Dubai real estate market smashes records with AED686.8bn in sales

Dubai’s real estate market closed 2025 on a strong note, with a surge in activity in December pushing the sector to record-breaking annual results. Total property sales for the year reached 215,700 transactions, with a combined value of AED686.8 billion, marking the highest levels ever recorded for the emirate.

December maintained the exceptional momentum seen throughout the year. Monthly sales rose by 46.4 per cent in value year on year to AED63.1 billion, while transaction volumes increased by 21.3 per cent to 18,587 deals.

According to an in-depth market report issued by fäm Properties, 2025 represented a landmark year for Dubai’s real estate sector, driven by sustained investor confidence, robust demand across all segments, and the delivery of quality housing stock aligned with market needs.

Data from DXBInteract showed strong growth across both primary and secondary markets, alongside rising real estate values and increased construction activity, signalling continued strength heading into 2026.

Key highlights for 2025

• Record transaction volumes: 215,700 sales, up 18.7 per cent from 2024
• Historic peak in value: AED686.8 billion, a 30.9 per cent year-on-year increase
• Primary market surge: 149,230 first sales worth AED448.1 billion, up 33.6 per cent
• Secondary market growth: 66,400 resale transactions valued at AED238.8 billion, up 26.2 per cent
• Price appreciation: Average price per sq ft reached AED1,700 in the primary market, up 6.7 per cent, and AED1,500 in the secondary market, up 11.2 per cent
• Supply response: 42,784 properties delivered, up 45 per cent from 29,392 units in 2024
• Developer activity: 177,624 unit launches, up 6.1 per cent from 167,408 in 2024
• Five-year trajectory: Sales value rose from AED71.5 billion in 2020 to AED686.8 billion in 2025, while volumes increased from 34,700 to 215,700

“These figures show that Dubai’s real estate market has genuinely evolved – this isn’t just another growth cycle,” said Firas Al Msaddi, Chief Executive Officer of fäm Properties. He pointed to a more diverse investor base and a supply pipeline aligned with demand as key drivers of growth.

All major property categories recorded gains in 2025. Apartment sales rose 19.9 per cent to 170,448 transactions worth AED332.9 billion, while villa sales increased 11.1 per cent to 34,671 units valued at AED206.9 billion. Commercial transactions surged 41.1 per cent to 6,086 units worth AED18.2 billion, while 4,446 plots were sold for AED128.5 billion. Building sales rose 306.3 per cent to 65 units valued at AED211.9 million.

First sales from developers accounted for 69 per cent of transaction volumes and 65 per cent of total value, compared with 31 per cent and 35 per cent respectively for resale transactions.

The most expensive transactions of the year included a AED550 million apartment at Bugatti Residences by Binghatti in Business Bay and a AED425 million villa in Emirates Hills.

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