The Dubai real estate market maintained its strong momentum in the third quarter of 2025, with 54,028 residential transactions worth AED134.6bn ($36.6bn), according to the latest report from Springfield Properties.
The figures represent a 15.3 per cent year-on-year rise in sales value from AED116.7bn ($31.8bn) in Q3 2024, alongside a 14.8 per cent increase in transaction volumes from 47,049 a year earlier.
Compared to Q2 2025, transaction numbers grew 9.4 per cent, while values stabilised — a sign of healthy diversification into more mid-market launches.
Mid-market anchors Dubai’s growth
Farooq Syed, Chief Executive Officer of Springfield Properties, said: “Crossing AED134.6bn in sales this quarter shows more than resilience — it confirms that Dubai has become one of the most balanced real estate markets worldwide.
“Mid-market housing now anchors demand, accounting for more than half of all transactions, while premium districts such as Dubai Hills Estate and Dubai Maritime City continue to demonstrate price stability.
“This balance is what sets Dubai apart from global peers.”
The quarter’s activity was led by off-plan sales, which reached 40,680 transactions worth AED96.2bn ($26.2bn), underscoring investor appetite for early-stage projects.
The ready segment accounted for 13,348 transactions worth AED38.3bn ($10.4bn), fuelled by end-user demand in established family communities.
Land, commercial and institutional investment rise
On the commercial side, total activity hit AED30.4bn ($8.3bn) across 3,431 deals, including AED17.7bn ($4.8bn) in land sales as developers positioned for upcoming supply cycles.
Offices, retail units, and hotel apartments also contributed to market depth, supported by institutional inflows and Dubai’s robust tourism sector.
Syed added: “With more than 155,000 new residents added this year and mortgage affordability improving after the September rate cut, Dubai’s fundamentals are exceptionally strong.
“Developers are positioning strategically across all segments, while institutional capital flows into land, offices, and income-producing assets. The market is not just resilient — it is expanding in depth and scope.”
Rental market surges 28 per cent in key areas
Rental values climbed to AED12.7bn ($3.5bn) across 137,700 leases, with Nad Al Sheba (+28 per cent) and Jumeirah (+23 per cent) posting the sharpest gains.
Suburban areas such as Sobha Hartland and The Villa also saw steady rental increases, reinforcing Dubai’s appeal to both tenants and investors.
Yields remain highly attractive across a broad range of communities, bolstered by sustained population growth and infrastructure investment.
Outlook: strong finish to the year
As Q4 begins — traditionally Dubai’s busiest quarter — momentum is expected to accelerate further, supported by international investor inflows, new project launches, and resilient rental demand.
With more than 250,000 residential units scheduled for delivery between 2026 and 2027, market analysts expect a stable balance between supply and absorption to define Dubai’s next phase of growth.
For now, the emirate heads into year-end with record confidence, underpinned by demographic expansion, institutional investment, and a diverse, sustainable buyer base.
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