The UAE’s real estate sector continues to thrive, contributing around 5.5% to the nation’s GDP, according to Waya.
This growth is powered by diverse business sectors, including hospitality, industrial, and food and beverage, which have fueled demand for both residential and commercial properties. High demand coupled with limited supply, especially in prime locations, has driven significant revenue growth in the real estate market.
Dubai’s Residential Market Sees Unprecedented Growth
Dubai’s residential real estate market experienced a remarkable 35.6% year-to-date increase in sales transactions as of 2024. This surge was largely fueled by off-plan property sales, which saw a 50.3% year-on-year rise in transaction volumes in Q3.
The Golden Visa, launched in 2019, has played a pivotal role in attracting investors. By offering long-term residency of up to 10 years to individuals investing at least AED 2 million in real estate, the visa has bolstered interest in the market.
Popular areas like Jumeirah Village Circle and Dubai Hills Estate have seen rental yields soar to 8.5%, making real estate ownership more attractive than ever.
Tourism and Hospitality Driving Market Strength
The hospitality sector also contributes significantly to the UAE’s economic vitality. Dubai reported a 2.7% year-on-year rise in revenue per available room (RevPAR) as of September 2024, while Abu Dhabi’s hotels hosted 2.4 million guests from January to May 2024, highlighting strong tourism demand.
The food and beverage sector has also seen heightened competition, leading to renewed leases in prime locations.
The UAE’s Resilient Job Market
The job market in the UAE remains robust, with employment having risen by 30% compared to pre-pandemic levels, according to Zawya.
Research indicates that 82% of professionals in the UAE and Saudi Arabia prefer staying in the region over relocating to Europe or the U.S. The primary draws are the high standard of living (46%), appealing lifestyle (35%), and ample career growth opportunities (31%).
In early 2024, 62% of professionals reported they were either actively job-hunting or planning to do so, with better salaries (42%) and work-life balance (33%) as the main motivations for career changes.
The UAE’s resilient job market and appealing economic environment solidify its position as a top destination for investment and career advancement.
With its strong real estate growth, bolstered by the Golden Visa initiative and booming tourism, the UAE continues to establish itself as a leading economic hub.
High demand for premium residential and office spaces and the UAE’s ability to attract and retain global talent underscore its success as a prime destination for investment and long-term residency.
WE ALSO SAID: Don’t Miss…Middle East Tourism Booms: Visitor Numbers Double in Just Five Years
