PC: Arabian Business
In February 2025, Dubai’s real estate market has witnessed a tremendous surge with transactions rising to AED 40.98 billion. High momentum on the part of the sector is shown in this figure, as transaction value increases by 49.3% year to date and transaction volume increases by 35.36%.
According to data, sales of off plan property still continue to flourish with sales up to 8,753 properties and AED 19.73 billion. Being a key driver of investor confidence, this segment has been a compelling sign of Dubai’s as a destination of long term growth. The off plan market continues to perform brilliantly due to demand for new developments which are seen to be more higher investment wise.
Demand for Luxury Real Estate
Demand for prime and ultra-luxury developments continues to be supported by HNWIs and international investors. Upward pricing trends are occurring in some of the city’s most desirable districts where selectivity of high value properties is growing. The latest figures show that Dubai is still a leading global destination for wealth and real estate investment and reaffirms that there is such a thing as a virtual home in Dubai, said Farooq Syed, CEO, Springfield Properties. It is a city that 212 have in their bank accounts cent millionaires and 15 have become billionaires in, therefore this is a city that wealthy investors find attractive.
In the past ten years, the number of millionaire inhabitants of Dubai has increased by 78%, reinforcing Dubai as the world’s premier domicile of international wealth. However, much of the demand for these so-called ultra-luxury properties, as they are referred to by many, and as they are certainly marketed, stems from the influx of affluent individuals, particularly those concentrated in waterfront developments and master planned communities where supply, typically, is diminishing.
Market Dynamics and Future Outlook
Global wealth will have a huge influence on the Dubai real estate market in the next few years. Matters are increasingly turning towards long term investments in real estate for investors to protect, or at least preserve, their wealth and capital appreciation. He also says that Dubai’s resilient property market offers suaced value and security to investors as demand rises, which draws newcomers keen to find appreciating assets.
There has been government initiatives encouraging investment like residency permits to retirees and remote workers, as well as the expansion of the 10 year Golden Visa program, all helping to stabilize the market. And with an ever increasing population of Dubai, with over 3.8 million residents, the demand of which across all housing segments is set to continue its upward trajectory, the day of larger living is here.
Finally, Dubai’s real estate transactions surge reflects a robust and very resilient market that is bound to continue to grow. Given that, Dubai along with its combination of high demand for the luxury properties, a growing base of wealthy residents, and supportive government policies puts it as a leading Investor hub in the global real estate sector. To ensure that it reaches new heights of returns, it remains an important area for stakeholders in the market to play.
