Real estate projects by top-tier developers in Dubai are reportedly selling out in mere hours or even minutes, driven by robust demand in the emirate, according to industry insiders. To capitalize on this high demand from both local residents and international investors, developers in Dubai are consistently rolling out new projects. All developers, irrespective of their scale, are vying for the attention of real estate agents and buyers, who are key to their sales. Notably, a project by Meraas was sold out in just 45 minutes, and Aldar Properties managed to sell its Dubai project within 72 hours.
"Tier 1 developers enjoy a significant edge due to their strong brand reputation, reliable track record, and prime locations. They also maintain the largest networks of brokers, who contribute significantly to their sales, and their offerings typically surpass those of smaller developers," explained Al Msaddi, CEO of Fäm Properties. Major Tier 1 developers include Meraas, Dubai Holding, Emaar Properties, Nakheel, and Damac Properties. Banks also provide mortgages for off-plan properties in projects by these top developers.
However, not all projects by these developers sell rapidly. "Projects that sell within hours are those that offer something unique and distinguish themselves from other offerings in the market. But even for Tier 1 developers, not every project sells quickly. For example, ultra-luxury projects with very high prices naturally take longer to sell," noted the CEO of Fäm Properties.
Despite the strong off-plan property market, not all developers fully leverage it. Projects that stand out have distinctive features, such as Verve City Walk, which sold 427 units in 45 minutes, including a penthouse for Dh30 million. Successful sales are attributed to developers like Meraas, who invest time and resources to deeply understand the market, plan meticulously, and employ experienced brokers, according to Al Msaddi.
Aldar Properties sold over 660 units of its Verdes by Haven project in Dubai within 72 hours of its launch. Haven by Aldar marks the company's first venture in Dubai in collaboration with Dubai Holding, a global investment firm with interests in 31 countries. Aldar generated over Dh1 billion through sales events at the Dubai World Trade Centre, Aldar Square in Abu Dhabi, and an international roadshow visiting six markets worldwide. Expat residents and overseas buyers accounted for 83% of sales, with Indian, Egyptian, and British nationals leading in sales volume. UAE nationals made up the remaining 17% of sales. Female buyers represented 28% of sales, with males accounting for 72% of units purchased. About 56% of buyers were under 45 years old, and 88% were first-time buyers, according to industry studies.
Al Msaddi highlighted that the current market is not reliant on a few nationalities but boasts a diverse mix of international investors. "Certainly, some projects attract more interest from specific nationalities, such as Indian, Asian, Arab, Iranian, and Russian buyers for NAS Gardens. In contrast, seafront projects attract a broader range of nationalities, including a significant European presence," he explained.
Al Msaddi also noted that the abundance of residential properties is making buyers and investors more discerning in their choices, indicating a maturing market. "Competition among real estate developers is heating up, with several critical factors determining success. Additionally, with property values at an all-time high, the total price per unit is becoming more important than the price per square foot. Payment plans are especially crucial given the current high borrowing costs," he added.
Despite numerous new launches, Dubai property projects continue to sell out in minutes.
