Dubai’s property market is off to a blazing start in 2025, and the numbers are mind-blowing!

One of the biggest game-changers? Land sales. With Dh35.5 billion worth of plot transactions, the sector saw a 193.8% jump in just the first quarter of the year! That’s a clear sign that developers are in a fierce race to secure land for new projects.

But that’s not all—Dubai’s overall Q1 real estate sales hit a staggering Dh142.7 billion, marking the second-highest quarterly figure in history!

Dubai’s Real Estate Market is Booming!

Compared to Q1 2024, we’re seeing:

• 30.3% growth in total sales value
• 22.8% increase in the number of transactions (45,485 total deals!)

And guess what? This momentum isn’t slowing down. The only time Dubai saw higher numbers was Q4 2024, with an all-time record of Dh147.2 billion in sales across 50,218 transactions.

Villas, Apartments & Commercial Sales Skyrocket

So, where’s all this money going? According to DXBinteract, here’s how the numbers break down:

• Villas: Up 43.1% YoY, totaling Dh41.3 billion from 8,369 deals
• Apartments: Up 12.6%, reaching Dh62.3 billion from 32,884 transactions
• Commercial properties: Up 25.2%, hitting Dh3.6 billion from 1,212 deals

And let’s talk about property prices—they’re climbing fast! The median price per square foot in Q1 2025 is now Dh1,563, compared to:

• Dh889 in 2021
• Dh1,124 in 2022
• Dh1,283 in 2023
• Dh1,497 in 2024

Clearly, Dubai real estate is one of the hottest investment opportunities right now!

Why Are Land Prices Going Through the Roof?

If you’ve been wondering why land sales are exploding, it all comes down to one thing: supply is shrinking.

“Finding land for new developments in Dubai is getting tougher, and that’s pushing prices up,” explains Firas Al Msaddi, CEO of fäm Properties.

In fact, land prices in some areas have tripled or even quadrupled since pre-COVID times. Why? Because demand for off-plan properties is booming, and developers can’t build without land.

“The only way land prices might drop is if off-plan sales slow down,” Al Msaddi added. “But for now, competition among developers is driving land prices even higher.”

Top 5 Areas for Real Estate Transactions in Q1 2025

If you’re looking to invest, these areas were the busiest in Q1:

• Jumeirah Village Circle – 3,605 transactions (Dh4.56B)-
• Wadi Al Safa – 3,596 transactions (Dh7.64B)
• Business Bay – 2,782 transactions (Dh7.27B)
• Dubai South – 2,676 transactions (Dh8.75B)
• Dubai Marina – 2,583 transactions (Dh9.28B)

Dubai’s Most Expensive Property Sales in Q1 2025

• Most Expensive Villa: A Dubai Hills Estate mansion sold for Dh140 million!
• Most Expensive Apartment: A luxury unit at The Rings 1, Jumeirah Second went for Dh116 million!

And when it comes to price brackets, here’s how the sales played out:

• 31% of sales (14,242 transactions) were between Dh1-2 million
• 26% of sales (11,899 transactions) were below Dh1 million
• 19% of sales (8,567 transactions) were Dh2-3 million
• 15% of sales (6,837 transactions) were Dh3-5 million
• 9% of sales (3,939 transactions) were above Dh5 million

Off-Plan Sales Continue to Dominate

One thing is clear: off-plan sales are leading the market. Developers are selling properties faster than ever, with 65% of all transactions in Q1 being first sales from developers, compared to 35% in resales.

“Dubai’s real estate market continues to prove its strength,” said Al Msaddi. “With growing investor confidence and global interest, the city remains one of the best places to invest in property.”

What’s Next for Dubai’s Property Market?

With land prices at an all-time high, demand for off-plan homes soaring, and record-breaking sales happening every quarter, the big question is: How high can Dubai’s real estate market go?