The off-plan market is driving the growth of Dubai real estate as it records slightly more than 78% growth in sales.

Dubai real estate is heading for a strong first quarter as February 2023 proves to be a record-breaking month with a total of 8,515 transactions, marking the highest February in Dubai real estate history.

According to Zoom Property Insights, the off-plan market is driving Dubai real estate as it saw a little over 78 per cent increase in sales. In comparison, the secondary market jumped by 18.8 per cent.

Insights' data also revealed that a total of 17,741 transactions have been recorded so far in 2023. In terms of prices, the market witnessed increases of 10.5 per cent and 11.5 per cent in January and February respectively.

A further breakdown by Zoom Property Insights shows that the average price per square foot for flats has reached Dhs1,211, while villas have recorded a price of Dhs1,432.

Ata Shobeiry, CEO of Zoom Property, cited rising demand and increased interest from high net worth individuals as the main reasons for Dubai's property outperformance.

"Despite the global challenges of inflation, the Dubai real estate market continues its upward trend, attracting foreign investors and high net worth individuals. Judging by recent trends, both prices and demand are expected to increase over time," he said.

According to Zoom Property Insights February 2023, Jumeirah Village Circle (with almost 1,000 transactions worth Dh774 million), Business Bay (with 770 transactions worth Dh1,327 million) and Dubai Marina (with 767 transactions worth worth Dh2.727 billion) are the best areas to buy property in Dubai.

Insights data further shows that JVC, Dubai Marina, Business Bay and Dubai Creek Harbour were the top choices for buyers buying flats.

For villas, the highest sales transactions were recorded in Daamc Lagoons, Arabian Ranches 3 and Al Yelayiss 2. February 2023 also saw Nad Al Sheba First and The Valley gaining popularity among villa buyers.

In terms of price per square foot, flats in Jumeirah, Palm Jumeirah and Downtown Dubai recorded the highest increases at Dhs2,388, Dhs2,311 and Dhs2,278 respectively.

In terms of villas, The Palm Jumeirah (Dhs4,309), Emirates Hills (Dhs2,428) and Jumeirah (Dhs2,325) recorded the highest price jumps per square foot.

"With the recent launch of several new projects, the Dubai real estate market continues to attract the attention of high net worth individuals and foreign investors, and poses stiff competition to other advanced metropolitan cities. I am hopeful that this upward trend will continue throughout the year, making it another record breaking year for Dubai real estate."