Dubai Real Estate Market Sees $71.36 Billion in H1 2025 Transactions, Over 61,800 Units Under Construction
Dubai’s residential property market maintained its strong momentum in the first half of 2025, recording 91,900 transactions worth AED 262.1 billion ($71.36 billion), according to Cavendish Maxwell. This marks a 22.9% increase in transaction volume and a 36.4% surge in value compared to the same period in 2024.
While sales dipped slightly by 2.4% compared to H2 2024—mainly due to slower activity in Q1—the market saw a powerful rebound in Q2, fueled by demand from both domestic and international buyers.
Strong Investor Interest and Completions in H1 2025
Data from the Dubai Land Department (DLD) shows that around 94,700 investors participated in the market during H1 2025—26% higher year-on-year. Notably, 59,000 were new investors, a 22% increase, with UAE residents making up 45% of this segment.
In terms of supply, 17,200 residential units were completed in the first six months of the year. Nearly 42.4% of handovers were concentrated in Jumeirah Village Circle (JVC), Sobha Hartland, and Mohammed Bin Rashid City.
Large Development Pipeline, But Possible Delays
Looking ahead, over 61,800 units are currently under construction for delivery in 2025, with 100,000+ more expected in 2026–2027. However, only 21% of projects slated for 2025 have crossed the 75% completion milestone, signaling potential delays in handovers.
Cavendish Maxwell projects that while an average of 9,000 units per month could be delivered through 2027, actual completions may be lower due to construction timelines shifting.
Prices and Rentals Show Mixed Trends
Residential prices in Dubai rose 7.8% compared to H2 2024 and 16.6% year-on-year. Rental rates grew 9.9% year-on-year but dipped 0.6% from H2 2024, suggesting the first signs of market stabilization—a positive development for affordability and talent attraction.
The First-Time Buyer Program, launched by the Dubai Land Department, is expected to encourage homeownership and diversify the buyer base, fostering a more balanced housing market in the long term.
Most In-Demand Areas
- Jumeirah Village Circle (JVC): Over 8,000 apartment sales (off-plan and ready)
- Business Bay: Nearly 5,000 apartment transactions
- DAMAC Islands: Leading off-plan villa/townhouse sales with 3,860+ deals
- Emaar’s The Valley: 1,930 villa/townhouse transactions
- DAMAC Hills 2: Top for ready villa sales (500 deals)
- Emirates Living: Nearly 360 villa sales
Luxury Property Sales Surge
The luxury market witnessed record-breaking growth:
- 1,400+ properties valued at AED 20 million+ sold in H1 2025 (+82% YoY)
- 140 ultra-luxury properties worth AED 50 million+ sold, a 33% increase from H1 2024
This surge is supported by Dubai’s tax advantages, political stability, world-class infrastructure, and investor-friendly visa programs, reinforcing the city’s status as a top global destination for high-net-worth individuals.
Source: Economy Middle East
