Dubai’s real estate market closed 2025 with remarkable achievements, showcasing a record-setting performance that has revitalized the sector. December’s strong activity capped off an impressive year, with total property sales hitting 215,700 transactions valued at AED686.8 billion. This milestone not only reflects unprecedented levels but highlights the increasing allure of Dubai’s property market to both investors and homebuyers.

Outstanding December Performance

The momentum of December aligned perfectly with the thriving trends observed throughout the year. Monthly sales exhibited a staggering increase of 46.4% in value, amounting to AED63.1 billion, while transaction volumes rose by 21.3%, equating to 18,587 deals. According to a detailed analysis from fäm Properties, 2025 proved to be a pivotal year for Dubai’s real estate landscape, fueled by high investor confidence, robust demand across various segments, and the fulfillment of housing projects catering to market needs.

Data provided by DXBInteract illustrated solid advancements in both primary and secondary markets, alongside the appreciation of property values and heightened construction efforts. These indicators suggest that the market’s strength is expected to extend well into 2026.

Key Highlights of 2025

Numerous achievements marked Dubai’s real estate sector in 2025, including:

1. Record Transaction Volumes: The market witnessed 215,700 sales, reflecting an 18.7% increase from 2024.
2. Historic Peak in Value: The total sales value soared to AED686.8 billion, representing a significant 30.9% year-on-year rise.
3. Primary Market Surge: The primary market accounted for 149,230 first-sale transactions worth AED448.1 billion, a 33.6% increase.
4. Secondary Market Growth: The secondary market recorded 66,400 resale transactions with a total value of AED238.8 billion, up 26.2%.
5. Price Appreciation: The average price per square foot climbed to AED1,700 in the primary market, a 6.7% increase, while it reached AED1,500 in the secondary market, reflecting an 11.2% uptick.
6. Supply Response: A total of 42,784 properties were delivered, a 45% increase from the previous year’s 29,392 units.
7. Developer Activity: The market saw 177,624 unit launches, a 6.1% rise from 167,408 units in 2024.
8. Five-Year Trajectory: Sales have dramatically increased from AED71.5 billion in 2020 to AED686.8 billion through 2025, with transaction volumes shifting from 34,700 to 215,700.

Market Dynamics and Future Outlook

Firas Al Msaddi, CEO of fām Properties, emphasized that these statistics confirm a significant evolution in Dubai’s real estate sector. He noted that this growth is not merely a fleeting cycle but rather a sustainable shift marked by a more diverse range of investors and a responsive supply architecture. All major property categories witnessed favorable growth in 2025, with apartment sales increasing by 19.9% to 170,448 transactions totaling AED332.9 billion, while villa sales climbed by 11.1% to 34,671 units valued at AED206.9 billion.

The luxury segment shone brightly, with notable transactions including a spectacular AED550 million apartment in Bugatti Residences and a AED425 million villa in Emirates Hills. New developments are increasingly attracting a wider audience, sustaining market interest.

Top Performing Areas and Projects

Several areas distinguished themselves in 2025’s real estate performance. Jumeirah Village Circle led with 18,755 transactions worth AED24.5 billion, followed by Business Bay and Wadi Al Safa 5. In the realm of new developments, projects such as DAMAC Riverside and Binghatti Skyrise dominated first-sale statistics, with significant volumes and competitive pricing.

As Dubai’s real estate market transitions into 2026, the outlook remains promising, driven by sustained demand and an evolving infrastructure that aligns with investor interests. The combination of a strong market foundation and a vibrant economic backdrop suggests a bright future for real estate in this dynamic emirate.