Business Bay Remains a Top Pick Among Off-Plan Investors
Dubai’s off-plan property sector witnessed a remarkable surge in the second quarter of 2025, with apartment transactions increasing by 43% compared to the previous quarter. The total residential sales value reached AED 60.15 billion, marking a 37% year-on-year growth, according to the latest Shaping Skylines: Dubai Residential Real Estate Q2 2025 report by Betterhomes.
Off-plan sales dominated market activity, driven by strategic project launches from leading developers and flexible, investor-friendly payment plans. Jumeirah Village Circle (JVC) led the pack with 12.2% of total off-plan apartment transactions, followed by Business Bay at 6.4%, Dubai Residence Complex at 5.3%, and both Motor City and Production City at 5%.
Two-bedroom units were the most sought-after, contributing 33% to the overall off-plan transaction value, with one-bedroom apartments accounting for 30% and studios 10%. The average price per square foot stood at AED 2,023.
“The off-plan market continues to be a major growth driver in Dubai real estate,” said Christopher Cina, Director of Sales at Betterhomes. “Buyers are becoming more discerning—prioritizing developer reputation, location, and long-term rental yield potential. Newly launched projects in well-connected communities are being quickly absorbed.”
Emerging Buyer Preferences in Off-Plan Villas and Townhouses
In the villa and townhouse segment, The Valley recorded the highest share of off-plan transactions at 29.7%, followed by Emaar South (15.5%), Athlon by Aldar (8%), and MBR City (7.3%). The total transaction value for off-plan villas and townhouses reached AED 7.94 billion, with townhouses contributing 75% of the value, highlighting a strong buyer preference for this property type.
Four-bedroom units were the top performers in terms of value, comprising 49% of the total, while three-bedroom homes accounted for 23% and five-bedroom homes 12%. The average price per square foot was AED 1,318 for townhouses and AED 1,947 for villas.
Overall, Dubai’s real estate market remained resilient in Q2, with a 25% increase in transactions year-on-year and a 46% rise in total value. Despite regional instability in June, the market continued to thrive, underscoring Dubai’s position as a safe and attractive destination for investors and end-users.
Secondary Market Sees Continued Growth
JVC also led the secondary apartment market with 11.2% of total transactions, followed by Business Bay (7.5%), Dubai Marina (5.8%), and both MBR City and Downtown Dubai with 5% each. Two-bedroom units remained the top choice, contributing 36% of total transaction value, followed by one-bedroom units at 28% and studios at 8%. The average price per square foot in the secondary market was AED 1,600.
The data indicates sustained demand across Dubai’s apartment sector, with JVC and Business Bay remaining focal points for both off-plan and resale activity.
“As we enter Q3, market fundamentals remain strong,” said Louis Harding, CEO of Betterhomes. “Population growth and infrastructure development are ongoing. While supply is increasing, demand still outpaces it in many areas, leading to healthy market dynamics.”
With an estimated 20,000 units delivered in H1 2025 and an additional 70,000 expected by year-end, the market is gearing up for an active second half. Strong investor appetite, high absorption rates, and resilient economic conditions are expected to keep the momentum going, especially in the apartment and ready villa segments.
Source: Khaleej Times
