Sultan Butti Bin Mejrin, Director General of the Dubai Land Department (LD) announced that the total value of property transactions in Dubai reached more than AED 83 billion in the first 9 months of 2012.
The transactions were documented officially by the LD’s Real Estate Development Department and consisted of 27452 transactions dominated by sale and mortgage, and fewer number of usufruct rights registration (Musataha), donations and other types of property transactions.
The property transactions have become more mature and the investors are now much more aware. The market offers multiple-choices and Dubai property sector showed high flexibility in dealing with investors’ requirements and trends during the first 9 months, most notably first time investors who seek to benefit from investment opportunities that emerged due to price correction witnessed by the market over the past two years, according to Bin Mejren. He noted that the price indication took a upward trend during the past few months due to the demand and purchase transactions of land, villas and apartments in certain distinguished projects in Dubai.
The lion’s share of total transactions was dominated by sale with 20925 transactions at the value of more than AED 43 billion. The sale accounted for 52% of the total transactions in the first 9 months of this year while mortgages accounted for 44% of the total transactions at the value of AED 36.3 billion through 5042 transactions.
The director general of LD added that 1485 transactions were registered as usufruct rights (Musataha), donations and other types of property transactions at the value of AED 3.7 billion which represented 4% of the total transactions.
The 9 months results showed 65% of transactions were on land sale and mortgage, while apartments’ sale and mortgage exceeded the same transactions on buildings and villas by 86%.
He noted that the total number of land sale and mortgage of all kinds reached 5488 transactions at more than AED 54 billion. There were 3327 Land sale transactions of various types worth more than AED 20.5 billion, while land mortgage transactions were around 1636 worth more than AED 30.9 billion.
The total number of sale and mortgage transactions on buildings and villas in the same period hits 1451 transactions worth more than AED 4 billion, while the number of building sale reached 917 buildings worth more than AED 2 billion. The total number of mortgage transactions on buildings reached 487 building worth more than AED 1.6 billion.
The sale and mortgage on residential and commercial units reached 20513 transactions valuing at around AED 25 billion whereas the sale transactions on units reached 16681 transactions worth AED 2 billion while mortgage on other units reached 2919 at the value of AED 3.6 billion.
The vacant lands dominated the land transactions with 57% compared to lands with properties built on them. The transactions on units exceed those on buildings by 86%, according to Bin Mejren.
The LD recorded Wadi Al Safa 5 as the most traded areas in term of a number of land transactions with 403 transactions. Burj Khalifa tops list of most traded areas in units terms with 3305 sale transactions. While in the land mortgage transactions, Al Barsha South First was the most traded areas with 203 transactions whilst the Burj Khalifa saw 442 apartment mortgage transactions.