Real Estate
UAE Property Prices Surge as Secondary Market Supply Tightens
High demand for off-plan units and a shortage of secondary market inventory drive UAE property prices higher despite global economic headwinds.
UAE property prices continue to climb as a supply crunch in the secondary market shifts investor focus toward off-plan developments. Market data indicates that despite high interest rates, demand remains resilient across major hubs in Dubai and Abu Dhabi, driven by an influx of high-net-worth individuals and international buyers. Supply Shortage Drives Price Gains The secondary residential market is facing a significant shortage of available units. This tight inventory has pushed ready-property prices to record highs in prime areas such as Palm Jumeirah and Downtown Dubai. Industry analysts report that many current homeowners are holding onto assets in anticipation of further capital appreciation, reducing the turnover of existing stock. Off-plan Dominance and Investment Trends Developers are responding to the inventory gap by accelerating new project launches. Off-plan sales now represent a substantial portion of total market transactions, with buyers attracted by flexible payment plans and lower entry points compared to ready villas and apartments. The trend is particularly pronounced in emerging districts where infrastructure completion is imminent. Economists note that the…