Luxury home sales in Dubai hit new high

Luxury home sales in Dubai hit a new high in 2023 with a 92.4 per cent annual growth in the volume of transactions.

There were 431 sales of residential units priced over $10 million last year, according to the property consultancy Knight Frank's latest analysis.

The total value of sales above this price point grew by 91 per cent annually to $7.6 billion (around AED 28 billion), 28 per cent of which was achieved in Q4 alone.

"Dubai has doubled down on its position as the world’s most active $10 million plus homes market. The depth of demand from international buyers for Dubai’s most luxurious homes is also reflected in the fact that city-wide listings above $10 million fell by 8.9% last year," said Faisal Durrani,  Partner – Head of Research, MENA at Knight Frank.

"The voracity of international ultra-high-net-worth demand has also super-charged the $25 million plus, or super-prime market. The number of homes trading at this uber-swanky end of the market doubled in 2023 to 56 deals worth $2.3 billion," he added.

Knight Frank’s analysis also reveals that during the first nine months of 2023, Dubai had already sold more than twice as many homes priced over $10 million than its nearest competitor – New York, which recorded 159 deals, against 323 in Dubai.

Similarly, Dubai’s $10 million+ residential property market registered sales totalling $5.8 billion between Q1-Q3 2023, nearly double the level of second-placed London ($3.2 billion).

The Palm Jumeirah remains at the epicentre for luxury home sales in Dubai, according to Knight Frank.

The palm tree shaped island accounted for 38.5 per cent of homes sold for more than $10 million in 2023 (166 deals), and 39.2 per cent (22 deals) of sales of more than $25 million.

Following closely behind the Palm Jumeirah for the total number of homes sold for more than US$ 10 million in 2023 is Jumeirah Bay Island (47 sales) and the recently launched Palm Jebel Ali (36 transactions).