Dubai Real Estate Thrives with Remarkable Gains in Off-Plan and Luxury Segments
At the forefront of Dubai’s real estate boom is the thriving off-plan market, which accounted for over half of the total transaction value in 2024.
The affordable housing sector experienced significant growth last year, with an increasing number of tenants transitioning to homeownership. According to research by Emirates NBD, properties priced between Dh1 million and Dh2 million saw a remarkable 71% year-on-year increase in demand.
Throughout 2024, Dubai recorded more than 168,000 residential transactions across freehold markets. A substantial 114,480 units under construction were sold during the year, with the share of under-construction transactions increasing from 54% in 2023 to 68% in 2024.
In tandem with the growing demand, property launches in the city reached an all-time high, with 142,000 units introduced in 2024.
“Compared to December 2020, the average price of apartments is now 65% higher, while the average price per square foot for villas and townhouses has more than doubled,” said Swapnil Rajasekharan Pillai, Director of Real Estate Research at Emirates NBD, in the report.
During the fourth quarter of 2024, total sales transaction values soared to Dh116.5 billion, marking a 31.1% year-on-year increase, while transaction volumes surged 51.8%, culminating in 46,844 closed deals.
The Q4 2024 Dubai Real Estate Market Report by Springfield Properties highlighted the pivotal role of the off-plan market in this growth. This segment not only contributed over half of the total transaction value but also attracted high-net-worth individuals and institutional investors through Dubai’s robust luxury property offerings. Communities such as Palm Jumeirah, Downtown Dubai, and Dubai Marina continued to dominate, combining exclusivity, lifestyle appeal, and long-term value.
Farooq Syed, CEO of Springfield Properties, remarked, “Dubai’s real estate market has shown exceptional strength and global appeal. This success stems from strategic planning, innovative developments, and a strong foundation of investor trust. The city’s focus on addressing evolving buyer needs while maintaining high standards in quality and sustainability has been a game-changer.”
The off-plan market was particularly influential, with 30,388 transactions recorded in Q4. Innovative payment plans and strong investor demand for future-ready assets drove this segment forward. Mid-income buyers gravitated toward areas like Dubai South and Jumeirah Village Circle, while luxury developments in Palm Jumeirah and Dubai Hills Estate captured international attention with their modern designs and exclusivity.
Meanwhile, the luxury property market solidified its importance in driving market value. Properties in Palm Jumeirah achieved the highest average sales price of Dh4,600 per square foot, demonstrating Dubai’s ability to cater to the ultra-luxury segment and its global clientele.
Commenting on Dubai’s appeal, Syed added, “The city is uniquely positioned to meet the aspirations of high-net-worth individuals, offering a seamless integration of lifestyle, security, and long-term value. Buyers recognize Dubai as a hub of world-class amenities and sustainable growth opportunities.”
With Dubai’s population projected to reach 4 million by 2025, demand across all property segments is expected to grow. Areas like Dubai South will play a vital role in supporting inclusivity and infrastructure, complementing luxury hubs such as Palm Jumeirah and Downtown Dubai. The city’s alignment with the Dubai 2040 Urban Master Plan underscores its commitment to creating a sustainable and future-focused real estate ecosystem.
“Dubai continues to set itself apart as a global real estate leader by responding to market trends and fostering innovation,” Syed concluded. “Looking ahead to 2025, the city’s focus will remain on delivering projects that blend inclusivity with exclusivity, defining the future of urban living.”
The results from Q4 2024 showcase a landmark year for Dubai’s real estate sector, reflecting its adaptability and capacity to capture global attention. As 2025 unfolds, Dubai is poised to continue reshaping the real estate landscape with its visionary policies, strategic developments, and relentless pursuit of excellence.
