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Reading: Dubai real estate market grows 23% in Q1 2025 as villa sales lead surge: Report
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Home » Blog » Dubai real estate market grows 23% in Q1 2025 as villa sales lead surge: Report
UAE

Dubai real estate market grows 23% in Q1 2025 as villa sales lead surge: Report

Aisha Al Habibi
Aisha Al Habibi
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Contents
Villa sales in Dubai Salta 65% as the demand for larger housing increasesHouse lease consultations in Dubai Climb 199% in early 2025Dubai rental tenant demand increases 36% in the first quarter of 2025

Dubai land department data (DLD) showed that total property sales transactions increased by 23 percent year -on -year to 42,422 that dealt with the first three months of the year.

The value of these transactions reached AED114 billion, an increase of 29 percent compared to the same period in 2024, according to the report.

Villa sales in Dubai Salta 65% as the demand for larger housing increases

The apartments continued to represent the largest segment by volume, representing 32,237 transactions, an increase of 14 percent compared to the previous year.

However, Villas recorded the strongest growth, with transactions that risen 65 percent year -on -year to 10,185 agreements. The total value of Villa sales increased by 56 percent to AED53.4 billion.

The sector outside the plan remained a dominant force in the market, which represents 59 percent of all transactions, with 24,942 agreements, reflecting an increase of 25 percent year -on -year.

However, within the main property category, a remarkable change was observed since transactions outside the plan fell by 30 percent, while the main sales of the secondary market increased by 77 percent.

Betterhomes reported that the average sale increased by 28 percent throughout the market. Villas saw the most significant price movement, with a 92 percent increase in average sales prices.

Purchases backed by mortgages also continued to grow, now comprising 57 percent or all Betterhomes sales.

Christopher Cina, Betterhomes sales director, said: “The first quarter of 2025 has reaffirmed the resilience of Dubai and the continuous global attraction, the volumes of transactions, the values ​​and the generation of Leads remain high throughout the business. While we saw a seasonal verification, attached houses and main properties continue to grow.

The report revealed an annual increase of 14 percent in buyers consultations and an increase of 51 percent compared to the last quarter of 2024.

Image: Canva

House lease consultations in Dubai Climb 199% in early 2025

The attached houses experienced the most notable growth in demand, with a 64 percent increase in the quarter in the potential customers of buyers.

Betterhomes also noticed a change in the buyer’s profile the first quarter. End users now regret 50 percent of the market, a 22 percent increase with respect to the previous quarter.

Mortgage transactions increased by 21 percent year -on -year and 13 percent quarter to quarter.

Jeffrey de Souza, chief of mortgages in Lomond, said: “In the current market, the gap between renting and possessing has never been narrower. With the stabilization of the mortgage rates and the values ​​of the properties in the increase, the buyers are taking a long and long long long long long long long time for a long and long long one for a length and during a long and during a long and long long and long time.

In the rental market, Betterhomes registered an annual increase of 36 percent in potential tenants, driven by population growth and families seeking improved accommodation.

The segment of the townhouse saw a 199 percent increase in lease consultations year after year, while potential clients of the apartments increased by 39 percent.

Dubai rental tenant demand increases 36% in the first quarter of 2025

Rupert Simmonds, director of leasing at Betterhomes, Added: “With Tenants Planning to Stay in Dubai for Longer than Ever Before, We Are Witnessing A Rise in Multi-andear Rental Rental For Best for Better Fortwerord, Feferord Freefage, Feferord Freefage, Feferord, Feferord, Feefeword, Feefword, Feefeword, Feefeword Freefterd, Feefeword, Feefeword, Feefard, Feefard, Feefard, Feefard, Freef.

https://www.youtube.com/watch?v=yowdz8x13kg

Luxury property transactions, particularly in the secondary market, continued to increase. Main property transactions above AED15 million increased by 44 percent year -on -year, while market secondary sales in this category increased by 77 percent.

Popular areas included Palm Jumeirah, Emirates Living and Center for Dubai.

Looking towards the future, the data monitor data indicated that 7,848 new residential units were completed in the first quarter of 2025, with a peak of almost 97,000 units expected in 2026.

The launches outside the plan continue to support the market offer, with important projects in areas such as Zabeel, Dubai Creek Harbor and Dubai South.

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