Dubai Real Estate Market Set to Welcome 61,580 New Homes in 2025

Monday, 5 May 2025

The Dubai real estate market is experiencing significant growth, with an estimated 61,580 new homes expected to be delivered in 2025 due to rising demand and population growth, as reported by ValuStrat.

Highlights:

• Dubai’s population is projected to reach 3.92 million by March 2025, with 89,695 new residents added in Q1 2025, driving demand for housing.
• An estimated 61,580 new homes are expected to be delivered in 2025, with 19% already completed in the first quarter of the year.
• The residential market is seeing a significant rise in property values, with apartment prices up by 21.4% and villa prices increasing by 30.3%.
• Rental prices are also on the rise, with villa rents increasing by 5.1% and overall housing rents rising by 10%.
• The office sector shows robust growth, with capital values up by 29.1% and research rents rising by 20.2% due to ongoing economic growth and business expansion.
• The retail sector continues to thrive, with Emaar Properties reporting AED 4.6 billion in sales from shopping centers in 2024. Dubai Mall remains the most visited destination globally, attracting 111 million visitors.
• The hospitality sector is also growing, with 128,417 hotel rooms and 26,021 hotel apartments recorded in February 2025. The average hotel room rate rose to AED 702.
• The industrial sector is experiencing positive growth, with an annual profit increase of 12.7%, supported by increasing demand for logistics and storage.