Nearly 44,000 residential units with a completion status of at least 65% were under construction in Dubai at the end of 2018, fresh research has revealed.
According to figures from Dubai Pulse, the open data platform initiative from the Smart Dubai Office, 33,982 residential units were currently at this status, with Dubai's southeast and southwest seeing the most activity.
The figures were released by Property Finder, whose research found that 21,014 residential units, comprising apartments, villas and townhouses, were completed by the third quarter of 2018.
“This has been more than the number of units handed over in the past few years, and the inventory will help tenants to negotiate for more competitive rents,” the UAE property portal said.
“However, the year-on-year drop in prices coupled with additional supply and subdued demand means we can expect more price declines in 2019. This bodes well for long-term renters who can now consider home ownership.”
Lynnette Abad, Property Finder’s director of research and data, added: “While many believe we are in a slump and property prices will go back to pre-2016 levels, the reality is that with the considerable amount of supply already released into the market, and the upcoming supply through 2022, the prices we are experiencing today are the new normal.
“We can expect prices to decline further in 2019 as the market absorbs the immense amount of supply that came in 2018, and what will complete in 2019.”
Notable handovers last year included, as highlighted by Property Finder, 3,761 apartments in Business Bay and 2,015 apartments in the Burj Khalifa area.