- February 1, 2025
- Posted by: Waqas Siddiqui
- Categories: Insights, Real Estate

Image Source – Pexels (Mikhail Nilov)
Dubai Real Estate Market Trends – 2025 & Beyond
The Dubai real estate market is poised to sustain its upward momentum in 2025, fueled by strong investor confidence, especially in the luxury segment, and unprecedented demand for commercial properties. According to a report published by Engel & Völkers Middle East, Dubai continues to solidify its status as a leading global real estate investment hub, supported by economic growth, increased consumer spending, and government initiatives.
Read: UAE GDP and economy to grow by 4% in 2025 – IMF
Dubai is fast becoming the most sought-after property destination among local and international buyers. This is evidenced by the surge in real estate transactions which grew by 40.3% (170,992 units) in 2024, more than five times compared to 2020. More notably, the luxury segment played a pivotal role in this expansion, with sales of properties priced above AED 10 million rising by 20.5% y-o-y, and Q4 2024 exceeding the performance as compared to the same period in 2023. In terms of units, off-plan property transactions dominated the market as it comprised 63% of total sales, up from 54% in 2023.
Top Neighbourhoods to Buy Property and Invest in Dubai
Within the off-plan properties, apartments were the most sought-after, with transactions rising by 47.6% and accounting for 89.6% of the overall expansion within the real estate market in Dubai. Communities like Jumeirah Village Circle, Business Bay, and Dubai Hills Estate recorded the highest off-plan sales. At the same time, Dubai Marina, Downtown Dubai, and Jumeirah Lakes Towers were popular among buyers searching for ready-to-move properties.
Demand for Commercial Properties has Increased in Dubai
Similarly, the commercial real estate segment saw impressive growth in 2024, underscoring Dubai’s status as a leading global business hub. The occupancy rates have shot up to 95-97% in areas such as Downtown Dubai, DIFC, and Business Bay with an increase in demand for premium office spaces. This increasing demand is attributed to the registration of over 24,000 new businesses in Dubai in the first six months of 2024.
According to the CEO of Engel & Völkers Middle East, Daniel Hadi, high rental yields, and rising foreign investment continue to reinforce Dubai’s position as the leading property market globally. Dubai remains a magnet for high-net-worth individuals, as well as multinationals which led to the impressive growth of 2024.
Read: Dubai Real Estate Market Trends and Predictions for 2024-2025
Moving forward, Dubai’s real estate market is all set for another record-breaking year in 2025 backed by strong economic momentum, and a favorable regulatory environment that would drive the luxury (residential) and commercial segments. Earlier, Dubai announced the 2025-27 budget which is the largest in its history focusing on improving the quality of life across key sectors, including education, health, culture, and infrastructure. All these factors combined will ensure that the real estate market continues to attract global property investors who are seeking high returns, stability, and long-term growth opportunities.
Research Konnection is among the top market research companies in Dubai, specializing in real estate market research. Contact us at hello@researchkonnection.com for business setup in Dubai, Abu Dhabi, and UAE.