Dubai News. Property Market Hits $185.5bn as Population Boom Redefines Growth in 2025
Dubai’s real estate market closed 2025 with AED681bn. $185.5bn. in total sales, marking one of the most transformative years in the sector’s history.
The surge was driven by record transaction volumes, strong population growth, and disciplined supply delivery. The market is now shaped less by short-term turnover and more by long-term residents choosing Dubai as home.
According to Provident Estate’s 2025 Market Overview, Dubai recorded 213,700 residential transactions, up 6.9 percent year on year. Average sale prices rose 7.6 percent, reflecting a structural shift fueled by lifestyle relocations and permanent settlement.
Dubai’s population crossed 4.03 million in 2025. More than 208,000 new residents arrived in a single year, while over 1.35 million people have relocated to the emirate since 2014. This sustained inflow has created durable housing demand across apartments and villas.
End users dominated activity. Buyers aged 31 to 45 led transactions, with the 36 to 40 segment holding the largest share. Decisions are increasingly linked to career stability, family planning, and long-term living.
Apartments remained the backbone of the market. Jumeirah Village Circle, Business Bay, and Dubai Marina absorbed a significant share of demand. One-bedroom units led both off-plan and secondary transactions, aligning with the needs of new residents and young professionals.
Villas reinforced long-term commitment. Four-bedroom homes dominated villa transactions, with family-focused communities such as Wadi Al Safa, Al Hebiah Fifth, and Dubai South gaining traction.
Supply remained measured. Around 96,500 residential units are expected for handover in 2026, concentrated in Dubai Creek Harbour, Dubai Hills Estate, Damac Lagoons, Arabian Ranches 3, Arjan, and Business Bay. The pipeline stays controlled, with 84,979 units projected for 2027 and 45,480 units for 2028.
Industry leaders point to a clear shift. Dubai is no longer moving through a price cycle. It is moving through a population cycle. With resident growth showing no signs of slowing, fundamentals position 2026 for continued structural expansion.
