Dubai real estate: Rising villa demand signals trend towards long-term living

According to Property Finder’s latest insights for 2024, it’s revealed that an overwhelming 85% of potential homeowners now prefer villas with three bedrooms or more. In addition to this, 40% of those looking to purchase homes are eyeing villas, particularly in prime locations like Dubai Hills Estate, Al Furjan, Arabian Ranches, Palm Jumeirah and Mohammed Bin Rashid City.

What’s behind the rising demand for spacious villas over stunning skyscraper views? Let’s delve into the factors fueling this trend.

  • Younger Generation: The first quarter of 2024 saw 39% of villa buyers under the age of 40, a notable increase from 31% in the same period last year. This young demographic, encouraged by rising rental prices, is investing in villas for more space and long-term gains.
  • Ownership: Villa ownership is becoming accessible across different income levels, thanks to flexible payment plans. In early 2024, 47% of buyers reported incomes below AED 50,000 per month—a significant jump from 37% in early 2023. This change points to a wider, more inclusive market for villas.
  • Impressive Returns: Despite an uptick in villa prices, their investment return is compelling. In 2023, five-bedroom villas on Palm Jumeirah saw returns skyrocket by 41%, with Dubai Hills Estate and Arabian Ranches not far behind, showcasing increases of 38% and 29%. Clearly, villas are more than a luxury; they’re a smart financial decision.
  • Range of desired amenities and facilities: The demand for villa amenities reflects a changing lifestyle preference among Dubai’s property seekers. The top searches over the last three years have focused on homes with a maid’s room, study area, and private pool. Specifically, there’s been an escalation in searches for villas with maid’s rooms, with over 129,000 queries in 2024 alone. Additionally, interest in Vastu-compliant homes and waterfront views is growing, along with the demand for pet-friendly environments.

Indicating a growing inclination towards a holistic lifestyle, it appears that Dubai’s property demand is shifting towards vibrant and positive communities within the city.

Original article reference: Zawya.


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