By the end of 2024, Dubai’s real estate sector had achieved remarkable results, establishing the city as a leader in luxury, innovation, and well-timed investments in the global real estate market. At the heart of Dubai’s real estate growth is the off-plan market, which in the last quarter of the year accounted for over half of the total transaction value.
In Q4 of 2024, the total amount of sales deals in Dubai’s real estate market was AED116.5 billion, according to the latest figures from Springfield Properties. With transaction volumes increasing 51.8 percent to 46,844 closed deals, this is a 31.1 percent year-over-year gain.
Off-plan segment contributes 53 percent of transactions
Off-plan accounted for a big chunk of Dubai’s real estate boom in 2024 with 30,388 transactions in Q4 worth AED61.69 billion, 53% of the total. Dubai South and Jumeirah Village Circle became hotspots for the middle class while opulent off-plan developments like Palm Jumeirah and Dubai Hills Estate attracted a global audience looking for luxury and modernity.
In 2024, the total sales transaction value and volume of the Dubai real estate market was AED423.3 billion and 168,407 respectively. That’s a 42.4% increase from the previous year. Off-plan accounted for 63.4% of all transactions last year mainly due to innovative payment plans and strong investor demand.
Top 7 areas to buy property in Dubai
According to Springfield Properties, the top performing areas in Q4 2024 were:
Business Bay: Business Bay held onto the top spot due to the high demand for off-plan and ready properties. The area is famous for its mixed-use projects that appeal to investors and end users alike and its central location.
Dubai Marina: Still a hot spot for high end waterfront apartments due to the high rental yields.
Palm Jumeirah: The ultra-luxury market was led by Palm Jumeirah which saw record sales of villas and apartments.
Downtown Dubai: The demand for high end apartments increased significantly in this area due to the well known developments and lifestyle options.
Dubai South (Expo City) has become a favourite for smart investments and affordable housing due to its proximity to major infrastructure and developments.
Jumeirah Village Circle: JVC is a popular choice for middle income buyers due to its affordability and family friendly facilities.
Dubai Land: The area has solidified its reputation as a new hub for value for money investments by focusing on townhouses and villas.
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Luxury developments drive growth
Dubai’s luxury real estate market continues to attract high net worth individuals and institutional investors from all over the world. Famous communities like Palm Jumeirah, Downtown Dubai and Dubai Marina that combine luxury, lifestyle and long term value are still in high demand.
The luxury group reinforced its position as a key contributor to market value by selling premium apartments in Palm Jumeirah for the highest average price of AED 4,600 per square foot. These figures demonstrate Dubai’s ability to meet global demand and hold its position in the ultra-luxury segment.
“Dubai’s appeal to high net worth individuals is about delivering a seamless integration of lifestyle, security and strategic value. Buyers and investors see Dubai as a city that not only offers world class amenities but also understands their aspirations for long term growth and stability,” said Syed.
Population growth to drive demand in 2025
With Dubai’s population forecast to exceed 7.8 million by 2040, the real estate sector will benefit greatly from continued growth and infrastructure upgrades.
By 2025, Dubai’s population is expected to surpass 4 million, which would likely result in a notable surge in demand across all real estate sectors. Important areas like Dubai South, which prioritizes inclusivity and essential infrastructure, will support the ongoing success of affluent neighborhoods like Palm Jumeirah and Downtown Dubai.
The city’s connection with the Dubai 2040 Urban Master Plan further demonstrates its commitment to developing a sustainable, forward-thinking real estate environment that serves both foreign investors and end users.
“Dubai has positioned itself as a global real estate leader by continuously adapting to market dynamics and driving innovation. As we move into 2025, the focus will remain on delivering value-driven projects that reflect Dubai’s unique ability to combine inclusivity with exclusivity, setting the standard for urban living in the years ahead,” Syed concluded.
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