The Dubai real estate market achieved an all-time high of AED62.1bn ($17bn) in monthly sales.
As the market continues to set new records, Property Finder convened an exclusive roundtable with the emirate’s top real estate leaders to chart the path forward.
Amid the unprecedented market performance, industry heavyweights expressed cautious optimism, anticipating that transaction activity will continue to accelerate throughout 2025 as investors adapt to evolving market dynamics.
Here are three key insights that emerged from the roundtable, offering a window into what’s driving Dubai real estate in 2025.
Dubai real estate outlook is largely positive
Despite global headwinds, from rising inflation to geopolitical shifts and economic volatility, Dubai’s real estate leaders remain firmly optimistic.
Their confidence is rooted in sustained investor interest and robust demand, particularly from international buyers.
In fact, Property Finder data shows that the US led all international markets in search traffic, followed by the UK and India, which marks a huge shift and indicates the interest in the region from the US.
There’s also some relief in sight for long-term renters, with experts forecasting notable price drops in premium districts such as Dubai Marina and Jumeirah.
While this may slightly affect rental yields for landlords, it signals a rebalancing of the market.
Daniel Hadi, CEO of Engel & Völkers, said: “The market has been extraordinary. We have delivered the best quarter in our history. We are positioned at the beginning of what I believe will be two more years of remarkable growth in this bull run.”
Sam McCone, Managing Director of McCone Properties, said: “I remain profoundly optimistic about what lies ahead. Dubai’s true narrative of exceptional potential and opportunity still remains a bit of a hidden secret that the world has yet to fully recognise.”
Dubai off-plan real estate remains lucrative
Off-plan sales continue to drive robust market revenues, enhanced by attractive commission structures of 8-10 per cent that reward developers and agents alike.
Industry experts anticipate a natural market evolution as these high-yield opportunities transition toward a more balanced supply-demand landscape, allowing for strategic diversification in the sector.
John Lyons, Managing Director, Espace Real Estate, said: “We’ve seen a very strong start to the year, with Q1 revenue up 29.1 per cent, driven by both the continued expansion of our business and the positive momentum in Dubai’s property market.
“The number of brokers contributing to company revenue has increased by 26 per cent year-on-year, reflecting our strategic growth efforts.
“While market conditions remain buoyant, we expect rental yields to come under pressure over the medium term as new apartment supply comes online and rental growth begins to stabilise”
Dubai real estate resale momentum in luxury and larger home segments
Handovers of properties purchased off-plan, have sparked strong resale activity in Abu Dhabi’s luxury segment, especially for AED8m+ ($2.2m+) villas, with Dubai-based buyers dominating transactions.
Meanwhile Dubai’s high-end segment continues to attract investors with no signs of slowing down anytime soon.
Property Finder data reveals strong demand for larger living spaces, with 64 per cent of villa and townhouse searches targeting properties with four or more bedrooms.
Kika Pavese, Managing Director of MD Real Estate, said: “Handovers have transformed our business towards resales. Demand for properties in the AED8-20m ($2.2-5.45m) range has exploded, driven substantially by Dubai-based buyers. We’re consistently closing 10-15 monthly transactions in Jumeirah Islands alone.”
Simon Baker, Managing Director of Haus & Haus, said: “International buyers continue targeting villas aggressively and are currently our safest segment.”
Abdullah Alajaji, Founder and Managing Director of Driven Properties, said: “Premium investments continue to have enduring value with healthy market interest, while rental rates are adjusting to create more accessible entry points across all segments.
“For example, luxury villas in prestigious Jumeirah that previously commanded AED3m ($817,000) are now available at a more attractive price point of AED2m ($545,000).
“This strategic market recalibration aligns with global investment trends, creating opportunities for astute investors to maximise value in a maturing market landscape.”
Michael Lahyani, Founder and CEO of Property Finder, said: “We brought the industry’s top leaders together at a crucial point for the market. Yes, transaction volumes are strong, but we’re also seeing signs of change.”
The real estate leaders’ roundtable was chaired by Property Finder’s CEO and Founder, Michael Lahyani, and attended by senior leaders, including:
- Richard Waind, CEO of BetterHomes
- Daniel Hadi, CEO of Engel & Völkers
- John Lyons, Managing Director, Espace Real Estate
- Kika Pavese, Managing Director MD Real Estate
- Aron Lomax, Co-founder and Managing Partner of Treo Homes
- Abdullah Alajaji, Founder and Managing Director of Driven Properties
- Lewis Allsopp, Chairman of Allsopp & Allsopp
- Firas Al Msaddi, Founder and Owner of fäm Properties
- Simon Baker, Managing Director of Haus & Haus
- Sam McCone, Managing Director of McCone Properties
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