Government of Dubai Achieves Record Revenue of AED 16 Billion from Real Estate Sales in 2023

The government of Dubai achieved a notable increase in revenue from the total sales of the real estate market in 2023, with a jump of 49.5% to 16 billion dirhams, equivalent to 1.33 billion dirhams monthly, compared to around 10.7 billion dirhams (around 892 million dirhams monthly) in 2022.

This increase was a result of the 4% registration fees on property buying and selling transactions.

Government revenues in Dubai jumped by 76.6% in 2022 compared to approximately AED 6 billion in 2021.

Sales revenues over three years reached AED 32.7 billion, equivalent to $8.9 billion. Real estate registration fees on sales and purchase transactions accounted for 4% of the total property value.

Property sales in Dubai recorded AED 265.6 billion in 2022, a growth of 78% compared to AED 149 billion in 2021.

According to the website of the Dubai Land Department, property sales in 2023 reached approximately 401 billion dirhams, recording a growth of 51% compared to 267 billion dirhams in 2022. In terms of the number of transactions, there were 129,000 sales transactions, showing a growth of nearly 32% compared to 2022.

It is worth mentioning that the total real estate transactions in Dubai reached 555 billion dirhams in 2023, according to “Dubai Rest” data, with a growth rate of 5% compared to 528 billion dirhams in 2022, thus surpassing the half a trillion dirhams mark for the second consecutive year.

Data from the “Dubai Lands” index revealed that 10 areas accounted for 39.5% of the total sales, amounting to 158.45 billion dirhams, over a period of 12 months. “Palm Jumeirah” took first place with a value reaching 29.3 billion dirhams, followed by “Dubai Creek Harbor” in second place with a value of 20.96 billion dirhams, and “Burj Khalifa” came third with 18.69 billion dirhams.

In fourth place was the “Dubai Creek Harbor” area with 14.53 billion dirhams, and in fifth place was the “Jumeirah Village Circle” with a value of 14.26 billion dirhams.

“Jebel Ali Palm joined the list of the top 10 regions in terms of sales, with a value of AED 14.22 billion, placing it in sixth position. The seventh position was taken by Dubai Marina with a value of AED 13.5 billion, followed by “Jumeirah Fifth” in eighth place with a value of AED 11.26 billion.

Then, Dubai Hills Estate ranked ninth with a value exceeding AED 10.86 billion. Finally, in tenth place, Dubai Harbour came in at approximately AED 10.85 billion.”

As for sales above 100 million dirhams, the “Palm Jumeirah” region came in first place, with the sale of a residential apartment for half a billion dirhams, followed by the “Dubai Marina” region in second place with the sale of a residential apartment for 420 million dirhams.

The “Jumeirah Island 2” region came in third place with the sale of a residential apartment for 410 million dirhams. The fourth place was taken by the sale of a residential apartment in “Dubai Marina” for a value of 286 million dirhams, and fifthly, the sale of a residential apartment in “Palm Jumeirah” for 220 million dirhams.

He came in sixth place by selling a villa in “Palm Jumeirah” for 202 million dirhams, and ranked seventh in the “Zabeel First” area by selling a residential apartment for 200 million dirhams, then ranked eighth by selling a villa in “Palm Jumeirah” for 200 million dirhams, and ninth by selling another villa in “Palm Jumeirah” for 183 million dirhams, and ranked tenth by selling a residential apartment in “Jumeirah 2” for 160 million dirhams.

Since the beginning of 2022, the real estate sector in Dubai continues to affirm its role as a fundamental pillar for growth in all sectors and economic activities in Dubai. This is due to the successful results achieved by the sector last year, thanks to several factors including wise guidance from the leadership, economic stimulus packages provided by the Dubai government, as well as the sector’s flexibility and attractiveness, and the confidence and transparency it guarantees to investors and various stakeholders.