Latest news with #housinggrowth
Arabian Business
4 days ago
- Business
- Arabian Business
Abu Dhabi real estate: Residential prices surge 17.3% with strong demand from global investors
Abu Dhabi's residential property market continued its robust growth in Q2 2025, with average prices rising 6.4 per cent quarter-on-quarter to AED1,230 per sq ft ($335), according to Knight Frank's latest Abu Dhabi Residential Market Review. This brings the total annual price growth in the emirate to 17.3 per cent, marking a 31.3 per cent increase since Q1 2020. Apartments led the quarterly gains, climbing 6.8 per cent to AED 1,296 per sq ft ($353), reflecting a 17.3 per cent year-on-year rise. Abu Dhabi real estate prices Al Raha Beach and Al Saadiyat Island were standout locations for apartment price growth, up 11 per cent and 10 per cent respectively since H1 2024. Both areas offer prime beachfront living, with Al Raha Beach benefiting from its proximity to Yas Island's leisure attractions. Villas outperformed over the long term, posting a 3.4 per cent quarterly increase to AED 1,103 per sq ft ($300), with prices up 42.3 per cent since Q1 2020. Villas on Al Saadiyat Island recorded a 28 per cent year-on-year jump, followed by Yas Island with a 22 per cent rise. Villas represent 37.4 per cent of Abu Dhabi's supply pipeline, where demand remains strong due to limited new villa developments and competitive pricing compared to Dubai. Residential transactions reached AED9bn ($2.45bn) in H1 2025, down 36 per cent from H1 2024, reflecting supply constraints despite the delivery of 890 new units. However, more than 33,000 homes are under construction and expected by 2029, with apartments comprising 62 per cent of this future supply. Yas Island leads new developments with more than 8,000 units, followed by Al Shamkha with around 3,000 units. Branded residences by Aldar at Mandarin Oriental and Nobu also bolster Saadiyat Island's pipeline. Knight Frank highlights growing interest from international buyers attracted by Abu Dhabi's lifestyle amenities and business environment. Private capital targeting Abu Dhabi's residential market is estimated at $1.6bn, making it the UAE's second most popular destination after Dubai. Demand from global high-net-worth individuals (HNWIs) continues to rise, with 19 per cent intending to purchase property in Abu Dhabi in 2025, up from 14 per cent last year. Particularly strong interest comes from those with wealth between $30m and $50m, where 75 per cent plan to buy, and 65 per cent of those above $50m express similar intentions. Shehzad Jamal, Partner – Strategy and Consulting, MENA, said: 'Some 63 per cent of global high-net-worth individuals interested in buying in Abu Dhabi are doing so for personal reasons; they intend to use the property as their main residence, or holiday home, or for retirement. 'The remaining 37 per cent are investment-driven. For buyers who may have been priced out of Dubai, or who want to diversify their UAE portfolio, Abu Dhabi is increasingly attractive, with average residential prices growing by around 17 percent year-on-year.' With average residential prices approximately 30 per cent lower than Dubai, Abu Dhabi's market offers attractive value for investors and homebuyers amid continued strong demand and limited supply.
Daily Mail
01-06-2025
- Business
- Daily Mail
Aussie house prices soar in every major city as reason behind surge emerges
Home values have set a record as falling interest rates send buyers piling back into the property market. The median dwelling in Australia was worth $831,288 in May - a 0.5 per cent jump on the month before - data released by property analytics firm Cotality, formerly CoreLogic, on Monday showed. Every capital city, as well as the combined regions, exhibited growth of 0.4 per cent or more, in a broad-based recovery largely down to buyers feeling better about their purchasing capacity. 'Undoubtedly, interest rates have had a positive flow through to housing markets since February,' said Cotality research director Tim Lawless. 'But I certainly wouldn't call the rate of growth shooting the lights out. A 0.4 per cent to 0.5 per cent growth rate is much more sustainable than what we were seeing, say, in early 2023 up to mid-2024.' After a shallow and short-lived downturn at the end of 2024, the recovery in prices had more to do with sentiment than a genuine improvement in serviceability or access to credit, considering interest rates were still in restrictive territory, Mr Lawless said. 'And we know from historical correlations, consumer confidence and housing activity tend to go hand-in-hand.' Changes in property values have converged across markets after record divergences in price growth in 2024. In August, there was a 26.1-percentage point difference between the annual growth rate in Perth (24.5 per cent) and Hobart (-1.6 per cent). Price rises have slowed in the Western Australian capital, but properties there still increased at 0.7 per cent in May, behind only Darwin, which grew at 1.6 per cent. While 2024's astronomical growth rate of 19 per cent was unlikely to be repeated, Perth's low price base, strong economy, high interstate migration numbers and low property listings would continue to lift values higher, Mr Lawless said. Nationally, rents grew at 0.4 per cent in May following three straight months of 0.6 per cent gains. On an annual basis, rental growth is clearly trending downwards, with the largest markets of Sydney and Melbourne the softest. Capital city vacancy rates remain below the long-term average at two per cent, boosting prices. Net overseas migration falling back to normal levels after the post-COVID spike and increasing household sizes were keeping a lid on demand. But slow progress on the supply side of the ledger doesn't look like improving soon. Dwelling approvals fell 5.7 per cent in April, the Australian Bureau of Statistics reported on Friday, putting the national target of 1.2 million new homes over five years further out of reach. 'Rental affordability challenges are going to be with us for some time yet, given how tight rental conditions are,' Mr Lawless said. Following the Reserve Bank's decision to cut interest rates by 25 basis points at its May meeting, governor Michele Bullock said it was not the RBA's responsibility to address housing affordability through monetary policy. Governments, she said, held the levers to fix the imbalance of supply and demand. 'There's nothing the Reserve Bank can do about these affordability issues of housing,' she said. 'This is an issue of housing demand and housing supply, and increasingly this issue is finding its way into the governments, both state and federal governments, and that's where the focus has to be.'
The Independent
09-05-2025
- Business
- The Independent
Rightmove sees customer and revenue growth as UK housing market improves
Rightmove has said it continues to see growth in membership numbers amid improving conditions in the UK housing market, as listings hit a 10-year high on its platform. The property listings giant said it is still forecasting revenue growth between 8% and 10% this year compared with the year before. The company said this was bolstered by growing membership numbers, as well as improving revenue per advertiser, a key metric for the firm. Rightmove was reporting its financial results for the first four months of 2025, ending April 30, which included the months before the stamp duty holiday ended, which had temporarily raised the threshold for paying the tax on property purchases. Rightmove said it had seen a 5% year-on-year increase in new buyer demand as the property market continues to recover following a period of high interest rates and expensive mortgages in recent years. New property listings were up 9% compared with the same point in 2024, while sales agreed were up 7%, it added. Since the beginning of April, available listings have risen to a ten-year high, it continued, and at the end of the month were 13% ahead of the same point last year. In the rental market, meanwhile, there continues to be an 'imbalance' between supply and demand, with rental prices continuing to grow. Rightmove said there were an average of 11 inquiries per available property in the period, lower than the equivalent period in 2024, but still double pre-pandemic levels. Chief executive Johan Svanstrom said: 'We're pleased to have started 2025 with good financial, operational and strategic momentum. 'In particular, we're making strong strides forwards in delivering new tools and products to make the property journey smoother for both consumers and our partners. 'In the current uncertain global climate, our UK-focused, subscription-based and B2B-oriented (business-to-business) business model means that we are comparatively well insulated from the volatility that some other companies and industries are having to contend with.'
