Dubai real estate market for villas priced above AED40 million has evolved from a post-COVID surge into a stable segment of the global wealth landscape, with transactions reaching 242 in 2024 and resales overtaking new property sales for the first time.
Analysis by fรคm Properties shows the sector has expanded ninefold since 2020, with transaction values climbing from AED0.89 billion to AED15.98 billion in 2024, marking a 1,700 per cent increase over five years.
“Dubaiโs AED 40M+ villa market is now a sustained global wealth segment, not a post-COVID anomaly, with strong resale demand and a limited supply of trophy homes driving prices higher,” Firas Al Msaddi, CEO of fรคm Properties said in a statement.
The number of villa transactions above AED40 million rose from 27 in 2020 to 210 in 2023 and 242 in 2024, with projections indicating 199 transactions for 2025, he added.
The growth has been driven by migration of ultra-high-net-worth individuals and a limited number of trophy properties in locations including Palm Jumeirah, Jumeirah Bay and Mohammed Bin Rashid City.
Resales have dominated the sector since 2022, accounting for 58 per cent of all villa deals above AED40 million in 2024. The value of resale transactions increased from AED2.0 billion in 2021 to AED10.8 billion in 2024, surpassing developer sales which totalled AED5.96 billion in the same year.
“This confirms a mature investor cycle, where delivered ultra-prime stock – mainly on Palm Jumeirah, Jumeirah Bay, and Emirates Hills – now trades at liquidity levels once limited to off-plan,” Al Msaddi said.
The shift prompted fรคm Properties to launch fรคm Luxe, a division focused on ultra-prime properties for ultra-high-net-worth buyers, marking the company’s 17th division.
Three locations have emerged as Dubai’s wealth centre, generating 56 per cent of transactions above AED40 million.
Palm Jumeirah has recorded AED19.38 billion in total transactions since 2015, representing 31 per cent of the market’s value. Emirates Hills follows with AED9.04 billion, accounting for 15 per cent, while Mohammed Bin Rashid City has generated AED6.40 billion, or 10 per cent of the total.
Villas priced between AED70 million and AED100 million have seen growth from minimal activity between 2015 and 2019 to over 170 transactions between 2023 and 2025.
The market has also recorded 83 transactions in the AED100 million to AED200 million range and 25 deals above AED200 million since 2021. Sales between AED200 million and AED600 million, which were rare before 2021, now occur regularly.
Data from DXBinteract identifies Palm Jebel Ali, Tilal Al Ghaf and The Oasis as locations where ultra-luxury villas worth AED100 million or more are expected after handover between 2026 and 2028.
Palm Jebel Ali has recorded AED2.23 billion in sales of villas above AED40 million, primarily between 2024 and 2025.
Tilal Al Ghaf has registered AED3.6 billion worth of transactions in the segment since 2023, with resale activity accelerating.
The Oasis recorded AED0.99 billion in its first cycle following a developer launch last year.
