Dubai has seen a boom in the sale of luxury homes priced at over $10 million between January and May 2021, according to global property consultants Knight Frank.
There have been over 22 sales of homes in the $10 million price range during this time, compared to a total of 19 in 2020, making sales of this level reach a record-high since 2015, the firm’s head of Middle East research Faisal Durrani was quoted as saying in a statement released on Monday.
The firm noted that most of the transactions made in the $10 million range were for homes on the Palm Jumeirah, where the most expensive property sold this year was a $30.3 million villa.
“Investor sentiment has clearly been influenced by the way in which Dubai managed the impact of the pandemic. The world’s wealthy have their eyes firmly set on the city, where a million dollars gets you five times more residential real estate than London, New York, or Singapore – which means accessing a luxury lifestyle is relatively more affordable”, said Durrani.
The company attributes the spike in sales to the way the United Arab Emirates dealt with the pandemic, namely with their world-leading vaccination drive. The emirate of Dubai was also one of the first cities in the world to return to normalcy amid a wave of global COVID-19 lockdowns.
“Dubai is the epitome of lifestyle living, and the surge in interest at the current time reinforces its appeal with those looking for well-designed luxury homes with a beachfront location,” said the firm's Partner, head of residential, Marina Morris.
“The overriding sentiment in the prime sector is certainly one of positivity, with global buyers continuing to see the appeal of Dubai for real estate investment. We have witnessed high levels of transactional activity recently in the prime marketplace, with the appeal of Palm Jumeirah as an example, still more popular than ever. In addition to the obvious advantages of its year-round sunshine and climate, our clients also welcome being in one of the most safe cities in the world where families can relax and enjoy the benefits that come from living in Dubai.”