Dubai’s property market is continuing its momentum at the start of the second quarter of 2025. Driven by consistently strong local and international demand, the sector is stabilising whilst remaining highly attractive. Supply continues to grow, particularly in the residential segment, whilst rents are rising in the most sought-after areas and transaction volumes remain high.
Figures remain stable despite inflation
Whilst inflation stands at 3,2 % According to the Central Bank of the United Arab Emirates, the property market is holding up well in the first quarter of 2025. The’pegging of the dirham to the US dollar continues to reassure investors, particularly those in the Gulf Cooperation Council (GCC).
Property according to plan remain at the heart of many investors’ strategies, buoyed by the launch of attractive projects and sustained international demand. The planned delivery of 38,000 new units by the end of the year is evidence of a dynamic market, albeit one that remains under control.
Breakdown by property type
Homes ready to move into in established neighbourhoods offer solid rental yields of between 6 % and 8 %, which continues to attract income-oriented investors. At the same time, the across-the-board rise in rents (between 12 1Q3 and 18 1Q3 year-on-year) is prompting more and more residents to consider buying rather than renting.
The most vibrant neighbourhoods in April 2025
Jumeirah Village Circle (JVC)
- Total transactions : 1 411
- Total value : 1.57 billion AED
- Average price per square foot : 1,443 AED
Business Bay
- Total transactions : 839
- Total value : 2.21 billion AED
- Average price per square foot : 2,409 AED
Damac Islands
- Total transactions : 830
- Total value : 2.77 billion AED
- Average price per square foot : 1,112 AED
Dubai Production City
- Total transactions : 726
- Total value : 487 million AED
- Average price per square foot : 1,326 AED
Dubai Marina
- Total transactions : 584
- Total value : 1.3 billion AED
- Average price per square foot : 2,766 AED
Conclusion
April 2025 reflects a balanced market, which is both active and diversified. As for affordable neighbourhoods such as Production City in upmarket areas such as Dubai Marina or Business Bay, buyer interest spans all segments. The Golden Visa scheme, the imminent arrival of 38,000 new homes, and the growing pressure on the rental market is making Buying property is more attractive than ever for residents and investors.
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