Dubai’s real estate sector achieved remarkable milestones in 2025, ending the year with historic sales figures. This flourishing market not only recorded significant transactions but also showcased robust growth and investor confidence, solidifying its status as one of the leading real estate markets globally.

Historic Sales Volume and Value

In 2025, Dubai reported an impressive 215,700 real estate transactions, a substantial 18.7% increase compared to 2024. The total sales value reached AED 686.8 billion (approximately $187 billion), marking a remarkable 30.9% rise year-on-year. December itself witnessed a 46.4% increase in sales value year-over-year, amounting to AED 63.1 billion with 18,587 transactions. This data underscores a thriving market driven by sustained demand across various property segments.

According to insights from fäm Properties, 2025 was characterized by high investor confidence and a commitment to delivering quality housing options. The report highlights the strong performance of both the primary and resale markets, with significant price appreciation seen in both sectors. For the primary market, the average price per square foot climbed to AED 1,700, reflecting a 6.7% increase, while the secondary market reached AED 1,500, an 11.2% increase.

Diverse Market Segments Flourish

The demand for various property types has seen remarkable growth. Apartment sales soared by 19.9%, resulting in 170,448 transactions with a total value of AED 332.9 billion. Similarly, villa sales rose by 11.1%, translating into 34,671 units worth AED 206.9 billion. The commercial property sector also thrived, with a staggering 41.1% increase in transactions, amounting to 6,086 units valued at AED 18.2 billion. Additionally, there was significant activity within the land market, with 4,446 plots sold for AED 128.5 billion.

Interestingly, initial property sales from developers outperformed resale transactions, with a volume split of 69% to 31% favoring new builds, reflecting growing confidence among investors. Firas Al Msaddi, CEO of fäm Properties, pointed out that developers have closely observed market trends, adjusting their supply to meet ongoing demand effectively.

Key Drivers of Growth

Several factors contributed to the robust growth of Dubai’s real estate market in 2025. A diverse investor base characterized by strong interest from regions such as Asia, Europe, and the Americas has played a significant role in driving market activity. Furthermore, the supply of new properties has been strategically aligned with existing demand, reflecting a disciplined approach to development that ensures sustainability in the market.

Throughout the year, a total of 42,784 residential units were delivered, marking a 45% increase from the previous year. The distribution of new properties was concentrated in areas like Jumeirah Village Circle, Dubai Marina, and Business Bay, where a significant number of units were developed. Emaar emerged as the leading developer with a substantial 17% of annual deliveries.

In conclusion, the trends from 2025 illustrate that Dubai’s real estate market is evolving beyond a typical growth cycle. As the market moves into 2026, its strong performance, diverse investor interest, and strategic development alignments suggest continued momentum. The sector remains attractive to wealthy individuals and businesses aspiring for growth opportunities in a stable environment.