While total value dipped 6.4 per cent quarter-on-quarter, sales volume rose 11.4 per cent, underscoring deep investor confidence and sustained demand for new projects.
Apartments lead investments
Apartment sales surged to AED93bn ($25.3bn) — the highest value ever recorded in Dubai’s residential market.
Volumes climbed 22 per cent to 48,646 units, led by a 35 per cent quarter-on-quarter jump in off-plan apartment sales.
Off-plan transactions accounted for 70 per cent of total sales volume and 59 per cent of value — both all-time highs.
The data reflects robust investor appetite and a surge in new project launches across the city.
Villas cool after a strong rally
Following an exceptional first half, villa and townhouse transactions eased 30 per cent quarter-on-quarter, with values down 34 per cent.
Analysts describe this as a natural post-rally adjustment as launches paused and buyers became more selective.
Demand for larger family homes remains healthy in established, lifestyle-focused communities.
‘Selective ascent’
Louis Harding, CEO at Betterhomes, said: “Dubai’s property market is experiencing selective ascent rather than straight-line growth.”
He noted that sales volume and value rose 18 per cent year-on-year, reaching 56,015 transactions worth AED139.7bn ($38bn), anchored by off-plan sales.
“Demand is tilting decisively toward new supply, particularly apartments, where deals jumped 28 per cent year-on-year,” Harding said. “By contrast, villas cooled and prime transactions eased 48 per cent quarter-on-quarter, suggesting a moment of pause rather than panic.”
Prices climb to record levels
Average residential prices reached a historic AED1,664 per sq ft, nearly double 2020 levels.
The 5.2 per cent quarterly increase was supported by end-user demand, mid-market liquidity, and favourable global conditions — including the U.S. Federal Reserve’s 25-basis-point rate cut, which improved affordability for international investors.
Dubai’s supply base expanded steadily, with more than 28,500 units delivered so far in 2025 and more than 200,000 units expected by 2027.
Apartments made up 85 per cent of Q3 handovers, concentrated in Jumeirah Village Circle, Business Bay, and Town Square — key mid-market districts drawing consistent demand.
Rental demand robust
Leasing transactions at Betterhomes rose 92 per cent year-on-year and 29 per cent quarter-on-quarter, reflecting strong rental appetite across the emirate.
Average annual rents reached AED196,000 ($53,380), with apartments accounting for the majority of leasing activity.
Dubai real estate outlook: steady growth ahead
As Dubai enters the final quarter of 2025, the market is expected to maintain its steady trajectory.
Sustained population growth, ongoing infrastructure expansion, and strong global investor interest continue to underpin one of the world’s most dynamic and resilient property markets.
