Dubai ranks among the 30 prominent global cities to record a positive capital value growth for prime. Residential properties during the first six months of 2021 as the resilience of the world’s residential property.
markets continued unabated in the first half of 2021 — the fastest growth rate since December 2016 — a report by a leading global real estate advisor said on Monday.
The work-from-home boom and the consequent increased need for space helped to increase capital values by 4.2 per cent in Dubai. Other cities that experienced similar boom include Cape Town, Moscow, and Lisbon. Transaction volumes have also been going up in comparison with the first half of 2020 when a lot of cities were in complete lockdown.
Dubai’s success in handling the pandemic and proactive policy measures to jump start the economy played a crucial role in driving demand for prime residential, Savills said in its World Cities Index report.
In the index, capital values of prime residential properties across 30 cities grew by 3.9 per cent over the six-month period ending in June 2021.
From June 2018 to December 2020, the average growth in capital values across cities was only 0.7 per cent, due to changes in tax policies and overwhelming international uncertainty.
“The pandemic, which exacerbated the severity of the slow growth, caused many properties to completely shut down during lockdown in many cities,” said the report.