With demand for each off-plan and prepared properties in Dubai at an all-time excessive, builders are locked in an intense battle to win over actual property buyers.
Firas Al Msaddi, CEO of fäm Properties, says extra choices for consumers in a maturing market signifies that builders are battling on a number of fronts to get their consideration.
“The abundant supply of residential property is influencing buyers and investors to become more selective when choosing a project, and even an individual unit,” says Al Msaddi.
“This is likely one of the indicators of a maturing market. As a outcome, the competitors between actual property builders is intensifying, and a number of other important aggressive metrics resolve who stands out.
“One secret is the general worth of every providing, together with way of life and dwelling expertise, location, ending and general high quality, supported by the developer’s model and popularity.
“Meanwhile, with property values at an all-time high, the total ticket price per unit is becoming more significant than price per square foot. Payment plans are particularly crucial in the current environment of high borrowing costs.”
Soaring Dubai property demand was highlighted by a file AED124.4bn of transactions in Q2 2024. Meanwhile, progress in provide continues, with 59,000 items registered by builders up to now this yr, following final yr’s whole of 101,000, double the determine for 2023.
“While the off-plan property market remains robust, not all developers fully capitalise,” says Al Msaddi. “Projects that stand out have unique selling points – like Verve City Walk, which recently sold 427 units in 45 minutes, with the penthouse fetching AED30 million.”
“The best sales stories come from developers like EMAAR, Nakheel and Meraas devoting time and resources to know the market inside-out, planning carefully, and having experienced brokers on their teams.”
Developers, no matter their dimension, are additionally competing for the eye of actual property brokers, who account for many gross sales, and may profit by avoiding the quick monitor to fee.
“Smart agents understand that selling the right property to investors to give them the best returns brings continued business and referrals,” says Al Msaddi. “Agents who prioritize higher commissions for themselves over project profitability often miss out in the long run.”