Today’s markets analysis on behalf of Ray Verma Luxury Broker at Eden Realty UAE
Dubai’s property market continues to see staggering growth in the early part of 2025 as the increasing population has further fueled demand in all segments with upscale properties seeing strong demand. The sector saw $4.1 billion worth of transactions in one week, which highlights its health.
The villa segment stands out in particular with demand far outstripping supply, providing ideal conditions for developers launching high-end projects into the market and for investors looking for strong returns. The imbalance has prompted a rush for new project launches throughout the emirate, with various high-profile projects introduced in recent months.
Most notable among the new developments is DAR Global’s $381 million luxury “DG Villas” contributing to the luxury inventory in one of the world’s most desirable real estate markets. Similarly, Sunrise Capital has launched “Bellagio”, a $100 million luxury residential compound whose aim is to redefine the standards of luxury living.
Community-focused developments are proving to be the future of Dubai’s rental sector, echoing changing resident demands for holistic lifestyle experiences. It is the pattern that can be seen in SOL Properties’ newest development—a $272 million project bringing 612 new residences to Jumeirah Village Triangle, with community-focused amenities.
Land sales are also in motion, with three of the prime Downtown Dubai plots selling recently for more than $194 million, reflecting faith in the city center. Elsewhere, AMIS Development has commenced construction on the $35 million Woodland Terraces project in Meydan, contributing to the city’s residential inventory.
The high-end segment remains a magnet for luxury global brands, with the world’s inaugural Maison Margiela Residences debuting in Dubai, solidifying the city’s position as an international luxury real estate destination.
Supply in the future is expected to remain tight even with more than 72,365 new apartments pending delivery in 2025. Off-plan property has been particularly in demand by investors who have been rushing to secure assets in the future in the expectation of further price increases.
Abu Dhabi is also witnessing the same momentum, with rents rising 20% and sales prices rising 11%, with some areas providing as much as 31% returns, pointing towards region-wide strength in the UAE’s property markets as we move through 2025.
