Dubai’s Real Estate Market: A Record-Breaking Q3 2025
Dubai’s real estate market has once again proven its resilience and dynamism, hitting a remarkable new milestone in the third quarter of 2025. According to a recent market update by fäm Properties, the emirate recorded the highest-ever quarterly transaction volume and the second-largest sales value on record. With total property sales for the first nine months of the year nearing an astounding AED500 billion, the market shows no signs of slowing down.
Transaction Volume and Sales Value Soar
During Q3 2025, Dubai witnessed an impressive 59,228 sales transactions, amounting to AED 170.7 billion. This performance signifies year-on-year increases of 17.2% in transaction volume and 19.9% in sales value. Data from DXBinteract highlights the overall surge in the property market, revealing that total sales reached AED 498.8 billion from 158,200 transactions, marking a robust 32.33% increase in value and a significant 20.46% rise in volume compared to the same period in 2024.
Breakdown of Sales: Apartments, Villas, and Commercial Properties
The residential segment notably shone in Q3, with apartment sales reaching an admirable 49,370 transactions valued at AED 94.3 billion. This reflects an impressive 25.9% increase in volume year-on-year. Meanwhile, commercial property sales surged by 41.9% in volume, with 1,565 transactions totaling AED 4.2 billion, signaling a heightened interest from businesses and investors.
Despite a slight decline in villa sales, which numbered 7,078 transactions worth AED 43.1 billion—down 23.3% in volume—plot sales experienced a remarkable growth of 25.7%, with 1,214 deals fetching AED 36.1 billion. Notably, the median price per square foot for property sales rose to AED 1,685, marking an 11.4% increase and reflecting a steady upward trend from AED 858 in 2020.
Insights from Industry Experts
Firas Al Msaddi, CEO of fäm Properties, remarked that the latest figures underscore the lasting strength of Dubai’s real estate market. He emphasized the emirate’s growing appeal to local, regional, and global investors, reinforcing Dubai’s status as one of the world’s prime real estate investment hubs.
Historical Performance: A Five-Year Perspective
When looking at the performance over the past five years, the increase in Q3 sales is striking. From AED 17.9 billion in 2020 (with 8,500 transactions), the market has shown remarkable growth, recording AED 42.5 billion (16,000 transactions) in 2021, AED 69.1 billion (25,400) in 2022, AED 109.4 billion (36,700) in 2023, and AED 142.3 billion (50,500) in 2024. This upward trajectory illustrates a strong recovery and a booming demand for properties in Dubai.
High-Value Sales: Luxury Living on the Rise
The luxury sector continues to flourish, with the most expensive property sold in Q3—an opulent villa located at Jumeirah Second—fetching an eye-watering AED 250 million. In addition, a luxurious apartment at Aman Residences Dubai – Tower 1 sold for AED 174 million, further highlighting the high-value sales that characterize this sector of the market.
Property Price Segmentation
Sales figures across different price brackets reveal a diverse market catering to various buyers. Properties valued over AED 5 million accounted for 10% (5,991) of total sales, while the bulk of transactions fell within the AED 1 million to AED 2 million price range, making up 38% (22,785) of sales. Additionally, 25% (15,065) fell below AED 1 million, 15% (9,128) ranged between AED 2-3 million, and 11% (6,258) were priced between AED 3-5 million.
A Shift Toward New Developments
Interestingly, the market has trendily shifted toward new properties over resale options. First sales from developers significantly outnumbered secondary market transactions, accounting for 73% of the total volume and 66% of the total value. This indicates growing confidence in new developments and underlines the importance of developers in shaping Dubai’s real estate landscape.
As Dubai continues to attract both local and international investors, its real estate market remains a focal point of global interest.

