Dubai homeowners renovate villas, townhouses as prices double in 3 years
'Since May 2022, the average villa and townhouse prices have skyrocketed by a remarkable 92 per cent, climbing from Dh3.475 million to Dh6.682 million in just three years. Even within the last year alone, these properties have seen a significant 35 per cent increase in sales price across villa and townhouse communities.
This is a clear indicator of sustained demand, limited supply, and growing investor confidence in villa and townhouse communities in Dubai,' said real estate agency Allsopp and Allsopp, quoting Dubai Land Department (DLD) data.
'The Dubai real estate market is not just growing; it's redefining investment benchmarks, especially for villas and townhouses. Imagine nearly doubling your investment in just three years; that's the reality for villa and townhouse owners in Dubai.
"The under-supply of quality homes, particularly ready and upgraded villas, continues to fuel this growth. Buyers want space, established communities, and turnkey homes they can move into immediately which is exactly what communities like Arabian Ranches, Jumeirah Golf Estates and Victory Heights have,' said Lewis Allsopp, chairman of Allsopp & Allsopp.
Upgrading older villas, townhouses
Dubai's property market has seen massive demand, especially for bigger units such as villas and townhouses soon after the outbreak of the pandemic. The restrictions on the people's movement by the authorities to contain the pandemic prompted residents to look for bigger units, pushing demand and prices of villas substantially higher.
Dubai Land Department (DLD) reported Dh54 billion in property sales transactions in May, an impressive 11 per cent increase from the previous month.
According to Asteco's latest data, 6,375 villas were handed over in 2024 and 2,750 in the first quarter of 2025. It is expected that 14,600 villas will be handed over by the end of 2025.
The real estate agency noted that sellers are increasingly recognising the potential in renovating older properties, as these modern homes within their community now command significant prices.
'We're now seeing more sellers upgrade and list their homes as the demand for bigger, newly renovated properties grows. Many of Dubai's older homes offer unmatched space, with buyers opting for modernised and renovated homes rather than taking on the time and effort of upgrading themselves,' said Lewis Allsopp.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The National
an hour ago
- The National
UAE ranked second most preferred destination for FDI globally
The UAE has been ranked as the second most preferred destination for foreign direct investments globally, as the country continues efforts to further diversify its economy. The Emirates was second to the US, but outranked the UK (at third), India (fourth) and Germany (fifth) in the rankings, state news agency Wam cited an FDI Intelligence report as saying. The Emirates, which received Dh167 billion ($45.5 billion) in FDI last year, aims to increase that figure to Dh1.3 trillion by 2031. The UAE was also ranked as the world's top FDI performer last year relative to the size of its economy, followed by Namibia and Costa Rica, according to FDIIntelligence's Greenfield FDI Performance Index released this week. 'Investor confidence in the Gulf's business hub remained strong last year,' the report said. The country received 'more than 14 times the volume of FDI projects that one might expect given the size of its economy', it added. To boost FDI, the UAE has unveiled several initiatives including 100 per cent foreign ownership of companies, reduced visa restrictions and incentives for small and medium enterprises. It also unveiled the NextGen FDI programme, which seeks to speed up licensing, increase the issuance of bulk or golden visas, improve banking services and provide commercial and residential lease incentives for technology companies seeking to relocate to the country. The UAE's push to sign a series of Comprehensive Economic Partnership Agreement with its partners around the globe has also helped to boost FDI. Launched in 2021, Cepa deals reduce tariffs and remove trade bottlenecks and boost bilateral investment in priority areas.
