Dubai property market reaches record $149bn in 2025 as demand and prices strengthen

Saturday, 17 January 2026

Dubai’s real estate market delivered its strongest performance on record in 2025, with total sales hitting $149bn, supported by economic growth, rising population, strong investor participation and sustained price momentum.

Key Highlights:

  • Total residential sales reached AED 547bn ($149bn) in 2025
  • Over 203,000 transactions, marking a 20% increase in volume year-on-year
  • Overall sales value rose 28% compared to 2024
  • UAE real GDP growth supported market confidence, with low inflation at 1.3%
  • Dubai population grew 5.4% year-on-year to 4 million residents
  • Strong tourism inflows with 17.5 million overnight visitors boosting housing demand
  • Studios and one- to two-bedroom apartments accounted for 77% of all transactions
  • 72% of sales fell within the AED 500,000–AED 3m price range, reinforcing market depth
  • Off-plan properties dominated activity, making up 65% of transactions and 53% of total value
  • Apartment sales reached AED 325bn ($88.5bn), up 29% year-on-year
  • Villas and townhouses contributed AED 221bn ($60.2bn), reflecting a 26% annual increase
  • Average sale prices increased 12% year-on-year to AED 1,673 per sq ft
  • Leasing transactions rose by over 60%, supported by strong family demand
  • Average rents remained stable at AED 207,000 per year
  • Mortgages accounted for 52% of purchases, overtaking cash transactions
  • Investors represented 57% of buyers for the fourth consecutive year
  • Prime residential prices increased 26% year-on-year, with average values reaching AED 30m