The city’s stability and investor-friendly environment have positioned it as an appealing alternative for international property buyers
Dubai Real Estate Market: A Growing Hub for Global Investors
The Dubai real estate sector has seen a remarkable rise in global investor interest, attracting attention from a diverse range of buyer demographics. A significant shift is now unfolding, with European buyers—particularly from Germany, France, and the UK—emerging as prominent players in Dubai’s thriving property market.
Traditionally dominated by regional buyers, the market has evolved to include investors from Europe, Asia, Africa, and the US, according to Elie Naaman, Co-Founder & CEO of Ellington Properties, in an interview with Arabian Business.
European Investors Driving Change
The influx of European buyers reflects broader global economic trends. As inflation and uncertainties loom over many regions, Dubai’s allure as a stable and prosperous investment destination continues to grow.
“We are witnessing heightened activity from British, American, Spanish, and Indian investors,” remarked Ainsley Duncombe, Managing Partner of Off-Market Listing, highlighting the city’s growing appeal.
Why Dubai? Stability and Investor-Friendly Policies
Dubai’s stability and its investor-friendly environment make it a magnet for international property buyers. Naaman attributes the surge in interest to initiatives such as long-term residency visas, the Golden Visa program, and the policy of 100% foreign ownership of businesses.
This is further amplified by Dubai’s robust infrastructure, world-class amenities, high rental yields, and tax-free benefits, making it particularly attractive to European investors. Duncombe adds that economic challenges in investors’ home countries are also steering them toward Dubai.
A Global Mix of Investors
Sobha Realty recently revealed the nationalities of its top investors, with India, China, Iran, and the UK topping the list. Meanwhile, interest from South Asian countries, Russia, and the CIS regions remains steady, demonstrating Dubai’s global appeal.
Chinese investors, too, are making a strong comeback, spurred by Dubai’s growing ties with Asian markets.
Looking Ahead: Balancing Demand and Sustainability
As Dubai’s real estate market continues to attract diverse investors, the focus is on balancing supply and demand while catering to varied cultural and financial preferences. “Adapting marketing strategies and developing offerings tailored to diverse investor profiles is critical,” Naaman emphasized.
Despite challenges such as rising global interest rates, Dubai’s competitive edge—high rental yields, tax-free status, and sustainability initiatives—continues to fuel international interest.
Emerging Markets: Africa and the US
Investor interest from African nations like Nigeria, Kenya, and South Africa is expected to grow, driven by increasing wealth and the desire for diversification. Similarly, US-based investors are showing renewed interest as global travel conditions improve.
Eastern European and regional buyers are also maintaining their strong presence, seeking safer havens amid economic uncertainties and rising costs of living in their home countries. Duncombe predicts growing interest from American and Canadian investors as well.
The Ras Al Khaimah Factor
Dubai’s real estate boom is extending to Ras Al Khaimah (RAK), driven by developments such as the upcoming Wynn Al Marjan Casino resort. Over 70% of property transactions in the region currently involve off-plan properties, with RAK proving particularly popular as the 2027 opening of the Wynn Casino approaches.
“The announcement of Wynn Al Marjan Resort has significantly boosted real estate demand in RAK,” said Maxim Novikov, head of the RAK branch at Metropolitan Premium Properties. He predicts property prices in the region could surge by more than 50% as the casino opens its doors.
As Dubai and RAK continue to attract global interest, the region’s real estate market remains a key player in the international investment landscape, promising stability, innovation, and long-term growth opportunities.