In its latest Capital Value Report, real estate consultancy ValuStrat said that prices in Dubai's villa communities rose 17.1 per cent year-on-year (YoY) and 1.1 per cent quarter-on-quarter (QoQ) in March 2023.

Emirates Hills and Jumeirah Islands were the most popular villa communities, with annual growth rates of 21.1% each, followed by Arabian Ranches (19.4%) and Jumeirah Park (17.9%).

In terms of flats, prices rose by 6.6% per annum, with a quarterly increase of just 0.1%. Palm Jumeirah and Jumeirah Beach flats achieved double-digit growth in March, up 15.6 per cent and 11.2 per cent year-on-year.

However, annual flat prices in communities such as Jumeirah Village, Remraam, Dubai Sports City, Dubai Production City and Dubai Silicon Valley were virtually unchanged.

Overall, residential sales increased by 46.9 per cent year-on-year and 37.6 per cent year-on-year in March.

Off-plan Oqood (contract) registrations jumped 44 per cent sequentially and 101.3 per cent year-on-year, reflecting the majority share of overall home sales in March, or 58.9 per cent.

Sales of existing homes rose 29.5 per cent sequentially and 5.9 per cent year-on-year, the report said.

A total of 27 sales of existing homes priced over Dhs30 million were reported in Palm Jumeirah, Al Barari, Emirates Hills, Jumeirah Golf Estates and Business Bay.

Jumeirah Village topped the list of unplanned sales areas, followed by Dubai Creek Harbour, Business Bay, Dubai Hills and Arjan.

Meanwhile, the majority of existing homes were sold in Jumeirah Village, followed by Dubai Marina, Business Bay, International City and Jumeirah Palm.

The report added that Dubai Silicon Oasis, Jumeirah Village and Dubailand residential areas reported the highest number of single-month sales transactions during March, suggesting that buyer demand may be shifting towards mid-range to affordable areas.