The Dubai real estate market 2025 has reached new heights in Q2, setting new records and showing strong growth across all property segments. Property sales and prices are rising fast, making the city a top choice for investors, homebuyers, and developers from around the world. This incredible growth shows that Dubai is one of the most exciting and stable property markets anywhere.
In this easy-to-understand blog, we’ll walk you through the key market trends, the best-selling communities, and expert insights. Whether you want to invest, buy your first home, or explore development opportunities in the Dubai Real Estate Market 2025, this blog will help you understand where the market stands and where it’s headed next.
Key Highlights: The Big Picture of Q2 2025
Dubai’s real estate market has reached new heights in the second quarter of 2025. It has set new records in terms of both property sales and the number of transactions. Here are the key takeaways:
- All-Time High Sales: The total value of property sales reached AED 184 billion, the highest ever recorded.
- More Properties Sold: Over 53,118 property transactions were completed, showing a strong and active market.
- Off-Plan Market in the Lead: Properties bought directly from developers (off-plan) made up 66% of all sales.
- Rising Prices: The average property price is now AED 1,633,944, and the price per square foot has reached AED 1,607.
- Strong Demand in Every Segment: Apartments, villas, commercial spaces, and plots all saw increased activity.
- Boom in Mortgages: More people are using mortgages, with a 48% increase in mortgage transactions compared to last year.
- Top Luxury Sales: High-end properties in Jumeirah were among the most expensive transactions.
Dubai Real Estate Market 2025: A Record-Breaking Quarter
The second quarter of 2025 has been a historic moment for Dubai’s property market. Both the number of properties sold and the total value of those sales broke all previous records:
- Total Transactions: 53,118 (up 16.8% from last quarter and 22.8% higher than the same time last year)
- Total Sales Value: AED 184 billion (up 28.9% from last quarter and 48.8% year-on-year)
- Average Price per Sqft: AED 1,607 (up 6.1% year-on-year)
- Average Property Price: AED 1,633,944 (up 7.6% year-on-year)
This growth shows that demand is strong across all types of properties, from apartments to villas.
Dubai Real Estate 2025: Off-Plan vs. Resale
Dubai’s off-plan property market, where buyers purchase properties before they are completed, continues to be the key driver of growth:
- Off-Plan Sales: 35,389 transactions worth AED 122.6 billion (66% of the market)
- Resale Transactions: 17,729 deals worth AED 61.5 billion (34% of the market)
Both markets are growing, but off-plan properties remain the preferred choice for many investors and homebuyers.
How Different Property Types Performed
Here’s how each type of property performed in Q2 2025:
| Property Type | Number of Transactions | Total Value (AED) | Quarterly Change | Yearly Change |
| Apartments | 40,453 | 81.6B | +22.7% | +18.7% |
| Villas | 10,019 | 66.5B | -1.8% | +38.3% |
| Commercial | 1,252 | 3.6B | +3.2% | +12.5% |
| Plots | 1,384 | 32.2B | +27.1% | +49% |
- Apartments: Most popular in terms of the number of transactions.
- Villas: Highest growth in value due to strong demand from families and high-net-worth buyers.
- Plots: Massive value growth as investors and developers prepare for the next wave of development.
Dubai Real Estate Market 2025 Prices at an All-Time High
Dubai property prices are now higher than ever before:
- Average Price per Sqft: AED 1,607 (up 68% since the 2021 market low)
- Average Property Price: AED 1.63 million
The market has fully recovered from past slowdowns and is now experiencing steady and sustainable growth.
Price Trends by Property Type
Here’s how prices have changed across different segments:
| Segment | Median Price | Yearly Change | Change Since 2014 |
| New Apartments | AED 1.3M | -0.2% | +39.7% |
| New Plots | AED 4.4M | -5% | +49.2% |
| New Villas | AED 3.8M | +5.7% | +22.6% |
| Resale Apartments | AED 1.2M | +0.4% | +4.8% |
| Resale Plots | AED 6.9M | -2.6% | +32.4% |
| Resale Villas | AED 3.5M | +6.8% | +3.5% |
Villas, both new and resale showed the strongest annual price growth.
