Dubai Real Estate Market — September 2025

UAEreal estatemarket analysis2025september

Overview

Dubai’s real estate market closed September 2025 with another month of steady growth.
Total transaction value increased by 21.2% year-on-year, driven by 11.3% more transactions and a 9.7% rise in price per sq.ft. The market continues to be defined by strong demand in the mid-range primary segment (1–2M AED) and consistent activity in villa and plot sales.

Market Performance

  • Total sales: 20,127 (+11.3% YoY)
  • Average price: 1,689 AED/ft² (+9.7%)
  • Total value: 54.3B AED (+21.2%)

This combination of volume and price growth implies healthy end-user and investor demand. The negative mix effect (≈ —0.9 pp) suggests fewer luxury and building transactions, offset by higher activity in the 1–3M AED range.

Category Breakdown

  • Apartments: 59% of total value | median price 1.3M AED (—1.3% YoY)
  • Villas: 23% | median price 4.1M AED (+36.5%)
  • Plots: 16% | median 7.5M AED (+33%)
  • Commercial: 3% | median 1.9M AED (+29%)
  • Buildings: marginal share, down 47% YoY

Apartments remain the largest category by both volume and value, while villas lead price appreciation due to sustained demand from relocators and long-term residents.

Primary vs Resale

  • Primary (off-plan): 74% of all transactions | 67% of total value
  • Resale: 26% of transactions | 33% of total value

The dominance of the primary market reflects developer flexibility and attractive payment plans. Resale activity remains solid but structurally smaller.

Buyer Budgets

  • Under 1M AED — 26%
  • 1–2M AED — 39% (core segment)
  • 2–3M AED — 16%
  • 3–5M AED — 10%
  • 5M+ AED — 9%

More than half of all transactions occur below 3M AED, underlining the strength of the mid-range investor and end-user base.

Top Areas

By value: Business Bay, DIP 2, JVC, Palm Jumeirah, Dubai South
By volume: JVC, Business Bay, Al Barsha South 2, DIP 2, Dubai South

Business Bay continues to dominate high-value transactions, while JVC maintains the highest number of deals in the affordable segment.

Financing

Mortgage activity slowed: 3,795 deals (—9%) worth 12.1B AED (—24%).
Developers' post-handover plans increasingly replace traditional mortgage demand.

Forecast: October 2025

Expect a continuation of stable growth:

  • Transactions: 20.5K–21.5K (+2–7% MoM)
  • Price per ft²: 1,690–1,720 AED (+0–2%)
  • Total value: 55–58B AED (+1–7%)

Primary market share will likely stay around 72–75%, with 65% of buyers in the 2M AED or less segment.
Overall sentiment remains confident heading into Q4.