Last updated on January 21st, 2026 at 11:52 am
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 |
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.
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.
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