The UAE’s real estate market is anticipated to gain further traction and attract strong demand, buoyed by the Emirates’ “strong fiscal position, growing levels of inbound investments, strong population growth, and safe haven status,” according to CBRE Research’s Residential Market Review 4Q 2023 report (pdf).

Dubai’s residential market prices are set to remain “relatively strong” in 2024 across both the apartment and villa segments, CBRE said. However, the rate of price growth is expected to decelerate.

On the rental front: The rental market will “maintain [its] upwards trajectory” driven by low supply and surging demand, the US-based real estate firm said. Some 68k units are poised to be completed this year, with 22.7% of the units set to be delivered in the Business Bay, District Seven, and Damac Lagoons areas.

Meanwhile in Abu Dhabi, the emirate is projected to see over 4.4k units completed, with 69.1% of the units located on Yas Island and Al Maryah Island. The office occupancy market is anticipated to see high demand, with Prime and Grade A units projected to “outperform the wider market.”

The UAE’s residential real estate market ended 2023 on a “strong note,” CBRE’s head of research Taimur Khan said in a press release. Dubai’s residential market soared to a record high of some 119k units sold over the year, growing 29.6% y-o-y from the sales recorded in 2022. Abu Dhabi’s real estate market registered over 11k transactions, jumping 77.7% y-o-y in 2023 driven by off-plan sales more than doubling and secondary market sales rising 27.7% y-o-y.

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