UAE property market sets quarterly records as Abu Dhabi, Dubai surge on off-plan demand

Transactions and values hit new highs in Q3 2025 across Abu Dhabi and Dubai, with off-plan sales dominating activity and major master developments drawing buyers.

Staff Writer
Staff Writer

Article summary

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The UAE's property market reached record levels in Q3 2025, driven by off-plan sales and demand for master-planned communities in Abu Dhabi and Dubai. Abu Dhabi saw a 76% increase in property sales, while Dubai recorded its highest ever quarterly transaction volume, with waterfront and luxury districts remaining popular.

Key points

  • The UAE's real estate market achieved record activity in Q3 2025, driven by off-plan sales.
  • Abu Dhabi saw a 76% rise in property sales, with off-plan purchases making up 73% of volume.
  • Dubai's transaction volume rose 17%, led by off-plan activity and resilient resale demand.

The United Arab Emirates posted record real estate activity in the third quarter of 2025 as Abu Dhabi and Dubai both logged their strongest performances to date, propelled by a wave of off-plan sales and sustained demand for large master-planned communities, industry data showed.

Abu Dhabi recorded 7,154 property sales in the quarter, up 76% year on year, with total transaction value rising 110% to 25.3 billion dirhams ($6.9 billion), according to Property Finder. Residential deals accounted for 96% of activity at 6,883 transactions and generated 23.3 billion dirhams ($6.3 billion), a 107% increase from a year earlier.

Off-plan purchases drove the acceleration in the capital, making up 73% of transaction volume and 68% of value. Off-plan value climbed 136% to 17.3 billion dirhams ($4.7 billion), underscoring the pull of new inventory within strategically planned districts. Projects on Fahid Island and Al Hidayriyyat Island contributed about 30% of Abu Dhabiโ€™s residential off-plan value during the quarter, reflecting the concentration of buyer interest around waterfront and master community launches. Duplex units showed the sharpest upswing in value, rising 424% from a low base, while off-plan apartments and villas also registered strong gains.

Abu Dhabiโ€™s ready market strengthened alongside new-build activity. Completed-home transactions totaled 1,940, lifting the ready segmentโ€™s value to 8 billion dirhams ($2.2 billion), up 71% year on year. Residential ready sales rose 15% in volume and 56% in value, with established areas including Al Reem Island, Al Raha Beach, Al Reef and Saadiyat Island among the busiest submarkets.

Dubai posted its highest quarterly transaction volume on record with 59,044 deals, a 17% increase from the same period in 2024. The total value of transactions climbed to 169 billion dirhams ($46.0 billion), supported by a steady pipeline of off-plan releases and resilient resale demand in core neighborhoods.

Off-plan activity led the emirateโ€™s performance. New-build sales rose 26% to 40,108 transactions, representing 68% of total volume, while off-plan value reached 82.9 billion dirhams ($22.6 billion), up 23% year on year. The ready market closed 18,936 transactions, with value up 16% to 86.1 billion dirhams ($23.5 billion), suggesting a more selective, value-focused pattern among end-users and investors in completed stock.

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Business Bay remained a focal point for buyers and developers, with around 7.4 billion dirhams ($2.0 billion) in sales buoyed by new launches. Waterfront and luxury districts continued to command deep demand. Palm Jumeirah and Dubai Marina together generated more than 6 billion dirhams ($1.6 billion) in resale volume, highlighting the appeal of well-located, amenity-rich communities.

Market indicators pointed to further firming in prices. Average asking rates per square foot reached fresh highs in several districts, reflecting the concentration of demand in prime and near-prime locations, alongside limited ready supply in some segments.

The third-quarter results underscore the prominence of master-planned communities and coastal developments in shaping buyer preferences across the UAE. The momentum extends a broader property upswing in the Gulf region as developers accelerate project pipelines and investors seek exposure to growing residential hubs. While off-plan transactions continue to dominate activity in both Abu Dhabi and Dubai, the parallel rise in ready-market values suggests end-user demand remains resilient, particularly in established neighborhoods with completed infrastructure and community facilities.