Dubai Real Estate Market Review 17-Jun-2025

Dubai property prices rose 8% in early 2025, led by villas with 29.3% annual growth. Jumeirah Bay Island led Dubai’s waterfront surge with 24% YoY.

Bounti creates all your listing materials in seconds—MLS description, listing webpage, property brochure, open house flyers—all on-brand and sound like you. No more manual creation. Get your first set of listing materials at no charge.
Click Here To Try it

Dubai property prices rose 8% in early 2025, led by villas with 29.3% annual growth. ValuStrat forecasts up to 10% more growth this year, though at a slower pace. Apartment prices also climbed but remain below 2014 peaks. Experts expect steadier, more sustainable increases ahead.

Read the full article on MSN

Despite Fitch predicting a 15% property price drop in Dubai by late 2025, homeowners remain confident, viewing the market long-term. Buyers are cautious but optimistic, while experts highlight continued demand, rising population, and a maturing market as signs of stable, gradual growth rather than a sharp correction.

Read the full article on The National

Dubai Metro’s Blue Line will boost real estate values and economic productivity by improving connectivity across nine key districts. Experts predict rising demand, higher rental yields, and increased investor focus on areas like Dubai Creek Harbour and Academic City, positioning Dubai as a more liveable and investable global city.

Read the full article on Khaleej Times

Investment picks returning 200%+

AIR Insiders get weekly expert investment picks and exclusive offers and perks from leading private market investing tools and platforms. So if you’re looking to invest in private markets like real estate, private credit, pre-IPO venture or crypto, the time to join FOR FREE is now.

Nakheel’s real estate arm awarded DBB Contracting over AED 750 million for Palm Jebel Ali’s infrastructure, utilities, roads and groundwork across Fronds A–G and the Spine District, slated for Q4 2026. Aligned with Dubai’s D33 Economic Agenda and 2040 Urban Master Plan, the 13.4 km island development aims to set a new global waterfront living benchmark.

Read the full article on Zawya

Binghatti has launched Binghatti Capital in DIFC to manage up to $1 billion in Shariah-compliant real estate and private credit investments. Exclusively for professional investors, it will focus on off-plan residential projects and supply-chain financing, marking Binghatti’s expansion into alternative, non-bank funding sources in Dubai.

Read the full article on Construction Week Online

Jumeirah Bay Island led Dubai’s waterfront surge with 24%-year-on-year price growth to Dh4,122/sq ft. Other prime locales, JBR, Palm Jumeirah and Bluewaters, saw 8–10% gains, fueled by scarcity and global demand as investors chase high-quality, low-maintenance luxury beachfront living for both lifestyle and long-term returns.

Read the full article on Khaleej Times

SmartCrowd launched Flip, a regulated real estate crowdfunding platform offering fractional investment in AED 35 M+ property renovation flips. With four completed exits generating AED 90 M from AED 63 M invested and average returns of 28% over 15 months, Flip democratizes high-end property flipping for everyday investors.

Read the full article on Zawya

Backed by major infrastructure, investor interest, and a strategic long-term vision, Abu Dhabi’s quiet transformation is starting to turn heads.

Read the full article on Arabian Business

Saga Properties unveiled a blockchain-powered fractional property ownership model with Dubai Land Department’s preliminary backing. Founders Gaurav Raj and Sapna Bhardwaj launched a limited Founders Pass and are finalizing legal and tech partnerships ahead of a private MVP, aiming to democratize real estate investment and bolster Dubai’s digital property agenda.

Read the full article on OpenPR

Betterhomes finds that the AED 128 billion Al Maktoum Airport expansion is driving Dubai South’s market, transactions topped AED 15 billion Jan–May 2025, rentals and inquiries are up 20%. Prices are forecast to rise 15–20%, aided by new metro and rail links. Surrounding areas remain up to 60% cheaper, echoing post-Terminal 3 growth.

Read the full article on MENA FN

Dubai’s Madar Developments will launch three AED 700 million residential projects, including the AED 200 million Tulip Oasis X Residences handover in Q2 2026. By managing construction in-house since land acquisition in July 2022, Madar ensures quality control and targets sustained off-plan market growth through 2026.

Read the full article on Zawya

Valued at AED350 million ($95.2 million), the project is expected to complete in the fourth quarter of 2027.

Read the full article on MEP

Dubai Real Estate Transactions as Reported on the 16th of June 2025

On 16 June 2025, Dubai’s total real estate transaction value reached AED 2.376 billion. Off-plan sales accounted for AED 1.514 billion (63.7%), while ready properties contributed AED 862 million (36.3%).

Category

Off-Plan (AED m)

Ready (AED m)

Flats

1,265.8

599.7

Villas

233.2

153.5

Hotel Apt. & Rooms

7.0

46.2

Commercial

7.5

63.0

Total

1,513.5

862.4

Off-Plan Market Performance

  • Total Off-Plan: AED 1.514 billion

  • Flats: AED 1.266 billion – 83.6% of off-plan volume

  • Villas: AED 233.2 million – 15.4%

  • Hotel Apartments & Rooms: AED 7.0 million – 0.5%

  • Commercial: AED 7.5 million – 0.5%

Flats dominated off-plan activity, reflecting continued investor appetite for mid-market residential units. Villa sales remain a solid secondary segment, while hospitality and commercial contributions are minimal.

Ready Market Performance

  • Total Ready: AED 862.4 million

  • Flats: AED 599.7 million – 69.5% of ready volume

  • Villas: AED 153.5 million – 17.8%

  • Hotel Apartments & Rooms: AED 46.2 million – 5.4%

  • Commercial: AED 63.0 million – 7.3%

The ready-market mix similarly favors flats, with villas and commercial properties each capturing under 20% of activity. Hotel apartment sales showed modest gains.

On The Micro Level

Market Insights

Dubai’s market remains driven by off-plan launches, with flats leading both segments. The strong off-plan share (nearly two-thirds of total value) underscores developers’ ability to attract pre-completion capital. Villa demand, while smaller, continues steadily. Lower commercial and hospitality volumes point to selective investor focus. Looking ahead, sustained demand for flats and high-end villas, alongside upcoming project handovers, should support steady growth. As supply pipelines mature, we expect a balanced market that rewards targeted developments and keeps price growth on a sustainable trajectory.

Data Source: Dubai Land Department

Reply

or to participate.