Thursday 28 May 2020

Ramadan property sales in Dubai steady last 4 years

DUBAI, June 2, 2019

Real estate transactions in Dubai during Ramadan have been consistent for the past four years, said Property Finder, a pioneering real estate portal in the Mena region in a new report.

In 2015, 13 per cent of the overall property sales transactions in the Dubai market were during Ramadan. The value of these sales was Dh9.11 billion ($2.48 billion) compared to Dh75.3 billion for the whole year. There were 3,870 transactions during Ramadan compared to 30,737 sales for the entire year. This made June 2015 the highest grossing Ramadan month for property sales in Dubai in a 10-year timeframe.

“Although it is generally perceived that property sales dip during Ramadan owing to shorter working hours, this is mostly a myth,” said Lynnette Abad, Director of Research & Data, Property Finder.

Ramadan has coincided with summer since 2008. The excess heat and school holidays combined weigh on property sales, with house viewings decreasing and several families travelling back home.

In 2018, 8 per cent of the overall property sales transactions in Dubai happened during Ramadan (May-June). These were cumulatively worth Dh6.49 billion compared to Dh76.27 billion for the market as a whole. In terms of volume, Ramadan witnessed 2,684 transactions versus 34,961 sales for the whole year.

“Although the number of property seekers dips a bit because people travel during the sluggish summer months, it is a good time to look for deals since there is less competition in the market. The number of sales transactions during Ramadan does not fall dramatically compared to the preceding months,” Abad added.

For instance, in 2017, 6 per cent of the overall real estate sales in Dubai occurred during Ramadan. They accounted for Dh5.3 billion compared to Dh82.39 billion for the whole year. These include sales of villas, apartments, lands and commercial units.

Similarly, in 2016, 7 per cent of the overall property sales happened during Ramadan. They were valued at Dh5.08 billion versus Dh68.9 billion for all of 2016. Ramadan saw 2,258 sales compared to 30,417 transactions for the whole year.

In 2008, when the Dubai property market was affected by the global economic downturn, sales during Ramadan were worth only Dh700 million and made up 8 per cent of the overall property sales in Dubai (valued at Dh11.5 billion). Dubai clocked 2,684 property sales during Ramadan compared to 34,961 transactions for the whole year. – TradeArabia News Service


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