Dubai’s real estate market maintained strong momentum in July 2025, with total sales transactions reaching Dhs 63.6 billion — a 27% increase in value and a 24% rise in volume compared to the same month last year, according to new data from Property Finder.
Key sales drivers
The increase was driven by both off-plan and secondary market activity. The off-plan segment, particularly secondary off-plan, recorded Dhs 7.6 billion in transactions (+123% YoY) across 2,680 deals (+88% YoY).
Meanwhile, the ready property segment registered 1,961 transactions worth Dhs 12.2 billion, showing ongoing buyer confidence in newly completed units.
The primary market alone accounted for Dhs 31.9 billion in transactions, a 32% year-on-year rise. High-value sales in Wadi Al Safa 3 (16% of total primary value) and Dubai Investment Park (9%) led this growth.
Secondary market growth
The secondary market also remained active, contributing Dhs 31.7 billion across 8,221 transactions. This reflects a 22% increase in value and 18% rise in volume from July 2024. Notable transactions included a Dhs 1.1 billion industrial land deal in Al Wasl, alongside activity in Ras Al Khor, Jumeirah Second, and Marsa Dubai.
Investor sentiment received a further boost from the UAE Ministry of Finance’s July 2025 announcement, allowing corporate tax deductions on investment properties valued at fair market prices — rather than historical costs. The change is expected to align local tax rules with global accounting standards.
Cherif Sleiman, Chief Revenue Officer at Property Finder, said, “With a powerful mix of market resilience, investor-friendly policies, and data transparency, Dubai continues to reinforce its position as one of the most attractive real estate markets globally. The new Ministerial Decision allowing depreciation deductions on investment properties held at fair value, is a forward-thinking move aligning the UAE’s tax framework with international best practices.”
Apartment demand leads
Apartments continued to attract the bulk of buyer and renter interest, comprising 62% of property sales searches and nearly 80% of rental enquiries. One-bedroom and studio units were particularly in demand, as rising rental prices drove many residents to consider ownership.
Studio apartments made up 22% of rental searches but just 16% of purchase interest, while one-bedroom units accounted for 36% of buyer searches and 40% of rental activity. The market also saw a 3% annual increase in apartment purchase demand, compared to villas.
Property Finder noted that Dubai’s real estate sector is benefiting from a combination of regulatory updates, rising demand, and steady supply, keeping it attractive to both local and international investors.
tanvir@dubainewsweek.com
