Dubai’s real estate market continues to boom, with off-plan sales set to account for 63% of total residential transactions in 2024, according to property magazine Realty Plus, up from 54% in 2023.
The growth is being driven by competitive pricing, flexible payment plans and limited availability of properties in the secondary market. According to the latest report from Engel & Völkers Middle East, total residential sales transactions rose 40.3% year-on-year to 170,992 units in 2024, more than five times the transactions recorded in 2020.
Apartments led the market, accounting for nearly 90% of the total growth, with sales up 47.6% due to affordability and high rental yields making them the most attractive category for investors. Luxury residences remain in high demand as high net worth individuals move to prime locations including Palm Jumeirah, Downtown Dubai and Dubai Marina.
New developments such as Palm Jebel Ali and The Oasis are also gaining momentum in the off-plan market. Sales in the ultra-luxury market rose by 20.5% for units priced above AED 10 million. Realty Plus also highlighted the strong growth in Dubai’s commercial property sector driven by increased new business registrations and high demand for office, retail and warehouse space.
Occupancy rates in major commercial districts including DIFC, Downtown and Corporate Bay reached 95%-97%, while office, retail and warehouse rents increased significantly. Dubai’s real estate market is expected to continue contributing to the city’s economic growth in 2025, amid strong investor confidence, expansion in the luxury sector and the sustained dominance of off-plan sales.