Dubai Property Market Hits 177,000 Deals Even After October Slow-Down

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Dubai Property Market

Dubai’s property market continues to defy global trends, recording 177,000 real estate transactions in 2025 despite a mild slowdown in October. According to data from the Dubai Land Department (DLD), the Dubai Property Market saw over 50,000 homes sold in Q3 alone, while office rents surged 35% year-on-year a clear sign of sustained investor confidence and strong end-user demand across both residential and commercial segments.

Q3 by the Numbers

Metric Q3 2025 YoY Change
Residential Transactions 50,400 +22%
Transaction Value AED 180 billion +19%
Office Rent Growth +35% Record high
Occupancy Rate 92% Stable

Key Takeaways:

  • Market momentum persisted beyond seasonal trends.
  • Investors favored off-plan apartments in central communities.
  • Prime office spaces continue to face supply constraints.

Residential Market: Sales, Prices, and Hot Spots

Top Communities Key Reason for Demand
Jumeirah Village Circle (JVC) Affordable off-plan launches
Business Bay Investor focus, strong rental yields
Dubai Marina Waterfront lifestyle, luxury re-sales
MBR City Premium villas and family housing
Arjan Mid-segment affordability
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Supporting Points:

  • Off-plan sales dominate ~60% of total residential deals.
  • Average price per sq. ft. up by 12–15% YoY in prime areas.
  • Surge in overseas buyers from Europe and South Asia.

Commercial/Office Market: Rents, Demand, and Supply

Metric Q3 2025 Comment
Avg. Rent (Grade A) AED 233/sq ft New record high
Citywide Vacancy ~7.7% Limited prime space
Prime Vacancy ~0.3% Virtually full
YoY Growth +35% Driven by tech & finance tenants

Commentary:

  • High-end office spaces in DIFC and Downtown are nearly sold out.
  • Hybrid work has stabilized; firms expanding regional HQs in Dubai.

Supply Pipeline & Developer Activity

  • Emaar: Expanding The Oasis masterplan and Creek Waters 2.
  • Sobha Realty: Launches Hartland II villas focusing on sustainability.
  • Damac: Unveils Metaverse-ready Lagoons community.
  • Luxury projects targeting global investors seeking long-term UAE residency.

Demand Drivers

  • Population growth surpassing 3.8 million in 2025.
  • Golden Visa program drawing international buyers.
  • Strong rental yields (6–9%) attracting investors.
  • Tourism and job creation sustaining housing demand.
  • Stable governance and tax-free benefits adding global appeal.

Risks & What to Watch

  • Possible oversupply in mid-tier apartment segments.
  • Global interest rate trends could impact affordability.
  • Currency fluctuations may influence foreign buyer sentiment.
  • Rising construction costs could slow new launches.

Expert Quotes / Attribution

Despite global economic uncertainties, Dubai’s real estate remains a standout performer, driven by investor-friendly reforms and infrastructure expansion, said Taimur Khan, Head of Research at CBRE Middle East.

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Data Notes & Methodology

Data sourced from the Dubai Land Department (DLD), CBRE Q3 Market Report, and Savills Office Index, covering activity between July and September 2025.