Dubai Real Estate Booms, Hitting a Record AED 431 Billion in First Half of 2025
Dubai Real Estate: Dubai’s property market has reached a new record, with real estate transactions totaling approximately AED431 billion in the first half of 2025, according to the Dubai Land Department (DLD). This significant achievement highlights the city’s growing status as a top destination for global property investment.
Unprecedented Market Growth: Dubai Real Estate
The first six months of 2025 saw Dubai real estate sector experience a remarkable 25% increase in the value of transactions compared to the same period in 2024, which recorded AED345 billion. The number of deals also saw a significant jump, with 125,538 transactions registered, a 26% rise from the 99,947 transactions in the first half of the previous year. This surge reflects strong investor confidence and sustained demand across Dubai’s various property segments. Overall, Dubai real estate procedures, including sales and leases, surpassed 1.3 million, indicating a robust and expanding investor base.
A New Wave of Investors
The market’s strength is further demonstrated by a surge in investment activity. In the first half of 2025, nearly 95,000 investors put AED326 billion into the market, a 39% increase in value year-on-year. A key driver of this growth was the influx of 59,075 new investors, who contributed AED157 billion to the market. Significantly, 45% of these new investors were residents, highlighting the success of initiatives encouraging tenants to become homeowners and boosting long-term market stability. The market also saw increased participation from women, with over 30,000 female investors making transactions worth AED73.2 billion. Foreign investors led the charge, followed by investors from other Arab and GCC nations.
Key Drivers and Hotspots
Several factors are fueling Dubai real estate boom. The Dubai Land Department has introduced initiatives to enhance market transparency and simplify procedures, making it easier and safer to invest. These include updated regulations for off-plan sales and the digitization of transactions. The city’s appeal as a global hub for business and tourism, along with favorable policies like foreign ownership options and zero property taxes, continues to attract investment. High-demand areas are seeing massive investment, with Dubai Marina leading at AED25.1 billion in transaction value, followed by Business Bay at AED22.5 billion and the Burj Khalifa area at AED17.1 billion. In terms of the number of sales, Al Barsha South Fourth was the most active area with 10,469 transactions.
