What changes await us in the Dubai property market in 2025? Trends and expectations

Dubai's property market in 2025 is set to undergo some minor but important changes. Brokers who are quick to recognise the potential of new trends will be able to offer their clients more favourable terms faster. 

Rising property prices 

Experts predict that housing values in Dubai will increase by 8% in 2025 due to continued demand among clients. The emirate remains attractive to foreign investors. In addition, the development of infrastructure and expansion of the transport network also contribute to the strengthening of the market position. This explains the growing investment interest in neighbourhoods previously less sought-after due to comfort constraints. Gradually, they become more accessible and thus more attractive for investors and buyers. 

Increased competition among developers 

With each passing year, customers are making higher demands on property developers. It is important for developers this year that residential complexes are not only of high quality, but also different from others. Developers make bets on unique architectural solutions and attractive locations, introduce innovative approaches to design. 

Creation of comfortable spaces inside residential complexes, use of environmentally friendly materials and modern technologies become an integral part of the competitive strategy. The integration of vertical gardens, green rooftops and rainwater harvesting systems are poised to become new standards for residential complexes under construction. 

The market is also set to shift in favour of more affordable and mid-price properties in 2025. Thus, the successful players in the market will be those who can offer a balanced combination of price, quality and individuality. 

Trend for branded property 

Many people ask why a property developer needs to team up with brands? The answer is simple: it builds credibility in the eyes of customers. For example, if a developer starts co-operating with a well-known brand of a popular hotel, buyers know in advance that they will receive premium service in the new residential complex. Because of this, many investors are willing to overpay for the brand, believing that it is not just housing, but a real investment in status and lifestyle. In return, they get a property with interesting technological solutions and unique design. 

Growth of the tourism sector 

Thanks to the Dubai 2040 Urban Master Plan, Dubai's property market will continue to grow in 2025. The favourable tax regime and stable economy encourage millionaires to move their capital to the UAE. Compared to the first half of 2023, tourist traffic in Dubai in the same period of 2024 increased by 9%. In 2025, the emirate plans to receive about 20 million tourists. As a note to brokers: in connection with this factor, Dubai Marina, Downtown and other central and coastal locations will be particularly popular.

Rising rental costs 

All changes in Dubai's property market are closely linked to each other. As a result of an increasing population and the introduction of a large number of new residential developments, rental values are predicted to rise by 10-12%. 

If your clients intend to invest in property to generate rental income, draw their attention to the following residential complexes:

Vega is a new residential complex in Dubai Sports City, named in honour of the brightest star in the constellation of Lyra. Each apartment here has a Smart Home system, which will contribute to smart consumption of electricity and water resources. The nearest shopping centre, City Center Me'aisem, is a 5-minute drive away, while IMG Worlds of adventure is a 15-minute drive away.

Price: from AED 838,592

Handover: Q2 2027

W Residences is a residential complex created in cooperation with the world famous W Hotels chain (Marriott International). Residents and guests can enjoy luxurious interiors, first-class amenities and high standards of service. The Butterfly Garden is a 23-minute drive to the Butterfly Garden and the popular attraction Burj Khalifa is 27 minutes away.

Price: from AED 3,879,000

Handover: Q4 2027

Fairmont Residences Solara Tower is a residential complex in Downtown Dubai, whose name speaks for itself: a sense of joy and optimism, typical of a sunny day. Residents enjoy the services of a 5-star hotel: concierge and valet services, room cleaning, laundry and babysitting services, maintenance services, car washing, chauffeur services, etc. The popular attractions Burj Khalifa, Dubai Opera and Dubai Mall are a 5-minute drive away.

Price: from AED 3,063,000

Handover: Q4 2027