Dubai real estate records $37.6bn in transactions in Q3 2025

Dubai’s residential prices reached AED1,664 per square foot, double 2020 levels, the Betterhomes report said

Staff Writer
Staff Writer
Dubai real estate

Article summary

AI Generated

Dubai's property market saw 56,015 transactions worth AED 138.3 billion in Q3 2025. Apartment sales hit a record AED 93 billion, with off-plan transactions dominating. Villa transactions cooled, but overall, sales volume and value rose 18% year-on-year.

Key points

  • Dubai's property market saw 56,015 transactions in Q3 2025, worth AED 138.3 billion.
  • Apartment sales soared, especially off-plan, while villa transactions experienced a decline.
  • Residential prices have doubled since 2020, reaching AED 1,664 per square foot in Dubai.

The Dubai real estate market recorded 56,015 transactions worth AED 138.3 billion in Q3 2025, according to data released by betterhomes.

Sales volume increased 11.4 per cent quarter-on-quarter, whilst transaction values decreased 6.4 per cent over the same period.

Apartment sales reached AED 93 billion during the quarter, the figure on record in Dubai’s residential market. Sales volume climbed 22 per cent to 48,646 units, with off-plan apartment transactions increasing 35 per cent quarter-on-quarter.

Off-plan transactions represented 70 per cent of total sales volume and 59 per cent of value in Q3 2025, the contributions on record. The figures indicate investor confidence and project launches across Dubai.

Villa and townhouse sales in Dubai decline 30% after first half rally

Villa and townhouse transactions declined 30 per cent quarter-on-quarter, with values falling 34 per cent over the same period. The adjustment follows the first half of 2025, as project launches paused and buyers adopted a selection approach.

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“Dubaiโ€™s property market is experiencing selective ascent rather than straight-line growth. Sales volume and value rose 18 per cent year-on-year, reaching 56,015 transactions worth AED 139.7 billion, anchored by off-plan sales. Demand is tilting decisively toward new supply, particularly apartments, where deals jumped 28 per cent year-on-year. By contrast, villas cooled and prime transactions eased 48 per cent QoQ, suggesting a moment of pause rather than panic,” Louis Harding, CEO at betterhomes said.

Year-on-year, sales volume and value increased 18 per cent, driven by off-plan sales. Apartment deals rose 28 per cent year-on-year, whilst villa transactions declined.

Dubai real estate residential prices reached AED1,664 per square foot, double 2020 levels. Prices increased 5.2 per cent quarter-on-quarter, supported by end-user demand, liquidity in mid-market communities, and a 25-basis-point rate cut by the U.S. Federal Reserve that improved affordability for international investors.

Jumeirah Village Circle, Business Bay lead Q3 2025 property handovers

Over 28,500 units have been delivered in 2025, with more than 200,000 units expected by 2027. Apartments accounted for 85 per cent of Q3 handovers, with Jumeirah Village Circle, Business Bay, and Town Square leading deliveries.

betterhomes reported a 24 per cent year-on-year increase in transactions and 38 per cent growth in sales leads. Townhouse demand increased 91 per cent year-on-year, whilst villa transactions grew 12 per cent and apartments rose 5 per cent.

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Investor activity represented 63 per cent of total buyers at betterhomes, reflecting Dubai’s appeal as an investment destination.

In the rental sector, leasing transactions at betterhomes increased 92 per cent year-on-year and 29 per cent quarter-on-quarter. Annual rents averaged AED 196,000, with apartments accounting for the majority of leasing activity.

The market is expected to maintain its trajectory in Q4 2025, supported by population growth, infrastructure expansion, and international investor interest.