What Price Ranges Are Most Popular?
Here’s the breakdown of property sales by price range (excluding mortgages):
- Under AED 1M: 26% of sales
- AED 1M – AED 2M: 32% of sales
- AED 2M – AED 3M: 17% of sales
- AED 3M – AED 5M: 13% of sales
- Over AED 5M: 12% of sales
More than half (58%) of all sales were in the mid-market range (below AED 2 million), but luxury properties also saw healthy demand.
Growing Mortgage Market Shows End-User Confidence
- Mortgage Transactions: 13,604 (up 48.3% YoY)
- Total Mortgage Value: AED 42.2B (slightly down by 1.4%)
The rise in mortgage transactions with smaller loan sizes shows that more end-users and first-time buyers are entering the market.
Top Projects in Dubai Real Estate Market 2025
Most Expensive Luxury Sales:
- Peninsula Dubai Residences Tower 1 – AED 170M
- Jumeirah Residences Asora Bay – AED 164M
- BULGARI Lighthouse Dubai – AED 156M
- Private Residences Dubai – AED 140M
- Aman Residences Tower 1 – AED 126M
Best-Selling Projects:
- Top Off-Plan Apartment: Sobha Solis (712 units, AED 881M)
- Top Off-Plan Villa: Al Yelayiss 1 (2,227 units, AED 7.2B)
- Top Resale Apartment: Azizi Riviera (317 units, AED 267.5M)
- Top Resale Villa: Al Yelayiss 1 (600 units, AED 1.7B)
Dubai Real Estate Market 2025 Outlook & Expert Insights
Dubai’s real estate market is experiencing a strong upward trend, and several factors are driving this growth. Firstly, the city’s population is growing steadily, as more people move to Dubai for its lifestyle, business opportunities, and safety. This naturally increases the demand for housing, keeping the market active.
Secondly, investor confidence is at an all-time high. New project launches are receiving great interest, with both local and international buyers eager to invest in Dubai’s property market. The city’s reputation for security, stability, and high-quality infrastructure continues to attract attention.
Another reason for the boom is the innovation we see from developers. They are creating unique, world-class communities with modern features and exceptional designs. This attracts not only residents but also investors looking for long-term value.
What Are the Risks?
While the market is growing, there are some risks to keep in mind. One key concern is affordability. With property prices rising quickly, some middle-income buyers may find it harder to enter the market.
Another factor is global interest rates. If borrowing costs increase worldwide, some buyers might hesitate or face challenges in getting financing. Additionally, if construction projects face delays, this could tighten supply further, leading to higher prices and market pressure.
- Affordability: Prices may rise too fast for middle-income buyers.
- Interest Rates: Global economic changes could affect buyer financing.
- Supply Delays: Construction slowdowns may increase pressure on prices.
Recommendations for Buyers, Investors, and Developers
For Investors:
If you are looking to invest, now is a great time to explore Dubai’s off-plan property market. Buying early in new developments can offer higher returns as property values increase. It’s also smart to diversify your investments by including both luxury properties and affordable units. This approach balances potential profits with stable, long-term income.
For Home Buyers:
For those thinking about buying a home in Dubai, it’s wise not to delay. Prices are rising steadily, and waiting too long could mean paying more later. Take advantage of the current competitive mortgage rates offered by banks. With flexible financing options available, homeownership is within reach for many buyers today.
- Don’t delay, prices are rising fast.
- Take advantage of competitive mortgage rates.
The second quarter of 2025 will be remembered as a landmark period for Dubai real estate. With record-breaking sales, increasing prices, and strong demand across every segment, the city continues to prove itself as a global property hotspot. Whether you’re an investor, homebuyer, or developer, now is the time to take action and make the most of this thriving market.
The Dubai Real Estate Market 2025 shows no signs of slowing down, making it a key focus for investors and homebuyers alike.
Looking to take the next step in the Dubai real estate market? Check out our updated property listings today.
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