In 2024, the demand for Dh2 million properties in Dubai remains strong, fuelled by investors and end-users aiming to secure a 10-year UAE Golden Visa. This long-term residency visa, designed to attract global talent and investment, requires property investors to purchase assets worth at least Dh2 million. This requirement has had a notable impact on the real estate market, particularly in properties within this price range.
Strong Market Performance for Mid-Range Properties
In 2024, properties priced between Dh1 and Dh3 million dominated the market, accounting for 48.5% of transactions, reflecting a 4.2% increase from the previous year. Among these, Dh2 million properties are especially in demand, underlining their significance in the current market landscape. The first half of 2024 saw a remarkable 30% year-on-year increase in transaction activity for properties in this price segment, highlighting the Golden Visa’s influence on market trends.
Prathyusha Gurrapu, Head of Research and Consulting at Cushman & Wakefield Core, commented, “The Golden Visa continues to be a key driver of demand in Dubai’s real estate market. The city’s global socio-economic status, coupled with the advantages of long-term residency, continues to draw both investors and end-users.”
High-Quality Developments Drive Sales
Recent project launches have further intensified demand in this price segment. According to Property Monitor’s latest July report, properties priced between Dh1.5 and Dh2 million increased their market share by 3.5%, reaching 14.5%. Noteworthy developments such as Palace Residences in Dubai Hills and Arlo in Dubai Creek Harbour have significantly contributed to this growth, with average sales prices of Dh2,421 and Dh2,601 per square foot, respectively.
Likewise, properties priced between Dh2 million and Dh3 million experienced a 2% increase in demand, driven by premium projects like Bayz 101 in Business Bay and townhouses in Park Greens at Damac Hills 2. These properties continue to attract buyers seeking luxurious living spaces with solid investment potential.
Shifts in Market Segments
Market data also revealed shifts in other price segments. Properties priced under Dh1 million now account for 29.6% of the market, a 1.0% decrease month-on-month. Conversely, properties valued over Dh3 million make up 21.9% of the market, down 3.2% month-on-month. The Dh5-Dh10 million segment saw the most significant decline, dropping by 2.4% to 5.5%.
High-Net-Worth Individuals Show Interest in the Golden Visa
In addition to property buyers, high-net-worth individuals are increasingly interested in the Golden Visa. To qualify, these individuals must deposit Dh2 million into a UAE bank account, making this an appealing option for those seeking long-term residency in one of the world’s most dynamic cities.
In conclusion, the UAE Golden Visa continues to play a crucial role in shaping Dubai’s real estate market, particularly in the Dh2 million property segment. As the city’s global prominence grows, demand for mid-range properties is expected to remain robust, driven by the benefits of long-term residency and the allure of premium developments. For investors looking to enter Dubai’s thriving real estate market, now is the ideal time to explore opportunities and secure a stake in this vibrant metropolis.
