Despite the often slow summer months, Dubai’s real estate market had one of its best quarters ever in 2025, continuing its incredible run.

Third-quarter commercial transaction values increased 31%, while residential sales rose 22.7% year-over-year.

The findings reflect Dubai’s rising position as one of the world’s most stable and mature real estate markets – backed by sturdy investor confidence, a continuous influx of new residents, and deep-rooted end-user demand.

With more than four million residents, the city maintains a strong demand base for both the residential and commercial sectors. Off-plan properties made up around 70% of all transactions in the housing market, dominating activity. Apartments accounted for 87 percent of all sales, with 47,705 units sold for Dh91.4 billion — a 26.4% increase over the previous year. The luxury market continued to expand, with 1,388 transactions exceeding Dh10 million — the second-highest quarter ever. A Dh173.6 million apartment at Aman Residences in Jumeirah and a Dh350 million off-plan house at Jumeirah Asora Bay were among the notable purchases.

There has been a wide range of demand, with new off-plan developments like Dubai Science Park, Damac Riverside, and DLRC attracting strong investor attention due to their long-term potential. Meanwhile, there was sustained secondary-market activity in established neighborhoods such as Downtown Dubai, Dubai Marina, and Jumeirah Beach Residence. Rising rents and an increased sense of permanence among expatriate residents are also encouraging a gradual shift from renting to ownership, particularly among families and professionals seeking long-term security in the UAE.

Equally dynamic was the business sector, which recorded 3,418 transactions totaling Dh30.4 billion, a 31% increase from the previous year. Every asset class saw double-digit growth: buildings rose by 50%, retail by 37%, offices by 45%, and land by 38%. Ras Al Khor registered Dh2.9 billion in large-scale land sales, while Business Bay led with Dh3.4 billion in agreements.

Thanks to the growing demand for modern, eco-friendly, and well-located workspaces, the office market became a standout performer. The quarter saw the sale of 1,151 offices for Dh3.1 billion — nearly double the value from the previous year. Off-plan office sales surged from just 69 in Q3 2024 to 389 this year, demonstrating strong investor confidence in Dubai’s next stage of business and economic expansion.

These trends are supported by a robust economic environment. The International Monetary Fund predicts that diversification efforts, fiscal restraint, and ongoing foreign investment will help the UAE’s GDP grow by 4.8% in 2025 and 5% in 2026. Although inflation remains low, the property market is expected to gain even more momentum in 2026, aided by potential interest rate cuts.

Market analysts say Dubai has overcome cyclical ups and downs thanks to its resilience. Combined with its rapidly expanding population and infrastructure pipeline, the emirate’s ability to attract international capital, high-net-worth individuals, and multinational enterprises further cements its position as a leading global city.

In the final quarter of 2025, both the residential and commercial segments are expected to continue their upward trajectory.

Dubai has demonstrated that sustainable growth is now embedded in its DNA — evolving from a city of investment into a city of belonging, ambition, and enduring value.