Haider Ali Khan, CEO of Bayut and Head of Dubizzle Group MENA, along with his role as a Board Member of the Dubai Chamber of Digital Economy, provides valuable insights into the long-term viability of the real estate market in Dubai. Bayut has published its 2025 Dubai Property Market Report, delivering an extensive analysis of sales and rental trends across various price categories, including affordable, mid-market, and luxury segments. The report suggests that an increasing supply of properties is meeting consistent demand, leading to price trends that indicate a strong and stable real estate sector.

The data from Bayut reveals a continuous rise in average sale prices per square foot for both apartments and villas in popular areas. Affordable neighborhoods like Dubai Silicon Oasis, Arjan, DAMAC Hills 2, and Dubai South are attracting buyers focused on value, while middle-market areas such as Jumeirah Village Circle, Business Bay, Al Furjan, and Arabian Ranches 3 are maintaining steady demand. In the luxury market, established locations like Dubai Marina, Downtown Dubai, Dubai Hills Estate, and DAMAC Hills continue to attract high-end buyers.

In 2025, affordable apartments have seen price increases ranging from 9% to 29%, particularly in Dubai Silicon Oasis, boosted by the recent announcement of the Dubai Metro Blue Line. Mid-tier apartments have experienced price growth of up to 11%, while luxury apartments have observed increases between 4% and 7%. Similarly, villa prices have also surged, with affordable homes witnessing up to a 24% rise, driven by new inventory in Dubai South and Dubailand.

The rental market demonstrates diverse trends. Affordable apartments in areas like International City, Dubai Investments Park, and Discovery Gardens have yielded strong returns between 9% and 10%. Mid-tier segments such as Living Legends and Town Square have achieved returns of 7% to 9%, with luxury apartments also generating attractive yields exceeding 7.62%. Despite overall stabilization, the rental market reflects growth in demand for affordable housing options, especially in popular areas for budget-conscious residents.

Overall, the report indicates that Dubai’s real estate market is evolving, reflecting a blend of increasing supply, persistent buyer demand, and shifting lifestyle choices. Haider Ali Khan emphasizes that the market is entering a more mature stage where supply aligns better with actual demand, focusing more on lifestyle, location, and quality rather than speculative investments. Bayut aims to enhance this transition by providing reliable data and transparent listings, enabling informed decisions throughout the property journey.