Dubai’s property market continued to show resilience in October, with total sales hitting $12.65bn and leasing demand holding steady across key residential segments. New data from Market Study indicates that activity remained robust despite slight shifts in buyer behavior.
Strong Monthly Sales Performance
Market Study reported 18,339 property transactions in October, amounting to AED46.47bn ($12.65bn). Although the number of transactions dipped by 1.7 per cent compared to September, the total value of sales increased by 4.2 per cent. This rise highlights firm interest in higher-value properties and sustained confidence from both investors and buyers.
Off-Plan Market Leads Activity
The off-plan sector continued to dominate, accounting for 69 per cent of all deals, while the secondary market made up the remaining 31 per cent. Developers such as Binghatti, Meeras, DAMAC Properties and EMAAR led the month’s off-plan sales performance. EMAAR maintained the top position in title-deed transactions with AED4.99bn ($1.34bn) in recorded sales.
Buyer enquiries tracked by Market Study rose slightly by 1 per cent month-on-month. Interest in villas increased by 11 per cent, while townhouses saw a decline of 16 per cent. Market Study noted average villa sale prices at AED14.8m ($4.02m), outperforming the Dubai Land Department’s average of AED12.43m ($3.38m), reflecting strong demand for premium and luxury homes.
Market Insights from Industry Specialists
A real estate expert commenting on Market Study’s findings noted that the latest figures highlight Dubai’s resilient fundamentals. The expert emphasized that the more than 4 per cent monthly increase in transaction values underscores buyers’ confidence in the market. High-quality developments in locations such as Dubai Hills Estate, JVC and Business Bay continue to attract purchasers prioritizing long-term return on investment. The market maintains a balanced profile, with investors comprising 58 per cent of buyers and end-users making up 42 per cent.
Tenant Activity and Leasing Trends
Tenant enquiries recorded by Market Study edged up by 1 per cent in October, supported mainly by stronger demand for apartment rentals, which rose 5 per cent. Townhouse leasing interest declined by 7 per cent, and villa rental demand fell by 11 per cent. Dubai registered 48,656 leasing transactions during the month, with new contracts increasing to 43 per cent of total leases, up from 40 per cent in September. This shift reflects greater mobility and continued influx of new residents.
Data from the Dubai Land Department showed average annual rents at AED76,500 ($20,838) for apartments, AED173,000 ($47,128) for townhouses and AED272,500 ($74,291) for villas. Market Study’s portfolio remains more focused on the upper tier of the rental market, with averages of AED130,500 ($35,540) for apartments, AED218,000 ($59,379) for townhouses and AED450,000 ($122,520) for villas. Jumeirah Village Triangle posted the highest monthly rental growth for apartments at 3.7 per cent, while Nad Al Sheba led villa rent increases at 5.3 per cent. Four-cheque payment plans continue to be the preferred arrangement, representing 34 per cent of rental agreements.
Forward-Looking Market Outlook
A leasing specialist associated with Market Study highlighted ongoing strength in the rental market, particularly for apartments, where demand remains elevated for flexible payment structures and well-located units. With more than half of renewing tenants choosing to stay, confidence among long-term residents remains clear.
Market Study expects Dubai’s property sector to maintain its momentum into the fourth quarter of 2025. Stable economic conditions, population growth and sustained international interest in Dubai continue to support a positive outlook for both sales and leasing markets.
Source: https://www.arabianbusiness.com/industries/real-estate/dubai-real-estate-stable-as-sales-hit-12-65bn-and-leasing-demand-holds-firm
