Dubai’s real estate sector continues to stand out as one of the most dynamic and fast-growing markets worldwide. Reflecting this momentum, the market recorded a new high with total sales reaching AED66.8 billion ($18.2 billion) in May 2025, representing a remarkable 49.9% increase compared to the same month last year. Alongside this surge in value, the market also registered 18,693 transactions, marking May as the second busiest month ever in terms of sales volume.
The residential market is undergoing steady evolution, with approximately 363,000 units projected for delivery over the next five years. A significant portion of these developments are still in the early stages of construction, which helps mitigate the risk of oversupply. Notably, the number of completed units in 2024 has declined compared to 2023, contributing to a more balanced supply of ready properties.
Certain locations, including Jumeirah Village Circle, are expected to experience a concentrated supply of new residential units in the coming years. While this may create localized pricing pressures in the short term, the overall market continues to demonstrate resilience, supported by robust demand and stable absorption rates.
Property sales in Dubai have witnessed a remarkable increase over the past five years, rising from AED 2.3 billion in May 2020 to AED 66.8 billion in May 2025 underscoring the city’s exceptional growth trajectory. This expansion is reflected in the market’s breadth, with transactions ranging from luxury villas on Palm Jumeirah commanding prices up to AED 300 million to high-value premium apartments in prime locations.
Global migration trends, especially among high-net-worth individuals, continue to reinforce the strength of Dubai’s real estate market. Over the past decade, the city has recorded a 212% surge in millionaire residents, firmly establishing its reputation as a leading hub for wealth preservation and growth.
An analysis of sales distribution by price segment indicates a well-balanced market. Properties priced above AED 5 million comprised 14% of total transactions, while the majority were concentrated in the AED 1–3 million range, demonstrating sustained demand across a diverse spectrum of buyer profiles.
Developer-originated first-time sales continue to lead the market, accounting for 66% of total transaction volume and 67% of the overall sales value. This prevailing trend underscores sustained investor confidence in newly launched projects and the strong appeal of emerging investment opportunities.
The Road Ahead
In May 2025, Dubai’s real estate market reflected remarkable resilience, steady balance, and considerable growth potential. Supported by strategic development initiatives, sustained demand across various sectors, and ongoing international investment, the city continues to rank among the world’s most dynamic and attractive property markets.
One Investments is committed to reinforcing Dubai’s position as a leading international destination. Through a focus on sustained capital growth and in-depth market insights, we assist clients in identifying the most promising investment opportunities.
