Latest news with #LewisAllsopp
Khaleej Times
4 days ago
- Business
- Khaleej Times
Dubai secondary property market boom sparks concern over 'greedy' price push
Dubai's secondary property market delivered an exceptional performance in the first half of 2025, and momentum is expected to continue in the coming quarters, driven by strong demand for family homes and limited supply. However, some industry professionals warn that this rapid growth has led certain sellers to adopt "greedy" pricing strategies, seeking returns above prevailing market rates. According to real estate firm Allsopp & Allsopp, the secondary market outperformed the off-plan segment across several key indicators in the first half of the year. The total value of sales transactions in the secondary market increased by 46 per cent year-over-year, compared to a 25 per cent rise in the off-plan segment. Average sales prices for secondary properties climbed 15 per cent, while off-plan prices grew by just 5 per cent. "This trend reflects a shift in buyer demand toward ready, high-quality inventory, driven largely by the ongoing shortage of available villas and townhouses across Dubai," Allsopp & Allsopp noted. "We've seen a significant shift in buyer focus towards the secondary market,' said Lewis Allsopp, Chairman of Allsopp & Allsopp. 'This level of activity signals growing investor confidence. Wealthy buyers are choosing Dubai not just for its lifestyle but for long-term capital growth and investment returns. The secondary market is showing its strength, especially in the villa and townhouse segment, where demand continues to exceed supply." In the first half of 2025, apartments accounted for 78 per cent of secondary market transactions by volume, while villas and townhouses made up 22 per cent. However, in terms of price growth and value, villas and townhouses significantly outperformed, reflecting high demand and limited availability of family-oriented homes. Rising prices and 'greedy' sellers Despite the positive outlook, some insiders say that a segment of property owners in the secondary market are inflating asking prices. 'There's a lot of greed from sellers – many are demanding more than what the property is actually worth,' said Murtaza Hashmi, CEO of MH Developers. "As a result, we're likely to see some correction in the secondary market later this year. This won't affect the off-plan segment, but it will be a healthy adjustment for secondary sales." With fewer new villas and townhouses being delivered, many buyers are willing to pay a premium for high-quality, renovated homes in desirable communities. This has prompted a surge in property upgrades, with refurbished homes achieving strong resale values. 'Turnkey, move-in-ready homes are becoming increasingly popular with both end-users and investors, as they offer immediate utility and strong returns,' Allsopp & Allsopp added. Momentum continues In the Dh5 million to Dh10 million range, the brokerage reported a 50 per cent increase in sales volume during the first six months of the year. Even more striking, the ultra-luxury segment – properties priced above Dh10 million – saw a 113 per cent surge in transaction volume. Looking ahead to the second half of 2025, Allsopp & Allsopp expects this trend to continue, with the secondary market, especially villas and townhouses, remaining the key driver of growth. Buyer demand remains robust, and the ongoing scarcity of new, ready-to-move-in homes is likely to keep upward pressure on prices.
Khaleej Times
03-07-2025
- Business
- Khaleej Times
Dubai: Villa, townhouse prices more than double due to influx of families, millionaires
Villa and townhouse prices in some of Dubai's localities have jumped over 200 per cent in three years due to sustained demand amidst limited supply, large influx of families and inflow of millionaires into the emirate. According to data shared by Allsopp & Allsopp, Al Waha and Nad Al Sheba have seen average prices of villas and townhouses jumping 265 per cent and 207 per cent, respectively, between April 2022 and May 2025. Data showed that the average prices in Al Waha rose from Dh1.2 million to Dh4.4 million and from Dh3.07 million to Dh9.44 million in Nad Al Sheba during the comparative period. Among the other top-performing communities, prices of villas and townhouses in Dubai South Residential District and Dubai Investment Park have jumped 185 per cent in both communities from Dh1.4 million to Dh4 million and from Dh2.17 million to Dh6.19 million, respectively. Similarly, Al Quoz, Jumeirah Islands, Dubai Sports City, Emaar South and Al Satwa have seen average villa and townhouse prices doubling since May 2022, rising between 121 per cent and 176 per cent. 'This is a clear indicator of sustained demand, limited supply, and growing investor confidence in villa and townhouse communities in Dubai. A shift in buyer preference towards larger, more private living spaces has driven prices up significantly, underscored by a growth in population and more people wanting to enter homeownership on arrival in Dubai,' said Lewis Allsopp, chairman of Allsopp & Allsopp. Demand for larger units, especially villas and townhouses, has been on the rise since Covid-19. The lockdown during the pandemic prompted many people in the UAE to look to larger properties, pushing demand higher for villas. He said the influx of families moving to Dubai has been a key driver in the rising demand for villas and townhouses. 'With a focus on space, privacy, and access to top-tier amenities and schools, family buyers are increasingly favouring suburban communities. This demand shift is putting upward pressure on prices, particularly in established and well-connected residential areas,' said Allsopp. Allsopp and Allsopp's chief said data primarily showed that those buying villas and townhouses are residents, both long-term expatriates and new arrivals looking to settle and own homes rather than rent, although high-net-worth foreign investors who are active in the luxury segment see the value in investing in the Dubai luxury market.
