Dubai, UAE – Dubai’s real estate market has kicked off 2025 with exceptional momentum, registering a total of AED 142.7 billion in sales during the first quarter. This marks the second-highest quarterly figure on record, reflecting a 30.3% year-on-year increase in value. The total number of 45,485 sales transactions also represents a 22.8% jump compared to Q1 2024.
According to a market update from fäm Properties, the Q1 results are just slightly below the all-time record of AED 147.2 billion from 50,218 transactions recorded in Q4 2024.
Strong Growth Across All Real Estate Segments
All real estate sectors experienced significant year-on-year growth, with plot sales leading the surge—a 193.8% increase, reaching AED 35.5 billion from 2,926 transactions.
- Villa sales: Up 43.1% to AED 41.3 billion (8,369 transactions)
- Apartment sales: Increased 12.6% to AED 62.3 billion (32,884 transactions)
- Commercial sales: Rose 25.2% to AED 3.6 billion (1,212 transactions)
Rising Property Values
The continuous appreciation in Dubai’s property market is evident in the rising median price per square foot, which stood at AED 1,563 in Q1 2025, compared to:
- AED 889 in 2021
- AED 1,124 in 2022
- AED 1,283 in 2023
- AED 1,497 in 2024
Firas Al Msaddi, CEO of fäm Properties, emphasized, “Once again, we’re seeing figures that highlight the remarkable resilience and strength of Dubai’s real estate market. This consistent upward trend solidifies Dubai’s position as a premier real estate investment hub, attracting global investors alongside strong demand from local and regional buyers.”
Five-Year Sales Growth Trend
Dubai’s Q1 property sales have steadily climbed over the past five years:
- 2020: AED 21 billion (9,800 transactions)
- 2021: AED 24.6 billion (11,600 transactions)
- 2022: AED 54.6 billion (20,200 transactions)
- 2023: AED 89 billion (31,100 transactions)
- 2024: AED 109.5 billion (37,000 transactions)
Top-Performing Areas in Q1 2025
The highest transaction volumes were recorded in:
- Jumeirah Village Circle: 3,605 transactions | AED 4.559 billion
- Wadi Al Safa: 3,596 transactions | AED 7.642 billion
- Business Bay: 2,782 transactions | AED 7.265 billion
- Dubai South: 2,676 transactions | AED 8.745 billion
- Dubai Marina: 2,583 transactions | AED 9.284 billion
Record-Breaking Luxury Sales
- Most expensive villa: AED 140 million in Dubai Hills Estate
- Most expensive apartment: AED 116 million at The Rings 1, Jumeirah Second
Sales Distribution by Price Range
- 31% (14,242 transactions) – AED 1-2 million
- 26% (11,899 transactions) – Below AED 1 million
- 19% (8,567 transactions) – AED 2-3 million
- 15% (6,837 transactions) – AED 3-5 million
- 9% (3,939 transactions) – Above AED 5 million
Primary Market vs. Secondary Market
Sales from developers significantly outpaced the secondary market, with:
- 65% of transactions in the primary market
- 35% in resale transactions
- 61% of total value from direct developer sales vs. 39% from resales
Dubai’s real estate market continues to thrive, offering lucrative investment opportunities backed by strong demand and rising property values. With record-breaking sales and increasing investor confidence, the city’s property sector remains a powerhouse for high returns and long-term growth.
source: https://www.zawya.com/