Emirates: Average Dubai property prices will increase by 5-10 percent during 2022 as the market maintains momentum after a record-breaking year, according to a leading broker.

Haus & Haus said overseas investors will continue to penetrate the market, for both investment properties due to healthy yields and tax benefits as well as for second or third homes with a longevity view of Dubai.

“There’s a lot to play for this year as we recover from the pandemic, and we can see Dubai is ripe with opportunity for tenants, buyers, and investors alike,” said James Perry, managing director, Haus & Haus.

“We predict upwards momentum, with a 5-10 percent increase in sales prices anticipated through 2022. We also see the short-term rentals market strengthening due to high occupancy rates, increased yields, and flexibility for tenants – especially for those new to Dubai.”

According to Haus & Haus, the average age of those acquiring super luxurious properties in Dubai will drop significantly this year due to an influx of tech/crypto investors.

He added that off-plan launches will continue to drive the market with developers vying for their share by offering attractive payment plans or other incentives such as waived Dubai Land Department fees for buyers.

Beachfront apartments will feature heavily on the radar of those moving, due to impending availability of handover on projects such as Emaar Beachfront and Port De La Mer, said Perry.

“We will see continued buoyancy for residential sales/leasing. The short-term market may well see a readjustment of daily rates as these have risen sharply during the Expo period. We also predict the retention of many temporary Expo staff enticed by the sun, sea, sand, security, and feasibility of an easy relocation to Dubai full-time.”

Haus & Haus also predicted that demand for larger homes will continue in a nod to home schooling and remote working.

“People will also be prepared to pay large premiums for quality, whether direct from the developer or heavily upgraded homes,” he said.

Perry added: “Habitual renters will look to purchase due to the steep hike of rental rates in the past year, some fantastic mortgage terms currently, and the ‘livability’ of Dubai made prevalent due to the Covid-19 restrictions elsewhere.”

Founded in 2013, Haus & Haus operates from offices in Gold & Diamond Park and Arabian Ranches and currently employs around 140 brokers.