Khaleej Times
03-06-2025
- Business
- Khaleej Times
Dubai homeowners renovate villas, townhouses as prices double in 3 years
Sellers in Dubai are renovating their older villas and townhouses to take advantage of strong demand as the average price has nearly doubled in the past three years. 'Since May 2022, the average villa and townhouse prices have skyrocketed by a remarkable 92 per cent, climbing from Dh3.475 million to Dh6.682 million in just three years. Even within the last year alone, these properties have seen a significant 35 per cent increase in sales price across villa and townhouse communities. This is a clear indicator of sustained demand, limited supply, and growing investor confidence in villa and townhouse communities in Dubai,' said real estate agency Allsopp and Allsopp, quoting Dubai Land Department (DLD) data. 'The Dubai real estate market is not just growing; it's redefining investment benchmarks, especially for villas and townhouses. Imagine nearly doubling your investment in just three years; that's the reality for villa and townhouse owners in Dubai. "The under-supply of quality homes, particularly ready and upgraded villas, continues to fuel this growth. Buyers want space, established communities, and turnkey homes they can move into immediately which is exactly what communities like Arabian Ranches, Jumeirah Golf Estates and Victory Heights have,' said Lewis Allsopp, chairman of Allsopp & Allsopp. Upgrading older villas, townhouses Dubai's property market has seen massive demand, especially for bigger units such as villas and townhouses soon after the outbreak of the pandemic. The restrictions on the people's movement by the authorities to contain the pandemic prompted residents to look for bigger units, pushing demand and prices of villas substantially higher. Dubai Land Department (DLD) reported Dh54 billion in property sales transactions in May, an impressive 11 per cent increase from the previous month. According to Asteco's latest data, 6,375 villas were handed over in 2024 and 2,750 in the first quarter of 2025. It is expected that 14,600 villas will be handed over by the end of 2025. The real estate agency noted that sellers are increasingly recognising the potential in renovating older properties, as these modern homes within their community now command significant prices. 'We're now seeing more sellers upgrade and list their homes as the demand for bigger, newly renovated properties grows. Many of Dubai's older homes offer unmatched space, with buyers opting for modernised and renovated homes rather than taking on the time and effort of upgrading themselves,' said Lewis Allsopp.
