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Dubai real estate soars to new heights as sales hit AED 326.7 billion in H1 2025

#International News#Residential#United Arab Emirates
Last Updated : 4th Jul, 2025
Synopsis

Dubai's real estate sector recorded its strongest-ever first half in 2025, with 98,603 transactions valued at AED 326.7 billion, reflecting a 40% increase in sales value year-on-year. The second quarter alone contributed AED 184 billion across 53,118 deals, surpassing all past records. Plot, villa, apartment, and commercial sales all showed marked growth in both value and volume. Median prices continued their upward trajectory, driven by robust investor demand, with the top sale being a luxury Palm Jumeirah villa priced at AED 365 million. First-time developer sales dominated the market, accounting for 66% of the total activity.

Dubai's property market has sustained its record-breaking momentum, with the first half of 2025 witnessing 98,603 real estate transactions totalling AED 326.7 billion in value. This represents a 40% surge compared to the same period in 2024, as reported by fäm Properties in its latest market update.


This growth was fuelled by Dubai's best-ever quarterly performance in Q2, with 53,118 transactions valued at AED 184 billion. The second quarter outpaced the previous peak of AED 147.2 billion set in Q4 2024, marking a 25% rise in value, while transaction volume rose by 5.39% compared to the 50,400 deals recorded in Q3 last year.

According to DXBinteract data, all segments of the real estate market experienced positive growth. Plot sales stood out with AED 32.2 billion from 1,384 transactions, representing a 49% increase in volume from the same quarter last year and a 27.1% rise compared to Q1 2025.

Villa sales climbed to 10,019 units worth AED 66.5 billion, which was a 38.3% year-on-year increase in volume. Apartment sales were valued at AED 81.6 billion, with volumes up by 18.7% over the corresponding quarter last year and by 22.7% from Q1 2025. Commercial property also performed well, with 1,252 transactions generating AED 3.6 billion, reflecting a 12.5% increase in volume over Q2 2024.

Median price appreciation highlighted the strengthening market trend. Prices reached AED 1,607 per square foot in Q2 2025, continuing an upward path from AED 958 in 2021, AED 1,151 in 2022, AED 1,339 in 2023 and AED 1,514 in 2024.

Firas Al Msaddi, CEO of fäm Properties, noted that the consistent strength of Dubai's property market continued to position the emirate as a leading global investment hub. He pointed out that international interest remained high, while regional and local buyers also contributed to the ongoing demand.

An analysis of second-quarter sales over the past five years illustrates this growth trajectory-from AED 10.8 billion in 2020 to AED 36.6 billion in 2021, AED 58.2 billion in 2022, AED 90.5 billion in 2023, and AED 123.9 billion in 2024.

In terms of transaction volume, Jumeirah Village Circle led Q2 2025 with 4,930 deals amounting to AED 6.47 billion. Business Bay followed with 3,143 transactions worth AED 10.05 billion. Al Yelayiss 1 recorded 2,867 transactions (AED 9.08 billion), Wadi Al Safa saw 2,483 deals (AED 4.83 billion), and Dubai South logged 2,248 transactions (AED 5.21 billion).

Me'Aisem ranked second highest in total value, with 844 deals worth AED 14.94 billion. The most expensive property sold during the quarter was a villa on Palm Jumeirah for AED 365 million. The priciest apartment sold fetched AED 170 million at Peninsula Dubai Residences, Tower 1.

A breakdown of transaction values revealed that 32% of deals (16,967) fell within the AED 1-2 million range, while 26% (13,687) were under AED 1 million. Properties priced between AED 2-3 million accounted for 17% (9,163), AED 3-5 million for 13% (6,804), and those over AED 5 million comprised 12% (6,496).

Sales by developers outnumbered those in the secondary market, making up 66% of all transactions by both volume and value.

Among the top-selling apartment projects in the primary market were Binghatti Elite and Sobha Solis, each with 712 units sold. Other notable performers included Sobha Orbis (570 units), Binghatti Skyrise (499), and Timez by Danube (450). For villas, Al Yelayiss 1 led with 2,227 units valued at AED 7.2 billion, followed by DIP Second (866 units, AED 6.5 billion) and Me'Aisem Second (832 units, AED 14.8 billion).

In the resale segment, Azizi Riviera saw the highest apartment sales (317 units worth AED 267.5 million), followed by Peninsula (172 units, AED 331.1 million). Resale villas were most active in Al Yelayiss 1 (600 units, AED 1.7 billion), Wadi Al Safa 5 (369 units, AED 1.5 billion), and Al Hebiah Fifth (333 units, AED 1.2 billion).

This momentum is not merely cyclical but built upon sustained demand across buyer segments and asset classes. The dominance of off-plan sales, rising median prices, and landmark deals reflect growing investor confidence and a resilient economic backdrop. As the emirate progresses through 2025, its property sector appears well-positioned to build on this record-setting performance.

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