Dubai’s residential real estate sector registered Dh262 billion in sales across 91,900 transactions in the first half of 2025, a 36% rise in value and a 23% gain in volume compared with H1 2024, according to Cavendish Maxwell. The increase was driven by strong demand from both investors and end‑users, finishing slightly below H2 2024 due to weaker off‑plan activity and seasonal effects.
Off‑plan sales remained the dominant segment, accounting for over 70% of transactions. Those reached approximately 64,500 in H1, up nearly 30% year‑on‑year but down some 4% from H2 2024. Ready‑property sales rose sharply, with 27,400 transactions in H1, a 10% increase compared to the same period last year. Between April and June alone, 14,200 ready‑property deals were recorded.
Construction activity remains brisk, with more than 61,800 residential units currently under development for delivery in 2025, and over 100,000 more expected in 2026 and 2027. However, just 21% of projects scheduled for completion this year have reached at least 75% construction, signalling potential delays.
Ronan Arthur, head of residential valuation at Cavendish Maxwell, said the sector is resilient, supported by government programmes such as the First‑Time Buyer initiative, and said early signs of moderation in rental growth should aid the city’s efforts to attract talent.
Price pressure has driven apartment and villa demand trends. Off‑plan apartments held 76.7% of that market, down 5.6% year‑on‑year, while villa and townhouse shares gained about 5%, as buyers favour larger homes with flexible payment options. One‑bedroom apartments accounted for 44% of off‑plan and 41% of ready sales; studios approached 25% in the off‑plan space. Four‑bedroom villas dominated off‑plan transactions at 55%, while three‑ and four‑bedroom units led ready segment demand, though five‑bedroom sales rose to 13%.
Emaar, DAMAC and Sobha Group led sales by developer volume. Emerging players such as Binghatti and Danube held their ground, while Beyond entered the top ten for the first time, driven by Dubai Maritime City projects.
Broader data reflect continued investor confidence. The Dubai Land Department reported 94,700 investors were involved in H1, a 26% increase year‑on‑year, including almost 59,000 first‑timers, 45% of whom were UAE residents. Residential prices rose 16.6% year‑on‑year to an average Dh1,609 per square foot. Rental rates rose nearly 10% year‑on‑year but dipped 0.6% compared with H2 2024.
Analysts point to visa reforms, investor incentives, and strong global interest as driving forces. Industry tracking shows nearly 500 new homes launched per day in H1, totalling almost 88,000 units across 300 projects, with apartments accounting for 86 per cent of new supply.
Dubai’s real estate market shows sustained momentum. Ongoing launches, government support schemes and a deep pipeline of completions underpin its transition toward a more mature, accessible property sector, despite looming delivery risks and evolving demand patterns.
