The real estate market in Dubai saw a surge in off-plan property sales last month, according to recent findings by Allsopp & Allsopp.

The report revealed a 42.1% rise in off-plan property sales in February compared to the same time last year, fuelled by demand.

This demand is a “positive indication” that the property market in Dubai is gaining momentum and confidence in the future prospects of the city’s economy, the report stated.

Dubai’s property market has become a “preferred destination” for real estate investors due to government efforts to diversify the country’s economy, Arabian Business reports.

Some of these efforts include the Golden Visa scheme for foreign investors, which has also seen a rise in investment in infrastructure.

In addition, the increase in off-plan property sales is a promising sign that the real estate market in Dubai continues to edge up in comparison to other large hubs across the globe.

That said, the Head of Off-Plan Sales at Allsopp & Allsopp, Fintan Flannelly, said this demand had increased over the last few years, with the current market conditions quickening the trend.

“We are seeing more and more developers come into the market, which is a clear indication that the industry is confident in the long-term prospects of Dubai’s economy. Timely as undersupply looms, the market is hungry to see a healthy balance of demand and supply, which will ultimately benefit both buyers and developers,” the report stated.

In addition, the average price per square foot for off-plan properties has stayed stable, according to the findings, with a rise of just 1% compared to the same time last year.

“This further confirms the market’s stability, making it an attractive destination for both investors and end-users. Not just all, with the continuous rise in rental yields and return on investments in Dubai, foreign investors and residents are highly anticipating new properties within the city. As the undersupply for ready homes across the city becomes more evident, demand and price points are soaring high and demand for off-plan properties is also on a rise,” said the report.