Dubai property market breaks records: What’s driving the Dhs431bn surge?

Image credit: WAM/ Website

Dubai’s real estate sector delivered an exceptional performance in the first half of 2025, reinforcing the emirate’s position as a global leader in property investment and development.

According to data from the Dubai Land Department (DLD), the number of real estate transactions surged to 125,538 in H1 2025, compared to 99,947 during the same period in 2024, marking a 26 per cent increase. The total value of transactions rose 25 per cent, reaching approximately Dhs431bn, up from Dhs345bn a year earlier, a WAM report said.

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The overall volume of real estate procedures—including sales, leases, and other transaction types, exceeded 1.3 million in the first six months of the year. The strong numbers reflect growing investor confidence and continued demand across Dubai’s diverse real estate segments.

Surge in investment and new buyers

The investment landscape remained robust, with 94,717 investors completing 118,132 deals worth around Dhs326bn in H1 2025. That represents a 26 per cent increase in investor participation and a 39 per cent rise in investment value, compared to Dhs234bn in the same period last year.

New investors contributed significantly to this growth, with 59,075 first-time participants entering the market. Their investments totalled Dhs157bn, marking a 22 per cent rise in the number of new investors and a 40 per cent jump in capital inflow. UAE residents accounted for 45 per cent of these new investors, reflecting the success of government strategies aimed at converting tenants into homeowners and encouraging long-term stability in the market.

Women played a growing role in driving activity, investing Dhs73.2bn across 34,792 transactions made by 30,487 female investors. This increase highlights the rising influence of women in shaping the sector and contributing to economic diversity.

By nationality, GCC investors accounted for Dhs22.56bn, Arab investors Dhs28.4bn, and foreign investors Dhs228.35bn. These figures reinforce Dubai’s global standing and its continued appeal among international buyers, driven by an advanced regulatory environment, strong infrastructure, and growth-focused initiatives.

Top areas by transactions and value

Several districts saw standout performance in terms of transaction volume. Al Barsha South Fourth led the market with 10,469 transactions, followed by Al Yalayis 1 (7,595) and Wadi Al Safa 5 (7,178). Other active locations included Business Bay (6,601), Dubai Marina (6,428), Airport City (5,569), Jebel Ali First (4,275), Al Thanyah Fifth (3,956), Burj Khalifa (3,670), and Meaisem First (3,643). The widespread activity highlights the depth and diversity of Dubai’s real estate ecosystem.

In terms of transaction value, Dubai Marina took the top spot at Dhs25.1bn, followed by Business Bay (Dhs22.5bn), Burj Khalifa (Dhs17.1bn), and Palm Jumeirah (Dhs16.96bn). Other high-value areas included Al Yalayis 1 (Dhs15.7bn), Meaisem Second (Dhs15.4bn), Wadi Al Safa 5 (Dhs15.3bn), Airport City (Dhs15.2bn), and Al Barsha South Fourth (Dhs14.9bn). Mohammed Bin Rashid Gardens also stood out with Dhs14.5bn in transaction value.

The continued concentration of high-value deals in prime areas signals ongoing demand for luxury and mixed-use developments.

Supporting a sustainable real estate ecosystem

The Dubai Land Department remains focused on enhancing transparency, streamlining digital services, and improving legislative frameworks to ensure continued growth and investor trust.

The department also reaffirmed its commitment to delivering the goals of the Dubai Real Estate Strategy 2033, aligned with the Dubai Economic Agenda D33. These initiatives aim to position Dubai among the top three global economic cities while ensuring the sustainability of the real estate sector as a vital pillar of economic diversification.





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