Arabian Business
03-06-2025
- Business
- Arabian Business
Dubai real estate: Villa,townhouse prices soar 92% in three years as property market booms
Dubai Land Department (DLD) recorded AED 54 billion in property sales transactions across Dubai in May, representing an 11 per cent increase from the previous month. Villa and townhouse prices have increased by 92 per cent since May 2022, rising from AED3,475,523 to AED6,682,023 over three years. These properties saw a 35 per cent price increase within the last year alone across villa and townhouse communities, according to DLD data. Investors flock to Dubai 'The Dubai real estate market is not just growing – it's redefining investment benchmarks, especially for villas and townhouses. Imagine nearly doubling your investment in just three years – that's the reality for villa and townhouse owners in Dubai. The undersupply of quality homes, particularly ready and upgraded villas, continues to fuel this growth. Buyers want space, established communities, and turnkey homes they can move into immediately which is exactly what communities like Arabian Ranches, Jumeirah Golf Estates and Victory Heights have,' Lewis Allsopp, Chairman of Allsopp & Allsopp said. The city's secondary property market demonstrated strength last month, with total sales value surging 68 per cent year-on-year and average resale home prices rising 32 per cent. Secondary market transaction volume increased 28 per cent year-on-year, indicating a move towards homeownership for expats settling in the city. The off-plan sector maintained confidence with a 13 per cent increase in average sales price month-on-month and a 20 per cent rise year-on-year. Buyers continue to view Dubai as a destination for capital appreciation and long-term investment, driven by the city's growth, new businesses, tourism appeal, and residential attraction. DLD reported a month-on-month decrease in rental renewal volume (19 per cent) and value (17 per cent), whilst new rental contracts strengthened with volume increasing 15 per cent and value rising 9 per cent month-on-month. This suggests tenants are exploring suburban areas for properties amid ongoing rental price increases in prime locations. Established, older neighbourhoods are experiencing renewed interest, particularly for well-upgraded homes. Sellers are recognising the potential in renovating older properties, as these modern homes within their communities now command higher prices. 'We're now seeing more sellers upgrade and list their homes as the demand for bigger, newly renovated properties grows,' Allsopp said. 'Many of Dubai's older homes offer unmatched space, with buyers opting for modernised and renovated homes rather than taking on the time and effort of upgrading themselves.' The data reflects the value of investing in Dubai's property market, particularly in the villa and townhouse segment. As Dubai continues attracting high-net-worth individuals and long-term residents, demand remains strong for homes that offer space, lifestyle, and move-in readiness.
Arabian Business
02-05-2025
- Business
- Arabian Business
Dubai real estate: Off-plan property sales surge 47% year-on-year in April
Dubai's off-plan property market recorded significant growth in April, supported by sustained interest from international investors and local buyers seeking new developments, according to Allsopp & Allsopp. According to the Dubai Land Department (DLD), the total real estate transaction value in April reached AED46 billion. This represents a 77 per cent increase compared to April last year and a 23 per cent rise from the previous month. Dubai off-plan surge Off-plan transactions drove much of this growth, with a 47 per cent increase in transaction value and a 29 per cent rise in volume year-on-year. These figures underline continued demand for properties under development. Off-plan sales accounted for 59 per cent of all transactions in April. 'Whether you are an investor or a homeowner looking to diversify your portfolio, the off-plan market is where the real opportunity lies,' Lewis Allsopp, CEO of Allsopp & Allsopp said. Allsopp & Allsopp reported a 99 per cent increase in year-on-year sales transaction volume, outperforming the wider market. Sales transaction value rose by 143 per cent compared to April 2024. The secondary market also showed strong activity. The average property price rose by 23 per cent month-on-month, with total transaction value increasing by 41 per cent. Year-on-year, secondary sales grew by 111 per cent in value and 68 per cent in volume. The segment accounted for 57 per cent of the total transaction value in April, with off-plan contributing 43 per cent. Villas and townhouses led the market in terms of price growth. Average values rose by 34 per cent month-on-month, while transaction volume more than doubled with a 110 per cent increase year-on-year. Apartments also recorded a 32 per cent year-on-year rise in average prices. 'We are witnessing a clear trend towards homeownership in Dubai with more individuals recognising the city as a stable and attractive place to settle and invest long-term, not just in villas but also in apartments,' said Allsopp. 'Where previously buyers may have rented before purchasing, many are now skipping that step and directly purchasing properties, drawn by the high-quality offerings of new developments,' he added. Rental transactions, meanwhile, declined. The DLD reported a 24 per cent decrease in rental volume in April. Allsopp & Allsopp noted a 9 per cent fall. This suggests a shift in preference towards property ownership. As demand continues, developers are expanding offerings to remain competitive. 'Developers are raising the bar and becoming increasingly competitive, offering world-class amenities and community-focused living spaces that are attracting strong buyer interest and fostering long-term loyalty,' Allsopp said.
