Dubai Property Sales Surge 46% to $41.3B in Q2 2025

Dubai, UAE - July 19, 2025 - Dubai’s residential real estate sector continues its meteoric rise. In the first half of 2025, total sales reached US $41.3 billion (AED 151.8 billion) a staggering 46% year‑on‑year increase, according to Betterhomes’ Q2 2025 Dubai Residential Real Estate Market report.

Transaction volume also saw remarkable growth, with 50,485 units sold, up 25% compared to H1 2024. Quarter‑on‑quarter, value rose 33%, while volume increased 19%, underscoring Dubai’s sustained global investment appeal.

Prime residential market surges

The ultra‑luxury segment registered exceptional momentum:

Prime‑segment transactions in Q2 hit 1,417 deals, up from 851 in Q1 (a 67% quarter‑on‑quarter jump) and a remarkable 113% year‑on‑year surge.

Christopher Cina, Director of Sales at Betterhomes, said:

“With approximately 20,000 new units delivered in the first half of 2025 and a further 70,000 expected by year‑end, Q3 is shaping up to be an exciting phase for Dubai’s property market. This upcoming supply is well‑aligned with the city’s growing population and strong investor appetite. Demand remains robust, particularly for apartments and ready villas, with healthy absorption of new launches. Both Q3 and the second half of 2025 are expected to reflect positive market sentiment, supported by a resilient economy, sustained end‑user demand, and attractive rental yields.”

Development Pipeline and Supply Outlook

Dubai’s residential market saw the completion of approximately 20,000 new units in the first half of 2025, with projections indicating another 70,000 units will be delivered by year-end.

Looking ahead, over 200,000 additional homes are scheduled for development through 2027, reflecting the city’s commitment to meeting growing housing demand.

Key areas contributing to the recent wave of completions include:

• Jumeirah Village Circle (JVC) – 20% of total completions
• Sobha Hartland – 11%
• Mohammed Bin Rashid City (MBR City) – 8%

This active development pace underscores Dubai’s strategic urban expansion and its readiness to accommodate both population growth and investor interest.

Price Trends and Buyer Profiles

The average price per square foot reached approximately $431 (AED 1,582), marking a 6% rise compared to the second half of 2024 and nearly 90% above the pandemic low of $227 (AED 833).

Investor activity continued to dominate the market, accounting for 58% of transactions in Q2—up from 50% in the previous quarter—while end-user participation dropped to 42%.

Cash purchases made up 52% of all deals, an increase from 42% in Q1, signaling a shift away from mortgage-backed buying, which fell to 48%.

In terms of buyer nationalities, the UK surged ahead to become the top investor, driven by a 56% quarterly jump in activity. India and Pakistan followed in second and third place, respectively, while Poland entered the top five for the first time. Ireland also made its debut in sixth place, replacing Russia.

The anticipated supply of 70,000 new units in H2 2025 promises to maintain momentum, supported by a growing population and a resilient economic backdrop. As Christopher Cina emphasized, the combination of abundant supply, sustained demand, and attractive rental yields points to continued expansion throughout the rest of 2025.