The real estate market in Dubai records its best performance in ten years.

The indicators for the first quarter of 2025, issued by Property Finder, revealed exceptional performance in Dubai's real estate market, with activity reaching unprecedented levels in terms of both the number and value of transactions, marking its strongest performance in the first quarter in over ten years.

The emirate recorded 45,474 real estate transactions with a total value of AED 142.7 billion, representing a 22% growth in the number of transactions and 30% in value compared to the same period in 2024. This strong performance is attributed to increasing momentum in off-plan property sales and transactions in the secondary market.

Off-plan Properties | Growing Confidence in the Future

Off-plan property sales accounted for 56% of total real estate transactions in Dubai during the first quarter of this year, reaching 25,440 transactions, an annual increase of 24%, with a total value of AED 55.2 billion compared to AED 44.5 billion during the same quarter of the previous year.

This growth reflects increasing confidence from medium- and long-term investors in future development projects, and the recorded value represents 39% of the total market value, highlighting the continued attractiveness of under-construction properties in the emirate.

The Shift from Renting to Freehold | A New Reality Driven by Rising Rents

These indicators reflect a gradual shift in resident behavior, as the continuous rise in rental prices is pushing many towards the option of property freehold, amid growing conviction of its long-term financial benefits. This dynamic appears to be boosting demand from end-users, in addition to investment demand.

Dubai Maintains Its Global Position as a Prestigious Real Estate Investment Destination

Sherif Suleiman, Chief Revenue Officer at Property Finder, confirmed that Dubai's real estate market started 2025 with strong momentum, driven by growing investor confidence in future growth opportunities.

He said: The UAE market, especially Dubai, is witnessing increasing interest from international investors, amid global monetary policy shifts and a declining dollar, which further enhances the attractiveness of real estate investment in the UAE.

Suleiman added: In general, the real estate sector in the UAE continues to consolidate its position as a reliable and integrated ecosystem with global competitiveness, supported by pioneering initiatives from the Land Department.

Fractional Ownership | The Future of Real Estate in Dubai Towards Inclusivity and Intelligence

Suleiman also highlighted the pivotal role of cooperation between the Land Department and the Virtual Assets Regulatory Authority (VARA) in developing asset tokenization technologies, which aim to link the property registry to a system that enables fractional ownership.

According to him, this step opens the market to a wider segment of investors and helps build a smarter, more inclusive, and attractive investment environment.

Edited by: Imtilak Global©