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February 16, 2026

Dubai Property Market Hits AED 686.8 Billion in 2025 — What It Means for Investors in 2026

Dubai’s property market closed 2025 with record-breaking momentum, reinforcing the emirate’s position as one of the world’s most dynamic real estate destinations.

Across apartments, villas, commercial units, plots, and buildings, Dubai recorded 215,741 sales transactions in 2025, with a total value of AED 686.8 billion (approximately US$186B / €156B / £135B).

These numbers don’t just reflect growth. They signal sustained confidence from end users and global investors alike.

Residential Property Leads the Market

Residential real estate remained the engine of the market in 2025.

Apartments and villas accounted for 205,124 transactions worth AED 539.9 billion (around US$147B / €123.3B / £107.5B).

  • 170,453 apartment sales dominated buyer demand
  • 34,671 villa transactions reflected strong interest in family-focused communities and lifestyle-driven living

Apartments clearly represented the majority of activity, while villas continued to benefit from demand for space, privacy, and premium community living.

Off-Plan Dominance Signals Long-Term Confidence

One of the most notable trends in 2025 was the strength of the off-plan sector.

  • 149,290 off-plan sales
  • 66,451 resale transactions

The dominance of off-plan transactions highlights strong buyer confidence in Dubai’s development pipeline, while the depth of the resale market reflects maturity and liquidity.

This balance between new launches and secondary sales is a key indicator of a healthy, expanding property market.

Cash Buyers Drive the Market

Dubai’s real estate market in 2025 remained predominantly equity-led:

  • 73.9% cash purchases
  • 26.1% mortgaged transactions

A high proportion of cash buyers signals investor strength and global capital inflow, while the mortgage segment reflects a solid base of end-user demand.

This structure provides resilience and reduces systemic risk — an important factor for long-term investors.

International Demand Remains Broad-Based

International interest continued to play a major role in Dubai’s growth story.

Leading buyer nationalities included:

  • India
  • United Kingdom
  • Russia
  • Saudi Arabia
  • China
  • Pakistan
  • Italy
  • France

The diversity of international investors demonstrates Dubai’s global appeal as a safe, tax-efficient, and high-growth real estate market.

Ultra-Luxury Segment Sees Dramatic Growth

The high-end segment strengthened significantly in 2025.

  • 902 off-plan homes sold above AED 15 million (US$4.08m / €3.75m / £3.15m)
  • 3,059 resale properties sold above AED 15 million

This represents dramatic growth since 2020 and confirms Dubai’s rising status as a global ultra-luxury property hub.

Strong Economic and Population Fundamentals

Dubai’s property market performance was supported by powerful macro fundamentals:

  • Population surpassed 4 million residents
  • Population growth exceeded 5% for a second consecutive year
  • Approximately 17 million tourists (up 9% year-on-year)
  • Hotel occupancy around 80%
  • UAE GDP growth at 4.8% in 2025
  • 5.2% GDP growth forecast for 2026

Sustained population expansion, tourism strength, and economic growth provide structural support for rental demand, capital appreciation, and long-term stability.

What This Means for Investors

The 2025 results demonstrate:

  • Strong absorption across residential segments
  • Continued dominance of off-plan developments
  • High investor participation through cash transactions
  • Expanding ultra-luxury activity
  • Solid macroeconomic support

The combination of record transaction value, international capital inflow, and population growth reinforces Dubai’s position as one of the most resilient and opportunity-rich real estate markets globally.

With GDP growth forecast at 5.2% for 2026 and continued demographic expansion, the outlook remains constructive heading into the year ahead.

Looking to Invest in Dubai?

Whether you are considering off-plan opportunities, high-yield rental properties, or ultra-luxury assets, Dubai continues to offer diverse investment options backed by strong fundamentals.

Speak with a Dubai property advisor today to explore current opportunities aligned with your investment goals.

Or request our latest curated list of top-performing projects and high-growth communities for 2026.

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