Real Estate

Dubai Home Price Growth May Moderate This Year After 2021 Surge

  • Apartment prices rose 7%, while villas gained 22% in 2021
  • Presistent oversupply will weigh on price gains, Core says

Residential and commercial skyscrapers in the Dubai Marina district, in Dubai.

Photographer: Christopher Pike/Bloomberg
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Price gains in Dubai’s residential property could moderate this year amid continued oversupply, after a surge in demand for larger homes helped end a six-year losing streak in 2021.

Residential prices rose 9.8% in 2021 on average, according to real estate consultancy Core. The increase was driven by single-family homes, known locally as villas, as people worked from home during the pandemic and sought out bigger houses.