1. Record Real Estate Sales in 2024

According to the Dubai Land Department (DLD), in 2024 the real estate sector recorded 226,000 transactions worth AED 761 billion, marking a 36% rise in transactions and 20% increase in value compared to 2023

  • January 2025: 14,236 transactions totaling AED 44.4 billion, up 23% in volume and 24% in value year over year

  • February 2025: Sales reached AED 51.1 billion across 16,099 deals, increasing 35% in volume and 55% in value. Off-plan property sales rose 57% (AED 20.5 billion) while ready properties rose 53%

 3. First Half 2025 Milestones

Dubai broke milestones with 125,538 total transactions in H1 2025—a 26% increase in deal count and 25% rise in total value, reaching around USD 117.5 billion (AED 431 billion)

4. Market Segment Highlights

  • February saw apartment sales at AED 21.4 billion, villa sales at AED 18.8 billion, land at AED 9.6 billion, and commercial properties at AED 1.2 billion Prime areas like Dubai Marina, Business Bay, JVC, Downtown, and Wadi Al Safa 5 dominated activity in H1 2025

 5. Supply & Market Balance

Despite surging demand, listings dropped ~50% in early 2025, helping sustain demand. January saw a slight price drop of ~0.6%, signaling stability amid strong activity 
Meanwhile, roughly 243,000 new units are scheduled for delivery by 2027, mainly apartments (~80%), likely easing pricing pressures

 6. What’s Driving the Growth?

▪️ Investor Interest from Abroad

Dubai’s strong appeal to foreigners is clear across markets—luxury and mid-tier alike

With zero property tax, 100% foreign ownership, and PropTech innovation (like tokenized deeds under DLD’s REES sandbox), Dubai offers transparency and convenience

▪️ Infrastructure Projects & Urban Expansion

Ongoing developments—including transport networks and master-planned communities—fuel demand in emerging and well-connected areas.

7. What Investors Should Know

Insight Why It Matters
Rental yields average 6–7%, with luxury short-lets gaining 8–12% Attractive ROI in top locations
Luxury demand strong: AED 10M+ transactions surged 20%+ Prime market continues to outperform
Off-plan dominance: >50% of transactions early 2025 Enables flexible payment and capital growth
Mid-range property pricing slightly down due to mix shift More affordable entry options without hurting volume
Oversupply risk: ~243,000 units by 2027 Could moderate price growth mid-term

 8. Easy Takeaway

Dubai’s property market enters 2025 with momentum, backed by record-breaking transaction values, strong rental returns, and broad investor confidence. While some pricing stabilization is expected, demand—especially for luxury and well-located offerings—remains robust. Insightful investors should watch upcoming supply, segment mix, and policies impacting transaction costs.