Dubai’s property market has recorded one of its strongest performances in history during the first half of 2025, underlining the city’s status as a leading global real-estate investment destination. Supported by economic growth, population expansion, and investor-friendly regulations, the sector continues to show sustained long-term momentum.
Below is a detailed breakdown of the latest market performance based on official data and industry insights:
Key Market Highlights – First Half of 2025
- Total transaction value:
Dubai’s real-estate transactions exceeded AED 326 billion (USD 88.8 billion) during the first six months of 2025. - Year-on-year growth:
This represents a strong 39% increase compared to the same period in 2024. - Total transactions recorded:
More than 118,000 property deals were completed across residential, commercial, and mixed-use sectors. - Investor participation:
Approximately 94,700 investors took part in property transactions, reflecting broad confidence in the market. - Data source:
Official figures released by Dubai Land Department confirm that both transaction value and volume have reached historic highs.
Industry Perspective on Market Performance
Badar Rashid AlBlooshi, Chairman of Arabian Gulf Properties, commented on the transformation of Dubai’s property industry, stating that the market has moved beyond short-term speculative cycles.
Badar Rashid AlBlooshi highlighted that:
- Dubai’s real estate growth is now institutional, structured, and long-term driven
- The sector is benefitting from visionary leadership, diversified economic activity, and technology-driven urban planning
- Developers are now focused on creating future-ready, sustainable, and globally competitive communities
Strong Start to 2025 Sets the Trend
- Q1 2025 transaction value:
The first quarter alone recorded approximately AED 114 billion in property sales. - Quarterly annual growth:
This marked a 23% increase compared to Q1 of the previous year.
The strong Q1 performance established a positive momentum for the remainder of the year and signaled sustained buyer demand across all property segments.
Luxury Property Segment Continues to Thrive
Dubai’s prime and luxury residential segment maintained strong performance during Q1 2025.
High-value sales recorded:
- Over 1,300 homes priced above AED 10 million were sold in just the first three months of the year.
- This reflects a 31% year-on-year increase in ultra-luxury transactions.
The luxury segment continues to attract:
- International investors
- High-net-worth individuals
- Global entrepreneurs seeking branded residences, waterfront properties, and bespoke villas
Population Growth Strengthens End-User Demand
Dubai’s population has now surpassed 3.8 million residents, contributing directly to long-term end-user housing demand.
Population expansion is being driven by:
- Employment growth
- Business relocation
- Tourism expansion
- Entrepreneurial activity
- Infrastructure investments
As a result, demand is rising across:
- Apartments
- Townhouses
- Family communities
- Rental housing
- Affordable and mid-market segments
Supply Outlook for 2025 Shows Healthy Market Balance
Expected residential deliveries in 2025: Approximately 73,000 new residential units are projected to be completed across Dubai this year.
Market analysts believe:
- This supply level reflects market maturity, not oversupply
- Developers are launching projects based on real end-user demand
- Strategic planning is supporting pricing stability and healthy absorption rates
New inventory is expected to focus on:
- Master-planned communities
- Transit-oriented developments
- Waterfront projects
- Mixed-use destinations
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