Luxury apartments and villas in Dubai have seen a rise in asking prices in 2023 due to the abundance of amenities and high returns on investment. The demand for luxury properties has increased as buyers seek a lavish lifestyle. Luxury apartments are particularly popular, offering comfortable living across various budget ranges, from studios to 2-bedroom flats. Hence, here are the popular areas to buy a luxury home in Dubai.
Dubai Marina
As per the user search trend on Dubizzle, Dubai Marina is among the top areas to buy luxury apartments in the Emirates. Home to a coastline backdrop and skyscrapers, the area offers several amenities catering to an opulent lifestyle.
Besides, Dubai Marina is a renowned tourist destination, making it a well-rounded luxury area. Marina Arcade Tower and Princess Tower have emerged as the most popular choices for investment, accounting for a whopping increase in asking sales prices for apartments in Dubai Marina.
Speaking of average asking prices in Dubai Marina, they have amounted to $643,400 (AED 2.38M) with 6.86% ROI. With a 16.99% increase, the price per square foot for apartments in Dubai Marina has averaged $490 (AED 1,812). In 2023, the average asking prices of the studio, 1 and 2-bedroom apartments for sale in Dubai Marina have increased to $289,000 (AED 1.07M), $405,000 (AED 1.50M) and $667,900 (AED 2.47M), respectively. As per DLD transactions data, the average sales price for apartments in this area has risen by 17.73%.
Business Bay
Business Bay is another area popular for luxury flats and has been on the investors’ radar due to its commercial centres and residential properties. Moreover, off-plan projects like Aykon City have added to the investor’s interest in the area. In 2023, the average sales price for apartments in Business Bay averaged $534,600 (AED 1.98M), offering a 5.86% ROI. The per-square-foot price of apartments for sale in Business Bay has averaged $552 (AED 2,044) after a 22.59% uptick. As for the studio, 1 and 2-bedroom flats, their sale prices have averaged $269,730 (AED 999k), $426,600 (1.58M) and $680,400 (2.52M), respectively. The average sale prices for apartments in Business Bay have risen by 3.77%, as per the DLD data.
Downtown Dubai
Downtown Dubai is home to iconic landmarks such as the Burj Khalifa which adds to its popularity. Moreover, Downtown Dubai offers world-class amenities that attract investors, both locals and expats. The luxury flats in the area have garnered an average sales price of $923,400 (AED 3.42M) with an impressive ROI of 6.39%. After a 16.94% increase, the average per-square-foot price for apartments in Downtown Dubai has been recorded at $736 (AED 2,727).
The sales price of the studio, 1 and 2-bed flats for sale in Downtown Dubai has reached $383,400 (AED 1.42M), $537,300 (AED 1.99M) and $966,600 (AED 3.58M), respectively. As per the data transactions shown on DLD, the average sales price of apartments in the area has increased by 13.45% in 2023.
The fourth and fifth spots on the list have been secured by Palm Jumeirah and Dubai Creek Harbour. The apartments for sale in Palm Jumeirah stand at an average price point of $1,539,000 (AED 5.70M) with a 4.69% rental yield.
On the other hand, Dubai Creek Harbour has also sparked investors’ interest by yielding an impressive ROI of 6.26%. The asking price of apartments for sale in Dubai Creek Harbour has averaged $629,100 (AED 2.33M) in 2023.
Green Community offers the highest ROI, 9.49%, for luxury apartments in Dubai. The gated community offers a tranquil lifestyle with several amenities in the vicinity.
Meanwhile, Al Barari has gained the second spot on the list with an impressive ROI of 8.24%, estimated from the annual rental yield. The area offers a comfortable commute to the rest of the city and encompasses all the necessary facilities.