Real Estate Boom in Dubai

Die Geissens Real Estate L.L.C
4. June 2025

Dubai's real estate market set another record in May 2025: transactions totaling AED 66.8 billion (USD 18.2 billion) across 18,700 deals. This represents a 44% increase in value and 6% in volume compared to the previous year, underscoring Dubai's role as a global real estate hub.

Strong increase in ready property sales

• Primary ready property sales rose to AED 17.9 billion, an increase of 314% compared to May 2024, with 2,400 transactions – a volume growth of 145%.
• Secondary sales reached AED 24 billion across 6,078 transactions, marking a 21% increase in value and 8% in volume year-on-year.

Overall market development

• Primary ready and off-plan sales totaled AED 37 billion, up 65% year-on-year.
• The secondary market also set new records: AED 29 billion across 8,471 transactions – an increase of 23% in value and 15% in volume.

Emerging investment hotspots

• Business Bay accounted for 5% of total transaction value with only 3% of volume – a sign of high-value investments.
• Al Barsha showed broad demand: 5% of transaction volume and 2% of value.
• A major land transaction worth AED 1.5 billion in Palm Deira highlights institutional confidence in Dubai's long-term development.

Consumer behavior

• 78% of rental and 60% of purchase inquiries were for apartments.
• Studios accounted for 21% of rental but only 15% of purchase interest. One-bedroom apartments led with 35% of purchase and 38% of rental inquiries.

Market outlook and strategic perspective

May even surpassed the previous record month of April with AED 62.1 billion – proof of sustained growth. With nearly 1,000 new residents daily, housing demand continues to rise.

Technological innovation plays a key role – for example, the launch of the first licensed tokenized real estate platform by the Dubai Land Department (DLD). A survey among industry leaders indicates that 2025 will remain an active transaction year – supported by international investors and strong luxury resales.

Positive momentum continues

With record figures, strategic investments, and technological innovation, Dubai's real estate market continues to show strong performance in 2025.