The month of January and February are two of the most crucial months in the sales and marketing period. These months not only mark the inauguration of business but also the start of sales in the corporate calendar. The year 2019 marks the year of progression, transformation, and change. As UAE gears up for the 2020 expo and welcomes everyone with exceptional services, every industry is working hard to reach its greatest potential.
In the world of real estate, many players are trying to gain a foothold in the market but three (3) developers have risen to the challenge. According to Property Finder, the three (3) top developers in Dubai who have sold the maximum number of units in the month of January and February are Emaar Properties, Dubai Hills Estate, and Nakheel.
In the first two months of 2019, these three (3) have emerged as the highest developers that accounted for most property sales transactions in Dubai. Looking at total transaction volumes, Emaar sold 1,374 homes in January and February 2019 which accounts for 24% of the total share. With property deals worth Dhs3.56bn, Emaar is unstoppable. This is followed by Dubai Hills Estate with deals worth Dhs1.08bn and Dubai Holding with Dhs664m.
Dubai Hills Estate which is a joint venture between Emaar and Meraas sold 601 of its homes, accounting for 10% of the total market share while Nakheel sold 359 homes, making up 6 % of the market share. In terms of volumes and value for residential property sales, Emaar appeared as the top developer in the first two months of the year.
According to Property Finder, other developers that registered positive residential sales in the first two months of the year were Damac Properties, Dubai Holding, Seven Tides International, Azizi Developments and Danube Properties.
Keeping with the speed of the economy, master developers such as Emaar, Meraas and Dubai Holding have launched off-plan projects in the last few months. Looking at off-plan sales volumes in January and February, Emaar Properties, Dubai Hills Estate, and Dubai Holding again emerged as the top three (3) developers.
While other developers are more focused on clearing their existing inventory, Emaar has been busy selling 1,043 off-plan homes, with a 34% market share. Dubai Hills Estate has sold 539 homes (18%) and Dubai Holding has recorded 163 off-plan sales which is 5% of the market share.
In terms of value of off-plan sales, Emaar came first with sales worth Dhs2.45bn, accounting for 49% of the market, followed by Dubai Hills Estate with off-plan transactions worth Dhs688,200 (14% of the market) and Dubai Holding with Dhs308,242 worth of off-plan deals (6% of the market).
Dubai’s residential market has been hit hard in recent years, with analysts predicting a further drop in prices this year due to new supply and lower oil prices. Savills has also estimated that prices could fall by 5 to 10% in the year of 2019. S&P Global Ratings has also stated that the market could drop further by 10 to 15% in 2019 before stabilizing in 2020. But this does not stop the investors from pouring in and investing in the properties of UAE, especially Dubai.
In the words of Property Finder, investors are “profiting from off-plan projects that are priced right and which offer a generous payment plan from a developer with a proven track record.” The director of Data and Research at Property Finder, Lynnette Abad has added that “In Dubai last year, we saw a number of long-time renters who converted to homeowners, in part due to attractive prices and payment plans in newly handed over projects.” “The combined effect is a healthy trend where off-plan investors are profiting from affordable housing and the number of homeowners are also increasing.”
