Dubai real estate hits record Dh66.8bn in May 2025 transactions
Business Bay and Al Barsha emerge as key investment hotspots
DUBAI’s real estate market reached an unprecedented Dh66.8 billion in sales transactions during May 2025, according to the latest data from Property Finder.
Spread across 18,700 deals, this milestone marks the highest monthly transaction value ever recorded in the emirate. It reflects a 44 percent year-on-year increase in value and a 6 percent rise in transaction volume, showcasing strong investor confidence and steady growth in buyer demand.
The record-setting month was underpinned by substantial gains in both off-plan and ready property segments. This consistent momentum underscores Dubai’s status as a global real estate powerhouse and highlights the city’s ability to attract capital from domestic and international investors alike.
What is driving sales?
Primary ready transactions soared in May, reaching Dh17.9 billion across 2,400 deals – a dramatic 314% jump in value and a 145% rise in volume compared to May 2024. This surge points to robust demand for new developments as buyers continue to seek properties in emerging and well-established communities.
The secondary market also demonstrated resilience. Secondary ready sales peaked at Dh24 billion through 6,078 transactions, representing an 8% increase in volume and 21% growth in value over the same period last year. This growth affirms the appeal of established neighbourhoods and indicates strong liquidity in the resale market.
Looking at the broader market, total primary (ready and off-plan) sales climbed to Dh37 billion in May, registering a 65% year-over-year increase. Meanwhile, the secondary market achieved Dh29 billion in sales value across 8,471 transactions – a 23% rise in value and 15% increase in volume compared to May 2024.
Where are people buying?
Business Bay continued to draw high-value investors, capturing 5% of total primary market value while accounting for only 3% of transaction volume – highlighting the premium nature of its real estate offerings. Al Barsha, by contrast, attracted buyers across a broader price range. Although it represented just 2% of overall market value, it comprised 5% of total transaction volume, suggesting high activity in mid-market sales.
An institutional land deal worth Dh1.5 billion in Palm Deira further emphasised the confidence in Dubai’s long-term development strategy. Additionally, resale activity remained strong in communities such as Wadi Al Safa 3 and Business Bay, with significant traction across both luxury and mid-tier properties.
What are people looking for?
Consumer preferences have shown notable consistency over the past year. Apartments dominated user interest, accounting for 78% of rental searches and 60% of buyer searches. Studios attracted 21% of rental enquiries but just 15% of buyer interest, implying that renters lean towards affordability while buyers prioritise space and future value.
One-bedroom apartments were the most sought-after unit size, comprising 35% of buyer searches and 38% of rental enquiries. This trend reflects a balance between cost, comfort, and investment potential for both owner-occupiers and landlords.
What’s next for Dubai real estate?
Commenting on the market dynamics, Cherif Sleiman, Chief Revenue Officer at Property Finder, noted that May 2025 surpassed even April’s record of Dh62.1 billion. “This underscores the sustainability of the trends driving current growth,” he said, citing the launch of the region’s first licensed tokenised property investment platform by the Dubai Land Department as a signal of forward-looking innovation.
With Dubai welcoming nearly 1,000 new residents daily – double the daily visitor arrivals recorded last year – the demand for housing is rapidly intensifying. Industry experts at a recent Property Finder roundtable voiced strong confidence in continued market activity throughout 2025, supported by digital transformation, robust off-plan sales, and luxury resale momentum.
Real estate professionals expect heightened international investor interest, buoyed by Dubai’s lifestyle appeal, tax advantages, and transparent regulations. These elements are positioning the city as a stable and attractive destination amid global market volatility.
For more data and market insights, users can explore top listings and community statistics via Property Finder’s Data Guru platform, accessible through its website and mobile app.