The real estate sector in the UAE, Dubai in particular, had a promising 2025, thanks to the record-breaking sales that reasserted the country as one of the world’s leading property markets. This is the fifth consecutive year that the city is shattering records.
The Dubai real estate market generated AED 682bn ($185.5bn) in sales in 2025, according to data from the Dubai Land Department. This is a 30.64 percent year-on-year surge as the number in 2024 was AED 522.36bn.
As for the number of transactions, the Emirate recorded an 18.82 per cent hike. While the sales between January and December in 2025 were 214,912, they were just 180,860 in 2024. Mortgage transactions reached AED 179.26bn through 50,974 deals, while gifts totalled AED 57.25bn across 9,556 transactions during the year.
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The data provided by Provident Estate’s 2025 Market Overview also recorded 213,700 residential transactions last year, representing a 6.9 per cent year-on-year increase. Average sale prices rose 7.6 per cent, thanks to lifestyle-driven relocations and long-term settlement.
“Dubai’s real estate story is no longer just about opportunity — it’s about permanence. People are not only investing here; they are building their futures here. That shift has redefined demand, reshaped community priorities, and positioned Dubai as the most resilient real estate market globally,” Loai Al Fakir, CEO of Provident Estate, told Arabian Business.
Population growth
The population growth in Dubai in 2025 also shattered a record, with over 4.03 million residents. Over 208,000 people arrived in the city for work, lifestyle and long-term settlement during the year, while more than 1.35m people have relocated to the emirate since 2014.
Thanks to this, there is a durable demand base and coupled with a disciplined supply delivery, it pushed the market into a new phase of expansion.
As for the demographics, the majority of transactions were carried out by those in the 31-45 age group. The 36–40 segment held the strongest share, which hints at career maturity, family planning and long-term stability.
Hot spots
Of the areas that saw huge transactions, Business Bay topped the list with a sales value of AED 38.31 bn. Jumeirah Village Circle came second with AED 24.52bn, while Al Yalayis 1 recorded AED 23.75bn-worth sales. The Dubai Investment Park Second recorded AED 23.16bn, while Palm Jumeirah was ranked fifth with AED 21.4bn in sales.
As for supply, it is concentrated around established and emerging master-planned communities, including Dubai Creek Harbour, Dubai Hills Estate, Damac Lagoons, Arabian Ranches 3, Arjan and Business Bay.
