Based on recent data released by Betterhomes, Indian property investors surpassed Russians as the primary purchasers of real estate in Dubai in 2023. British and Russian buyers claimed the second and third positions, respectively, marking a shift from the 2022 rankings where Russians, British, and Indians held the top three spots in the local real estate market.
The surge in prices for both villas and apartments in Dubai was driven by high net worth individuals and a growing expatriate workforce in the emirate, fueled by unprecedented demand in 2022 and 2023. Foreign investors were attracted to the market by promising capital and rental returns, resulting in billions of dirhams being invested in the sector.
Richard Waind, CEO of Betterhomes, highlighted Dubai’s appeal to global investors, citing attractive returns, security, lifestyle, tax efficiency, and a business-friendly environment. The city experienced significant population growth, welcoming over 100,000 new residents in 2023, underscoring its sustained expansion and enduring allure.
In 2023, the average sales prices of villas in Dubai’s prime communities rose by 15 to 30 percent overall. Expat-favored areas such as Arabian Ranches, Dubai Hills Estate, and Jumeirah Village Triangle saw substantial increases due to limited inventory, with exceptions noted in Jumeirah Golf Estates and Palm Jumeirah.
Apartment prices also climbed, with average sales prices in sought-after communities increasing by 8–20%. Downtown Dubai, Dubai Hills Estate, and Jumeirah Golf Estates performed notably well in this regard.
Betterhomes observed a significant uptick in buyers from Turkey, Egypt, Lebanon, and Pakistan, underscoring Dubai’s status as a global hub for geopolitical and economic stability. Egyptians ranked fourth among the top investors, preceding Lebanese, Italians, Pakistanis, Emiratis, French, and Turkish investors.
Interestingly, Dubai ranks as the most favored destination for Indian investors seeking overseas real estate, according to an annual study by India Sotheby’s International Realty, with the US following closely behind.
