Global investors are increasingly shifting their focus from London's luxury property market to Dubai. This trend is largely driven by concerns over new taxation policies introduced by London's new Labour government which have made the city less attractive to wealthy investors. Dubai offers a tax-free environment and superior investment returns making it a more appealing destination for those looking to maximize their investments.

Dubai's real estate market is drawing attention due to its high return on investment (ROI) and more affordable property prices compared to London. A recent report highlights that $1 million can buy a much more spacious home in Dubai than in other major cities. This value proposition is particularly attractive to cash-rich buyers seeking substantial returns on their investments.

According to a recent study, Dubai's luxury property market is performing exceptionally well with notable interest in homes priced over $10 million. Investors are drawn to the emirate not only for its high returns but also for its safety, quality of life and year-round sunshine. The average ROI of 6-8 percent in Dubai's real estate sector is another key factor attracting global buyers.

Investors from various regions including the Middle East, the US, India, China and Europe are contributing to this shift.The demand for high-end properties in Dubai such as those in Dubai Hills, Palm Jumeirah and Downtown Dubai continues to grow.

Dubai's real estate market is set for impressive growth with more than 30,000 new residential units expected to be completed in the second half of 2024. According to Arabian Business, the total number of new units for the year will reach around 48,000. This is a significant increase from the over 17,000 units delivered in the first half of 2024 indicating strong market momentum.

Dubai real estate sector is supported by high investor confidence and major projects by developers. Off-plan properties which offer high returns of up to 10%, remain popular among investors, sustaining market momentum.

Dubai topped the rankings of 30 global cities for rental value growth in the first half of 2024, according to Savills' latest Residential World Cities Index. The emirate also ranked fifth globally for capital value growth during the same period. Dubai saw rental value gains of 12.1 percent in H1 2024 outpacing other cities like Bangkok (9%) and Lisbon (7.5%). The report noted that prime residential property in world city locations remained resilient with an average capital value growth of 0.8 percent outperforming the predicted 0.6 % growth for 2024.