Dubai’s property market is showing no signs of cooling, with prices and transactions continuing to surge across both the apartment and villa segments. The latest figures from ValuStrat highlight an impressive 25.9% annual jump in property values for March 2025, as demand remains strong and investor interest grows.
Property Values Reach New Peaks
The ValuStrat Price Index hit 210.8 points in March—1.6% higher than the previous month and 25.9% up compared to the same period last year. Villas reached 275 index points, while apartments climbed to 169, based on a January 2021 baseline of 100.
Low- and mid-tier communities are now experiencing sharper monthly price gains than premium areas, pushing affordability lower for first-time buyers while making existing investments more valuable.
Apartment Sector Sees Solid Growth
Apartments posted a 1.2% monthly increase and 21.4% annual rise. The Greens led the way with a 27.4% annual increase, followed by Dubailand Residence Complex and Palm Jumeirah. Town Square and The Views also recorded gains above 24%.
Communities like International City and Burj Khalifa saw slower growth—though still positive—at 14.9% and 17.4%, respectively. Despite the growth, average apartment values remain 8% below Dubai’s last peak, although areas such as JBR have now exceeded their historical highs.
Villas Continue to Outperform
Dubai’s villa segment saw a 2% price hike in March and a remarkable 30.3% year-on-year rise. Jumeirah Islands, Palm Jumeirah, and Emirates Hills stood out with annual growth above 40%, while The Meadows wasn’t far behind.
Mudon showed the lowest movement with a 9.3% rise, maintaining price stability for seven straight months. On average, villas are now 60% above their last market peak and 165% higher than post-COVID levels.
Off-Plan Properties Drive Sales Volume
Nearly 70% of all residential transactions in March were for off-plan properties. While off-plan registrations dipped 7.4% from February, they were still up 19.3% year-on-year. Ready home sales saw a slight 2.4% monthly dip but rose 1.1% compared to last March.
Dubai also recorded 23 ultra-luxury ready home sales above AED 30 million in prestigious areas such as Palm Jumeirah, Dubai Hills Estate, Emirates Hills, and Jumeirah Bay Island.
Developer Activity and Hotspots
Emaar emerged as the top-performing developer with a 15.2% share of all transactions in March, followed by Damac, Nakheel, Binghatti, Sobha, and Danube. Danube secured 2.9% of total market share.
Leading off-plan transaction areas included Jumeirah Village Circle, Business Bay, Damac Island City, Dubai Production City, and Dubai Maritime City. Notably, Dubai Production City and Uptown Motor City hit all-time highs in monthly off-plan activity.
Q1 2025 Breaks Records
The first quarter of 2025 has been one of Dubai’s strongest on record. Total real estate sales hit AED 142.7 billion (around $38.85 billion), a 30.3% rise compared to Q1 2024. The quarter saw 45,485 transactions, up 22.8% year-on-year.
Plot sales recorded the most dramatic surge, jumping 193.8% to AED 35.5 billion. Villas saw a 43.1% increase in sales volume, reaching AED 41.3 billion, while apartment sales grew 12.6% to AED 62.3 billion. Commercial sales also rose by 25.2% to AED 3.6 billion.
Although Q1 fell just short of the record-breaking Q4 2024 figures, it firmly cements Dubai’s real estate market as one of the most attractive and resilient in the world.
