Dubai real estate market began 2025 on strong footing, hitting record high levels. Government reports revealed the overall transaction volume in January totaled AED 44.4 billion (USD 12.1 billion), an increase of 24.1% over last year’s comparable period. The sharp momentum reestablishes Dubai as one of the most attractive places on the planet for real estate investments.
In the following, we will examine the significant growth in all sectors:
Several key elements have contributed to the boom in Dubai’s real estate sector:
In the following, we will examine the more detailed analysis of different market segments:
Firas Al Msaddi, CEO of Fäm Properties, commented:
“These figures once again demonstrate the strength and consistent growth of Dubai’s real estate market in recent years. This reinforces Dubai’s position as a safe and lucrative investment destination, further boosting investor confidence and attracting attention from local, regional, and international markets.”
The growth trajectory of Dubai’s real estate market over the last five years is as follows:
| Year | Transaction Value (AED) | USD Equivalent | Number of Transactions |
|---|---|---|---|
| January 2020 | 4.8 billion | 1.3 billion | 2,700 |
| January 2021 | 6.6 billion | 1.8 billion | 3,300 |
| January 2022 | 16.3 billion | 4.4 billion | 5,700 |
| January 2023 | 27.8 billion | 7.6 billion | 9,700 |
| January 2024 | 35.8 billion | 9.7 billion | 11,600 |
In January 2025, the most expensive real estate deal was a villa in Dubai Hills Estate that was sold for AED 140 million (USD 38.1 million). The most expensive apartment was an upscale unit at Palm Jumeirah Ava project for AED 57 million (USD 15.5 million).
In the table below, we compare the sale of new properties versus secondary properties.
| Property Type | Volume Share | Value Share |
|---|---|---|
| New Properties | 65% | 60% |
| Resale Properties | 35% | 40% |
In January 2025, most Dubai property transactions were in the range of AED 1M to AED 2M (31%), while 27% of the sales were of properties priced below AED 1M. 9% of the sales included luxury properties priced above AED 5M.
| Price Range (AED) | Percentage of Sales |
|---|---|
| Above 5M | 9% |
| 1M – 2M | 31% |
| Below 1M | 27% |
| 2M – 3M | 20% |
| 3M – 5M | 14% |
Dubai’s real estate market began 2025 on a strong note, setting new records in transaction volume and value. The significant growth in volume and value, especially in the purchase of land in Dubai, indicates increased consumption and investor confidence in this market. Strategic factors such as Dubai’s prime location, government-backed initiatives, sustained economic growth, and a secure investment environment have all played a crucial role in this upward trend. With continued momentum, Dubai should strengthen its position as a leading real estate investment hub globally.
Source: https://www.propertynews.ae
