Data from global real estate consultancy Knight Frank showed impressive figures. In 2023, the number of homes sold in Dubai valued at over $10 million reached 431 units, marking a 92.4% increase from the previous year's 224 units.

The report further highlighted that sales of homes with values exceeding $10 million grew by 91% last year, totaling $7.6 billion, with 28% of sales concentrated in the fourth quarter.

Faisal Durrani, Partner and Head of Research at Knight Frank for the Middle East and North Africa region, stated in a release, "Dubai's status as the most active market for residences priced above $10 million is more solidified. The strong demand from international buyers for Dubai's most luxurious residences is also reflected in an 8.9% decline in the city's listings for homes valued above $10 million last year."

Durrani further noted that developers are actively responding to the rise of the United Arab Emirates as one of the world's most sought-after luxury second-home markets.

He said, "Indeed, the robust demand from international ultra-high-net-worth individuals has significantly driven the development of the $25 million and above or super-prime market. In 2023, the number of transactions in this super-luxury market doubled, reaching 56 transactions, with a total value of $2.3 billion."

These findings align with a recent report from Sotheby's titled "International Luxury Real Estate Outlook," which highlighted Dubai's record-breaking year in 2023, with ultra-luxury residential prices reaching $4,000 per square foot.

Knight Frank's analysis also revealed that in the first nine months of 2023, the number of homes sold in Dubai valued at over $10 million was more than twice that of New York, which recorded 159 transactions compared to Dubai's 323.

Similarly, the residential real estate market for properties above $10 million in Dubai saw a total sales value of $58 billion in 2023, almost double that of second-place London ($32 billion).

Jumeirah Palm Island remains the epicenter of luxury residential sales in Dubai, accounting for 38.5% (166 transactions) of homes sold above $10 million in 2023 and 39.2% (22 transactions) of those above $25 million.

Will McKintosh, Partner and Head of Residential for the Middle East and North Africa at Knight Frank, stated that despite a decline in inventory levels, Dubai continues to attract genuine end-users and second-home buyers.

He said, "For instance, the number of homes available for sale on Jumeirah Palm Island decreased by 9.5% compared to 2022, reflecting the buying and investment attitudes of the majority of purchasers."

Following Jumeirah Palm Island, Jumeirah Bay Island ranked second with 47 transactions, while the recently launched Jebel Ali Palm Island closely followed with 36 transactions. Tilal Al Ghaf and Mohammed bin Rashid City tied with 29 transactions each.

Knight Frank's report highlighted that the record-breaking sales of the first residences on Jebel Ali Palm Island in September 2023 also underscored Dubai's demand for luxury waterfront residences.