Dubai’s Residential Market Report – Q2 2025

Market Snapshot: A Quarter to Remember

In just three months, Dubai recorded 50,593 property transactions totaling AED 170.5 billion in value. That’s a 15% increase in volume and a 27% surge in transaction value compared to the previous quarter. These are the highest figures the city has ever seen in a single quarter. The average price per square foot across the city reached AED 1,793, with standout deals like a 6-bedroom villa in Palm Jumeirah’s EOME community selling for an astonishing AED 300 million.

A Strong Shift Toward Off-Plan Properties

Off-plan properties dominated this quarter’s activity, making up 59% of all residential transactions. A total of 29,611 off-plan sales were registered, generating over AED 67.8 billion. Developers such as Emaar, Binghatti, and Sobha Group led the rankings in both volume and value. Interestingly, off-plan homes commanded higher prices, with the average reaching AED 1,983 per square foot, while ready properties averaged AED 1,603 per square foot. This shows growing buyer interest in new, well-designed, and energy-efficient developments.

Ready Market Still Holding Strong

Despite the dominance of off-plan sales, the secondary (ready) market performed exceptionally well too. With 20,982 transactions totaling AED 102.7 billion, established communities like Dubai Marina, Business Bay, and Jumeirah remained hot spots for both end-users and investors.

What’s Selling in Dubai Right Now?

Apartments continued to lead the market:

• 78% of all sales were apartments, averaging AED 1,896/sq.ft
• Villas and townhouses made up 19%, priced around AED 1,518/sq.ft
• Hotel apartments fetched the highest rates, averaging AED 2,318/sq.ft

These trends reflect the diverse preferences of buyers and the increasing sophistication of Dubai’s residential inventory.

Spotlight on Luxury: Prime Properties in Demand

Dubai’s ultra-luxury segment continues to shine:

• Most expensive apartment: AED 170M at Peninsula Dubai Residences
• Most expensive villa: AED 300M at EOME, Palm Jumeirah

Communities such as Jumeirah Bay Island, La Mer, and Jumeirah 2 topped the charts for price per square foot, regularly exceeding AED 10,000.

What’s Coming Next: Future Supply Pipeline

Dubai is not slowing down. Over 281,000 new units are in the pipeline, with the biggest influx expected in:

• 2026: 83,344 units
• 2027: 73,087 units

Key communities for future handovers include:

• Jumeirah Village Circle (JVC) – 24,225 units
• Business Bay – 16,360 units
• Dubai Hills Estate – 10,528 units

While apartments will make up most of the new supply, demand for spacious villas and branded residences continues to grow.

Final Thoughts at a Glance

The momentum in Dubai’s residential market is undeniable. With record-breaking sales, increasing rental activity, and strategic development across key communities, the city continues to position itself as a global real estate powerhouse. If this pace continues, the second half of 2025 could surpass even the most optimistic forecasts.