Khaleej Times
2 hours ago
- Khaleej Times
Dubai: Mosques, Eid prayer grounds to get upgrades under new agreement
Mosques and prayer grounds in Dubai are set to undergo upgrades, as a new strategic agreement has been signed in the emirate's government. The Dubai Municipality and the Islamic Affairs and Charitable Activities Department in Dubai (IACAD) signed the agreement in order to: Overhaul the infrastructure of religious facilities Preserve heritage mosques Enhance the design of Eid prayer grounds Improve the management of funeral and cemetery services Stay up to date with the latest news. Follow KT on WhatsApp Channels. Heritage mosques Under the agreement, a unified vision for the design and construction of mosques will be established. The authorities aim to also preserve cultural, religious, and architectural heritage. Dubai Municipality will restore and maintain heritage mosques and IACAD will manage their operations, including providing imams, muezzins, preachers, religious programmes, and daily cleaning services. Dubai Municipality will review and simplify relevant procedures, expedite permit approvals, and incorporate IACAD's approved engineering, planning, and construction standards into the Dubai Building Code. Temporary prayer facilities will be established for on-site workers, and donors will be encouraged to support mosque construction using advanced 3D printing technology. Funeral and cemetery services Dubai Municipality will also develop and upgrade mortuary washing facilities. IACAD will oversee all Shariah-related aspects, including appointing staff for washing, shrouding, and burial, training personnel, licensing mortuary washers, issuing permits for volunteers, and ensuring full compliance with religious procedures. Marwan Ahmad Bin Ghalita, Director General of Dubai Municipality, said that the partnership strengthens the entities' efforts to provide high-quality services and enhance quality of life while "preserving the authentic character of historic mosques and prayer sites." Ahmed Darwish Al Muhairi, Director General of IACAD, said, "Our goal is to create spaces that embody Islamic values, preserve heritage, and serve all segments of society.' Eid prayer grounds The agreement also includes improvements to Eid prayer grounds. Dubai Municipality will undertake beautification works, issue permits and develop the grounds according to an upgraded model that includes facilities for commercial outlets and required construction features. IACAD will operate the grounds, provide administrative support, and monitor operations. This agreement is set to deliver high-quality, sustainable religious facilities and support social activities that uphold Islamic values.
Zawya
2 hours ago
- Zawya
Al Salam Bank announces record profits for H1 2025
Manama-Bahrain – Al Salam Bank (Bahrain Bourse Trading Code 'SALAM', Dubai Financial Market Trading Code 'SALAM_BAH') announced net profits attributable to shareholders of USD 98.2 million for the six-month period ended 30 June 2025 ('H1 2025'), reflecting an increase of 30.9% from USD 75.0 million in H1 2024, and a return on equity of 16.9%, up from 15.6% in the previous year. This increase in profitability was predominantly driven by the strong performance of the Group's core banking operations. Correspondingly, earnings per share increased by 29.0% to USD 31.8 cents in H1 2025, compared to USD 24.7 cents in H1 2024. During the first half of 2025, the Group successfully executed a wide range of optimization initiatives to enhance its operational efficiency which was evident in the reduction noted in the cost-to-income ratio during the period from 49.9% in H1 2024 to 45.3% in H1 2025. The Group's balance sheet sustained its upward momentum, with total assets rising by 10.8% to USD 20.76 billion in H1 2025, up from USD 18.73 billion in 2024. Financing assets increased by 8.3% to USD 10.52 billion, while customer deposits grew to USD 14.07 billion, recording a growth of 7.1% from USD 13.14 billion as at 31 December 2024. Total shareholders' equity increased by 11.7% to USD 1.07 billion in H1 2025 compared to USD 956.2 million as at 31 December 2024, supported by the net profit recorded during H1 2025 as well as the successful closing of several key capital building initiatives including the Bank's USD 450 million Additional Tier 1 (AT1) capital issuance. Consequently, the Group achieved a strong capital adequacy ratio of 25.2% as of 30 June 2025, up from 24.8% achieved in 2024. Commenting on the results, His Excellency Shaikh Khalid bin Mustahail Al Mashani, Chairman of Al Salam Bank, said: 'Building on the strong momentum set in the first quarter of 2025, Al Salam Bank sustained consistent growth across its core operations despite the turbulent geopolitical and economic landscape. As global markets remain volatile and opportunities emerge in the region, our ability to adapt and perform with resilience has been a defining strength. We remain focused on long-term value creation, underpinned by strong fundamentals, disciplined risk management, and a forward-looking strategy for sustainable growth in the second half of the year.' Rafik Nayed, Group Chief Executive Officer of Al Salam Bank, added: 'Our H1 2025 results demonstrate the resilience and adaptability of our business model. We have advanced our strategic priorities by improving our operational efficiency, investing in digital innovation and reinforcing our regional capabilities with ASB Capital. Looking ahead, we will continue to deepen client relationships and pursue opportunities across banking and asset management to fuel long-term, diversified growth.' The full set of financial statements, reviewed by external auditors KPMG, is available on the Bahrain Bourse and Dubai Financial Market websites.
