New residential supply for 2018 amounted to 29,947 units
Dubai: Research by Property Finder, the UAE’s pre-eminent real estate portal, has found that 21,014 residential units, comprising apartments, villas and townhouses, were completed by the third quarter of 2018.
The increased amount of completed projects is unprecedented and in the short-term the new inventory will help tenants to negotiate for more competitive rents. However, the year-on-year drop in prices due in part to the amount of additional supply and subdued demand means we can expect more price declines in 2019. This bodes well for long-term renters who will find home ownership more affordable now.
As of October 2018, there were 14,707 residential units with a 95 to 99% completion status with expected completion by the year’s end. However, only 1,187 of those units were completed by the end of 2018. The “Property Finder Trends” report estimates that the remaining 13,520 units would likely be completed in the first half of 2019.