Price Gains Become More Selective
    Price TrendsFebruary 3, 20233 min read

    Price Gains Become More Selective

    Prices are still rising, but not everywhere at the same pace. Which areas continue to outperform and why location and quality matter more than ever.

    Director of Research

    Previously with Knight Frank's Global Research team. Michael brings deep expertise in cross-border capital flows and emerging market real estate dynamics.

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    Dubai's price growth continues, but it is becoming more selective. Some areas are still seeing strong gains, while others are levelling off. The market is moving from a broad-based rise to one where location, quality and supply determine performance.

    Areas outperforming

    • Prime waterfront: Palm Jumeirah, Bluewaters, Emaar Beachfront.
    • Established villa communities: limited supply, strong family demand.
    • Central districts: Downtown, City Walk, DIFC.

    Areas levelling off

    Areas with significant upcoming supply or weaker amenities are seeing slower growth.

    Why selectivity matters

    In a selective market, choosing the right property makes a larger difference to returns. Buyers who focus on quality and scarcity tend to outperform.

    Rents

    Rents continue to rise in most areas, supported by population growth, but affordability is becoming a constraint.

    Advice for buyers

    Compare prices with recent sales, assess future supply and consider long-term demand from end users.

    Comparing buildings in the same area

    In a selective market, differences between buildings in the same neighbourhood can be as significant as differences between neighbourhoods. Two towers a short walk apart may have very different prices because of views, age, build quality, management, service charges and amenities. Buyers should compare several buildings on the same basis, looking at recent sale prices per square foot, typical rents and the condition of common areas. Speaking to building managers and residents gives further insight. This detailed comparison helps buyers find properties that offer the best value and avoid paying a premium for a building that does not justify it.

    Our view

    A more selective market rewards careful analysis. We help clients identify areas and properties with lasting strength.

    PricesMarket segmentsLocation