The first two-months of 2019 have seen positive growth in a selection of key Dubai developments, according to the head of Dubai-based property portal, Bayut.com.
Bayut.com tracks the property market in Dubai and pinpoints where people want to live, both by renting and buying.
"While there was a general prediction of an across-the-board negative start to the year in the property market, there are a range of reasons to be optimistic," said Haider Ali Khan, CEO of Bayut.com.
Haider explained that the overall trend is similar to what happened in the first half of 2018. "While prices on average have decreased for both properties on sale and rent, both sales and rental trends, we have seen very few areas with drastic decreases of over 10%," he noted.
Most changes have remained within this margin, while some popular areas for investment, including Downtown Dubai, Palm Jumeirah and Business Bay have even seen an increase in certain segments.
S&P Global Ratings anticipates that Dubai residential property prices and rents will keep falling until 2020. In 2020, however, the sector could well start to benefit from the potential increase in economic activity and positive business sentiment attached to the Dubai Expo.
Haider named DAMAC Hills as one of the new areas that the market should be keeping an eye on, specifically from an investment perspective. “The villas in the community are attracting a significant amount of investor interest. The proximity to the Expo 2020 site makes the area an attractive proposition for investors."
Another key trend has been the importance of new developments away from the coastline.
According to a previous report launched by Bayut.com, sales and rental prices were expected to decline in the UAE during 2019 due to a large volume of supply. Though price changes were expected to be modest, and the rate of decline was expected to possibly slow down.
Meanwhile, the long-term UAE property outlook in 2019 remains positive, with the declining property prices in the UAE making the market favourable for investors and tenants.
Dubai’s real estate market could benefit this year from the potential increase in economic activity as Expo 2020 inches closer, bringing in tourists as well as new residents to the country.
The UAE introduced new laws in 2018 to incentivize the real estate sector, including the new 10-year residency visa in the UAE and five-year retirement visa—with the condition of owning a property.