Real estate trends in 2025: Dubai developers share insights

Dubai’s real estate market will continue to evolve, driven by key trends in technology, sustainability, luxury, and affordability, say these Dubai developers.

Dubai’s Real Estate Sector Poised for Strong Growth in 2025

Dubai’s real estate market is on track for another remarkable year in 2025, following a stellar performance in 2024. The emirate has demonstrated impressive resilience and growth, setting new records in transaction volumes and values. This upward momentum reflects a broader increase in investor confidence, supported by initiatives aimed at enhancing market transparency and building trust.

Looking forward, industry experts predict that this growth will continue into 2025, fueled by sustained development in Dubai’s off-plan market. Recent innovations such as the Dubai Land Department’s Smart Rental Index highlight the city’s commitment to fostering a transparent and dynamic real estate environment.

As the market evolves, key trends and shifts in demand are expected to influence both investors and developers in the coming year. Here’s a look at some of the most significant trends for Dubai’s real estate sector in 2025, as shared by leading developers.

Satish Sanpal, Chairman, ANAX Holding

Sustainability is fundamentally changing the way we approach real estate. Developers are increasingly prioritizing energy-efficient designs, renewable energy integration, and climate-resilient construction methods.

At ANAX Holding, we are already making strides in this direction. For example, in our upcoming Evora Residences project in Al Furjan, we are incorporating solar panels as part of our long-term sustainability goals. Additionally, the UAE government’s push for solar energy through rooftop panels is expected to accelerate this shift.

This change is driven not only by environmental concerns but also by rising consumer demand and stricter regulations. For developers, adopting these innovations enhances efficiency and strengthens their position as market leaders.

Imran Khan, CEO and Founder, PIXL Group

Technology is revolutionizing the real estate industry. Over the past few years, technology has not only improved efficiency but has also created new opportunities for businesses to innovate and scale in ways that were unimaginable a decade ago. In the post-pandemic world, technology is reshaping market dynamics, enhancing customer experiences, and streamlining operations through data analytics.

At PIXL Group, we have transformed from a lead-generation business in 2019 to a full-stack tech partner offering proptech services, CRM marketing, web services, and market intelligence. However, technology is just a tool; its success depends on how quickly and effectively we integrate it into business processes to achieve substantial returns and exceptional client satisfaction.

Ramjee Iyer, Chairman and MD, Acube Developments

The UAE real estate market is thriving, and the growth we saw in 2024 speaks volumes. In Dubai, sale and rental prices increased by 21%, while Abu Dhabi saw a 7% rise in sale prices and a 4% increase in rental prices.

Several factors contribute to this growth, including an influx of foreign investors, government initiatives, and economic diversification. Additionally, there is growing interest in sustainable and wellness-focused developments, with more consumers seeking eco-friendly homes and health-oriented communities.

As the UAE continues to emerge as a global innovation hub, demand for tech-enabled homes and mixed-use developments—those that integrate residential, commercial, and retail spaces—is expected to rise. This presents a wealth of potential, and we are excited about the future.

In 2025, we anticipate even greater demand for sustainable properties, particularly as more developers adopt green building practices. Smart homes and tech-driven solutions are also expected to gain traction, creating new opportunities for developers. We foresee 2025 as a year of significant innovation in the sector, with a focus on developments that offer both lifestyle value and long-term investment potential.

Yogesh Bulchandani, CEO, Sunrise Capital

Dubai’s real estate market continues to be a hotspot for opportunity, with rental yields ranging from 5% to 9%, making it an attractive option for investors. Branded residences, associated with luxury and exclusivity, are becoming increasingly popular, reflecting the city’s appeal to a sophisticated clientele. Off-plan sales remain strong, driven by investor confidence and an optimistic market outlook.

Today’s buyers are more discerning and well-informed, placing greater emphasis on quality and long-term value rather than short-term savings. This shift signifies a more mature market, where superior craftsmanship, thoughtful design, and reputable developers are key to investment decisions. Dubai is not just a market; it is a benchmark for high-quality real estate success.

With strategic investments, robust demand, and a wide range of premium projects, Dubai’s real estate market is positioned for continued success in 2025.

Market trends suggest a balance between supply and demand, bolstered by regulatory policies that encourage sustainability and provide ample opportunities. Property prices are expected to rise, particularly over the next six months, driven by the current surge in off-plan investments.

Humera Khan, General Manager, Al Zarooni Developments

Affordable housing is set to be a key growth segment in 2025. There is a significant gap in the market for well-designed, affordable properties, particularly in areas like Dubai Sports City, Al Furjan, and Arjan. With demand surpassing supply, this segment presents an excellent opportunity for investors to achieve strong financial returns.

At Al Zarooni Developments, we have already launched All Seasons Residences in Dubai Sports City to cater to this growing demand. We see this not just as a market opportunity but as a chance to create communities that make a meaningful impact and offer long-term financial success. It’s an opportunity for developers to lead the way in building socially responsible and future-focused developments.

Srishti Gaur, Head of Marketing and Media Relations, Arista Properties

The luxury and ultra-luxury property segment will undoubtedly dominate Dubai’s real estate market in 2025. In 2024 alone, transaction volumes surged by 35% year-over-year, demonstrating the enduring appeal and resilience of high-end real estate.

With demand continuing to rise, Dubai is becoming a global center for luxury living, attracting investors from Europe, Asia, and beyond. Locations such as Dubai Marina, Meydan, MBR City, and Palm Jumeirah remain the most sought-after areas. We are tapping into this demand with our Wadi Villas project, which offers ultra-luxury villas featuring exclusivity, world-class amenities, and architectural excellence.

For ultra-high-net-worth individuals (UHNWIs), these properties represent more than just prestige; they are about creating distinctive homes—assets that offer both status and significant returns.

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