The Dubai property bubble has burst with prices of some homes already slashed by over 25 per cent, as missiles continue to be fired at the UAE from Iran.
Real estate in luxury areas of the desert city has seen dramatic reductions in the three weeks since the first shot was fired.
The biggest percentage drop yet seen in properties in Dubai currently stands at 26.7 per cent for a brand new, luxury two-bedroom apartment.
Initially being sold for around £1.2million the 1,659 sq ft home has since been listed for £900,000.
The Daily Mail revealed yesterday how former Love Island star Geordie Shore reality TV star Sam Gowland, 30, put a luxury villa on sale just days before the war started for offers above £2m.
Mr Gowland, who fled to Thailand after the war broke out, said he had bought the property for around £1.5m and spent a four months and substantial amounts renovating before putting it on the market.
A 25% drop in value would cost Mr Gowland something in the region of £500,000.
Price trackers show that one villa on the Lanai Island region of Dubai has had £2.3m shaved off its original asking price of £22m yesterday.
This brand new luxury apartment’s price has just been slashed by 26.7 per cent – the biggest cut on the market seen yet. It features exquisite views of the Burj Kalifa, the tallest building in the world
The 1,659 sq ft home was previously listed for £1.2million but is now on sale for £900,000.
Property prices are being slashed across Dubai with luxury apartments having millions shaved off the asking price
While millions are being slashed on property prices on Jumeriah Island, the world famous Jumeriah Hotel was struck in an air raid at the beginning of the war and burst into flames
Meanwhile, a sprawling seven-bedroom home in the upscale residential area of Arabian Ranches dropped £1.1million off its original asking price off its £5.5m original asking price.
Homes on the much sought after Jumeriah Islands have seen similar drops in recent days with one five-bedroom lakeside villa taking a million off its original asking price of £10m.
It comes as new research showed that overall transactions within Dubai’s once booming property market were down by more than 50 per cent this month.
Expats who have bought up properties across the UAE in hopes of raking in millions have been in limbo, unable to sell their expensive villas as missiles and drones continue to be fired into the country by Iran.
Research conducted by Goldman Sachs now shows that transactions at the beginning of March are down 31 per cent compared with last year and 51 per cent compared with last month.
Other examples of properties reduced:
One sprawling property on the Lanai Island region of Dubai had £2.3m shaved off its original asking price of £22m yesterday. The seven bed home complete with 18 bathrooms, pool and a cinema also comes with a maid included in the price tag.
Reality show star Sam Gowland put a luxury villa on sale just days before the war started for offers above £2m but could lose £500,000 as property prices plummet. He fled the war to Thailand
Sam Gowland, 30, a former Love Island and Geordie Shore star, left the world of reality TV behind to build a property empire
A huge seven-bedroom home in the upscale residential area of Arabian Ranches dropped £1.1m off its original asking price off its £5.5m original asking price. The home is described as being in its own ‘private oasis’ hidden away out of sight.
A five bedroom lake-front home on the high-end Jumeriah Island had nine per cent of its asking price reduced yesterday from £1million to around £900,000. The five bed, six bath property has sprawling grounds and ocean views from the home.
Another property had its price reduced by more than 15 per cent. The £5.4m five-bed, seven bath home, that also comes with a maid, is now being sold for £4.5m. The residential property boasts of being nestled in a car-free zone with a community feel.
One mansion in Lime Tree Valley was set to be sold for £6.8m has had its price significantly reduced to £4.5m. The 13,000sqft family home is surrounded by huge palm trees and has several spacious dining areas.
£2.3million was taken off the price of this sprawling mansion in the Lanai Island region of Dubai
It boasts a pool, 18 bathrooms a cinema also comes with a maid included
This beautiful house on the high-end Jumeriah Island had nine percent of its £1million asking price slashed from it
The five bed six bath property has sprawling grounds and ocean views and is now for sale for £900,000
As a result multi-million-pound properties on retail websites such as Rightmove are being reduced from their original asking price at a rapid rate.
The war in Iran has resulted in a bigger drop in property transactions than compared to other disturbances across the region, including wide-scale floods in 2024 and previous conflicts between Israel and Iran.
Since the initial missile strikes began on February 28, ports, oil refineries, airports as well as some residential areas have been targeted.
It sparked a steep drop in shares in Dubai and Abu Dhabi developers, including the country’s biggest developers Emaar Properties which built the Burj Khalifa.
The stark changes are hitting home for many British influencers and property investors who quickly fled the UAE after the missiles began hitting the cities last month.
A source from the expat community in Dubai said: ‘The timing could not have been worse for Sam. He’s going to struggle to sell the place anytime soon – simply no one is buying and they won’t be until this whole war has resolved itself, which could take months or even years.
‘Meanwhile all his money will be tied up in the villa so he won’t be able to realise any liquidity to finance his next development project.
‘I suspect he was hoping to get £2.25m for it. Now he will struggle to get a lot of what he’s already spent back. It’s devastating.’
One mansion in Lime Tree Valley was set to be sold for £6.8million has had its price significantly reduced to £4.5million
£1.1million was dropped from this seven bed home in the upscale residential area of Arabian Ranches
The home is in its own ‘private oasis’ hidden out of sight
This property is being reduced by more than 15 per cent
It was on the market for £5.3million but now sits at £4.5million
At his family home in Thornaby-on-Tees, Mr Gowland’s stepmum Joanne told the Daily Mail: ‘I am just glad that he’s now out of there, he’s safe now, he’s in Bangkok.
‘He left Dubai and went to Mauritius and he’s now safe in Bangkok.’
Asked about his property deal, she added: ‘I am not sure whether he’s managed to sell the house in Dubai, he has so much going on that I’m never sure what is on the market and what is not.’
