Total value of real estate transactions in Dubai rose by 8 per cent to touch Dh154 billion ($42 billion) in 2012 compared to Dh143 billion last year, Dubai Land Department ( DLD ) data reveals.
Over 84 per cent of the Dh38 billion in apartment transactions in were done in cash with 25,515 units valued at Dh32 billion. Mortgage transactions (4,300) were valued at Dh5 billion.
On the villa side, 1282 cash transactions were registered last year, valued at Dh3 billion, while mortgage transactions reached 621 valued at Dh2 billion.
Once again, land sales dominated 2012 with plot sales and mortgages amounting to Dh111 billion in total. Of these, 5413 were cash transactions worth Dh34 billion. There were 3,204 mortgage transactions valued at Dh75 billion. In 2011, total land transactions were Dh94 billion.
Total transactions jumped 18 per cent to 41,767 compared to 35297. This includes sale, mortgage, ijarah, mortgage portfolios, deferred sale and other types of transactions.
Dubai Marina and Burj Khalifa were the most traded areas with the two districts registering 10,554 transactions worth Dh17 billion. Al Thanyah 5 (Jumeirah Lakes Towers) topped the chart in terms of sale transaction with 590 transactions of Dh2 billion.
Sultan Butti bin Mejren, Director General, DLD , in a statement, said: "Year 2012 was a record year in terms of transaction value which increased by eight per cent compared to 2011. The size and type of transactions documented showed upward trend and sustained growth in the performance of the real estate market in the emirate."
UAE nationals were the leading investors in terms of premium real estate deals, number and total value of transactions in 2012.
Although the DLD did not share details of the nationalities buying in Dubai, bin Mejren said the property market had witnessed a large turnout of foreign investors that demonstrated Dubai's full recovery from the challenges imposed by the international crisis.
"The confidence of foreign investors in Dubai properties is 'unlimited' as more investors from different nationalities invested in this sector. The quality and quantity of transactions and activities recorded demonstrated that the international economic crisis no longer effects the local market which is immune from the economic crises in the West or in other regions."
DLD chief expects the market will continue to show strong recovery in 2013 which will encourage investors to increase their investments in the emirate's real estate sector.
On Monday, Jones Lang LaSalle, the global consultancy, said a broad based recovery will be seen in all segments of Dubai real estate market in 2013, with prime office rents rising for the first time since 2008.
"The Dubai real estate sector will continue to shift up a gear in 2013, experiencing a broader based recovery on the back of continued economic growth," Alan Robertson, Chief Executive Officer, JLL MENA, had said.
Villa and apartments prices rose 20 per cent and seven per cent in 2012 compared to 2011. JLL believes increase in prices will, however, will be lower than last year.