Dubai defies forecasts with 20% growth in its real estate market in 2025

The Dubai real estate market has exceeded expectations in 2025, registering a year-on-year growth of 20%, defying forecasts that anticipated a moderation after several years of strong expansion. Far from being a speculative uptick, experts agree that this progress is backed by solid foundations: a sustained increase in population, the arrival of large assets, long-term residence policies and constant investment in infrastructure.

According to the latest industry data, during 2025 there were more than 270,000 real estate transactions for a total value of 917 billion dirhams, figures that reflect unprecedented dynamism. Investments exceeded 680 billion dirhams distributed in 258,600 transactions, which represents a growth of 29% in value And of the 20% by volume compared to the previous year. The number of investors also increased significantly until 193,100, 24 percent more than in 2024.

Lewis Allsopp, president of the firm Allsopp & Allsopp, noted that “all key metrics show growth”, especially highlighting the increase in 33% in average prices, a clear indicator of market confidence and the strong imbalance between supply and demand. For her part, Humaira Vaqqas, senior consultant at Range International Properties, stressed that high liquidity and the potential for capital revaluation continue to attract international investors looking for stable and profitable assets.

Dubai's attractiveness is reinforced by its ability to attract high-earning residents, long-term visa programs, legal security and a competitive tax environment. Added to this is a diversified economy and an ambitious urban development plan that continues to generate new residential, commercial and mixed-use areas.

The prospects for 2026 point to the continuity of this upward trend. The combination of demographic growth, the arrival of millionaires and structural demand for housing positions Dubai as one of the major global real estate centers, not only in terms of volume of operations, but also because of stability and long-term projection. As Allsopp concludes, “the constant migration of people with high net worth and the expansion of the population sustain a growth cycle that, for now, shows no signs of exhaustion.”

‍