Residential Property Prices Rise 14% in Q2 as Demand for Luxury and Off-Plan Homes Grows
Dubai, July 2025 – The Dubai real estate market in 2025 is witnessing unprecedented growth, with residential property prices surging by 14% in Q2, driven by strong investor demand and a record influx of millionaire migrants to the UAE.
According to CBRE Middle East, the emirate’s booming economy, government reforms, and attractive investment climate have contributed to the rise in property values, particularly in premium neighborhoods.
Off-Plan Properties and Luxury Homes Lead Demand
The first half of 2025 saw real estate transactions jump by 23% year-on-year, with total sales reaching AED 270 billion. Much of this growth is attributed to high activity in the off-plan property segment, as investors and end-users alike capitalize on early-stage developments.
Luxury properties in Dubai continue to command premium pricing, especially in sought-after areas such as Downtown Dubai, Palm Jumeirah, and Dubai Marina.
Millionaire Migration Boosts Property Demand
Dubai’s real estate market is also being buoyed by a sharp rise in high-net-worth individuals (HNWIs) relocating to the UAE. According to Henley & Partners, the country is expected to welcome over 9,800 millionaire migrants in 2025, many of whom are investing in Dubai’s property market.
“The UAE is poised to attract a record number of millionaire migrants in 2025, fuelling demand, particularly in the luxury and off-plan sectors,” CBRE stated.
Government Programs Encourage Home Ownership
Policies like Dubai’s “First-Time Home Buyer Program” are also playing a key role in boosting demand. These initiatives offer incentives for residents to step onto the property ladder, further stimulating both the residential and investment segments of the market.
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