Real estate tokenization in Dubai helps attract new investors and democratizes the investment process in this sector.
Increase in Investors Due to Tokenization
According to Dr. Mahmoud AlBurai, Senior Director of Real Estate Policies and Innovation at Dubai Land Department, 68% of the 1,025 investors who participated in funding the five tokenized properties were first-time home buyers.
Success of Tokenized Properties
AlBurai noted on LinkedIn that during the recent funding of two new tokenized properties, 462 investors participated. In total, for the five tokenized properties funded so far, there were 1,025 investors from 69 nationalities investing an average of $2,432.
Outlook and Predictions
According to a Fitch report, real estate prices in Dubai rose by 60% from 2022, with a forecasted moderate price correction of 15% in the second half of 2025. The real estate tokenization sector in Dubai is expected to reach a value of $16 billion by 2033.
Dubai is actively developing its tokenized real estate market, which is fostering a rise in the number of investors, including international investments. This trend may lead to significant changes in the local economy.
