Dubai real estate sector will maintain a positive momentum in the second half of 2021 as visa reforms, a successful Covid-19 vaccination plan and government measures to boost the economy drive demand and manage oversupply.
Analysts and experts said that the segment of villas is currently in more demand than that of apartments. In this regard, prices will increase up to 5% in the forecasted future (presumably from July to December).
According to Haider Tuaima, the head of the oversupply research department, the positive dynamics in the market, which began in the third quarter of 2020, due to the general positive sentiment in the real estate sector and competent decisions of the government in the field of stimulating the growth for property demand, will continue until the end of 2021.
He stressed that the nationwide vaccination program has further strengthened market sentiment.
“With average property prices hovering around 900 AED per square meter and banks offering record low interest rates coupled with higher LTVs of up to 85%, real estate has become more affordable,” Tuaima said.