If you thought 2024 was a record-setter for Dubai real estate, 2025 is already shaping up to outpace expectations — and it’s only just begun.
In the first quarter alone, Dubai’s real estate sector recorded over AED 114 billion in transactions, spread across more than 42,000 deals. That’s a 29% increase in value compared to the same period last year — a clear sign that investor confidence in the Dubai property market isn’t just strong; it’s accelerating.
March 2025 was a particularly impressive month, with nearly 8,800 off-plan sales recorded — the highest monthly figure in the quarter. It was a clear reminder that momentum is not seasonal; it’s sustained.
The villa and townhouse segment also saw solid traction. Developments like The Valley, Villanova, and the ever-iconic Palm Jumeirah stood out. While most sales fell into the AED 3–5 million range, ultra-luxury buyers made headlines with single villa transactions exceeding AED 130 million — proof that Dubai remains firmly on the global map for high-net-worth individuals.
Price growth followed suit. The average price per square foot rose to AED 1,535 — a 16% increase year-on-year. Rental yields stayed strong as well, with apartments averaging around 7.3% and villas hovering at 5%. Some areas, like Dubai Investments Park, reported yields as high as 10%, highlighting pockets of outstanding investor returns.
But the story isn’t just about numbers. It’s about sentiment — and that’s shifting too. A growing number of residents are opting to buy rather than rent, with rental renewals reportedly falling by 9% in Q1. That points to a deeper sense of permanence in Dubai’s expat population — a city once seen as transient is becoming a place people call home.
Looking ahead, supply is expected to keep pace with this surging demand. Over 7,800 new residential units were completed in Q1 alone, and forecasts suggest that more than 73,000 units will be delivered by the end of the year. That number could rise to over 180,000 by 2027, according to industry analysts — a scale of development that few global cities can match.
At USN Properties, we see this as more than just a strong quarter — it’s a signal that Dubai’s real estate landscape is entering a new chapter. Whether you’re an investor, homeowner, or first-time buyer, the opportunities are vast, diverse, and growing by the day.
As always, we’re here to guide you through it.
In the first quarter alone, Dubai’s real estate sector recorded over AED 114 billion in transactions, spread across more than 42,000 deals. That’s a 29% increase in value compared to the same period last year — a clear sign that investor confidence in the Dubai property market isn’t just strong; it’s accelerating.
What’s driving this remarkable momentum?
Much of the energy is coming from the off-plan segment, which accounted for nearly 25,000 transactions worth around AED 54 billion. These developments — often still in early construction phases — highlight how deeply investors are betting on Dubai’s future. Meanwhile, the secondary market also held its own, contributing over 17,000 transactions totaling AED 60 billion, proving that demand isn’t just speculative — it’s real, active, and wide-ranging.March 2025 was a particularly impressive month, with nearly 8,800 off-plan sales recorded — the highest monthly figure in the quarter. It was a clear reminder that momentum is not seasonal; it’s sustained.
So where is all this activity taking place?
For apartments, Jumeirah Village Circle (JVC), Business Bay, and Dubai Residence Complex were top performers in the off-plan space, offering accessible price points with high ROI potential. Resale activity was dominated by well-established communities like Dubai Marina, JVC, and again, Business Bay, where end-users and investors alike continue to see long-term value.The villa and townhouse segment also saw solid traction. Developments like The Valley, Villanova, and the ever-iconic Palm Jumeirah stood out. While most sales fell into the AED 3–5 million range, ultra-luxury buyers made headlines with single villa transactions exceeding AED 130 million — proof that Dubai remains firmly on the global map for high-net-worth individuals.
Price growth followed suit. The average price per square foot rose to AED 1,535 — a 16% increase year-on-year. Rental yields stayed strong as well, with apartments averaging around 7.3% and villas hovering at 5%. Some areas, like Dubai Investments Park, reported yields as high as 10%, highlighting pockets of outstanding investor returns.
But the story isn’t just about numbers. It’s about sentiment — and that’s shifting too. A growing number of residents are opting to buy rather than rent, with rental renewals reportedly falling by 9% in Q1. That points to a deeper sense of permanence in Dubai’s expat population — a city once seen as transient is becoming a place people call home.
Looking ahead, supply is expected to keep pace with this surging demand. Over 7,800 new residential units were completed in Q1 alone, and forecasts suggest that more than 73,000 units will be delivered by the end of the year. That number could rise to over 180,000 by 2027, according to industry analysts — a scale of development that few global cities can match.
At USN Properties, we see this as more than just a strong quarter — it’s a signal that Dubai’s real estate landscape is entering a new chapter. Whether you’re an investor, homeowner, or first-time buyer, the opportunities are vast, diverse, and growing by the day.
As always, we’re here to guide you through it.
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