's real estate sector and Dubai’s strong economic performance. The country is enjoying solid fundamentals, increased real estate investments, continued economic growth, and infrastructure development.
Abu Dhabi Real Estate Market
The report issued by Asteco recorded the continuous growth of Abu Dhabi’s real estate market in 2024. This ongoing boost is supported by the government’s initiatives and the strong current economy.
Abu Dhabi’s real estate market witnessed the delivery of about 2,400 residential units in the “Noya” project on Yas Island, Jubail Island, Masdar City, and Al Raha Beach, according to Asteco. The city is undergoing other multiple projects that will be developed and delivered in 2024.
Abu Dhabi’s real estate market witnessed the delivery of about 2,400 residential units in the “Noya” project on Yas Island, Jubail Island, Masdar City, and Al Raha Beach, according to Asteco. (Shutterstock)
As for the rental sector, the market is also recording a high boost, precisely in luxury apartments and villas. Average rents for apartments grew by 1%-2%, while villas' rents grew by 5% this year.
Dubai Real Estate Market
On the other hand, the report issued by Asteco showed a slowdown in real estate delivery in Dubai for the second quarter of 2024 compared to the first quarter of the same year. It is worth noting that nearly 6,750 residential units were established and delivered in the city up to this moment. Dubai is witnessing the launch of low-rise buildings, skyscrapers, and large residential communities.
Asteco expects the delivery of new 25,000 residential units in the second half of 2024 and the beginning of 2025.
Rental rates of apartments and villas increased by almost 2% and 3% quarterly, thus annual rental rates boosted by 4% and 8% respectively. This increase is mainly due to the rental index law issued by the Real Estate Regulatory Agency in UAE, which allows landlords to increase rental rates upon renewal dates.
