Dubai’s real estate market continues to prove its resilience and global appeal. July was another month of strong performance, with sales volumes climbing, off-plan demand at record highs, and the rental market experiencing steady price growth across prime communities. For investors, end users, and first-time buyers, the numbers reveal why Dubai remains one of the most dynamic property markets worldwide.
Dubai Real Estate Market Update: Property Prices Edge Higher
According to the latest data from the Dubai Land Department, the average price per square foot of residential property in Dubai reached Dh1,893 in July, reflecting a 3.3% increase from June. This upward trend is a clear indicator of consistent demand, fueled by both local and international buyers who continue to view Dubai as a safe, high-return real estate destination.
Market insights from Property Monitor’s data highlight rising transaction volumes and strong activity across sales and leases. Secondary sales and off-plan launches are both performing exceptionally well, while tenant demand in key communities has further strengthened Dubai’s rental landscape.
Dubai Real Estate Market: With Sales Report Off-Plan Dominates
Dubai’s sales market recorded vigorous activity in July. The total value of transactions hit Dh51.3 billion, up 10.6% from June, while the number of sales transactions rose to 18,816, a 20.5% month-on-month increase.
Off-plan properties made up 65% of transactions, up from 62% in June. This clearly demonstrates not only substantial developer activity but also growing buyer confidence in Dubai’s long-term growth story.
The continued strength of Dubai’s off-plan sector shows enduring confidence in the city’s long-term growth. We’re seeing significant demand from both seasoned investors and first-time buyers eager to secure properties before completion.
Top-performing areas in July
- Apartments: Jumeirah Village Circle, Business Bay, and Damac Riverside
- Villas: The Wilds, Grand Polo Club & Resort, and The Oasis
In terms of pricing:
- Average apartment price: Dh1.99 million
- Average townhouse price: Dh3.25 million
- Average villa price: Dh9.7 million
Investor activity remained strong, accounting for 62% of sales, while end users represented 38%. Interestingly, sales were split almost evenly between cash (48%) and mortgage-backed purchases (52%), showing confidence from both liquid investors and long-term homeowners.
Property Monitor’s data also showed variations in average prices compared to Dubai Land Department figures. For example, apartments averaged Dh2.33 million, while villas averaged Dh6.1 million, reflecting diverse buyer preferences and portfolio strategies.
Communities such as Damac Hills 2, Dubai Land, and Dubai Investments Park led villa sales, while Dubai Marina, Motor City, and Dubai Land topped apartment transactions.
Leasing Market: Demand Keeps Rising
Alongside record-breaking sales, Dubai’s rental market showed sustained momentum in July. A total of 39,251 rental contracts were recorded, a 3.4% increase from June. Notably, 40% of these were new contracts, up from 37% the previous month, signaling that fresh tenants are entering the city’s property market.
Price movements in July rentals
- Apartments: Average rent Dh72,000 annually
- Townhouses: Average rent Dh172,000 annually
- Villas: Average rent Dh255,000 annually
Specific communities recorded strong gains:
- Al Khail Heights saw apartment rents rise 1.5% month-on-month, averaging Dh67,500 annually.
- Jumeirah led villa rent growth with a 4.2% increase, reaching Dh498,000 annually.
Active rental communities
- Apartments: Jumeirah Village Circle, Dubai Silicon Oasis, and Business Bay
- Villas: Mirdif, Damac Hills 2, and Jumeirah
Tenant leads increased 10% month-on-month, with average rental prices in their portfolio showing higher benchmarks:
- Apartments: Dh141,000
- Townhouses: Dh190,000
- Villas: Dh368,000
Among the most active villa communities were Arabian Ranches 2, Dubai Hills Estate, and Arabian Ranches 3, while the busiest apartment clusters were Business Bay, Downtown Dubai, and Dubai Marina.
Why Investors Remain Confident in the Dubai Real Estate Market
Dubai’s real estate appeal lives in a combination of factors:
- High rental yields compared to global property hubs
- Tax-free advantages for investors and residents
- Strong infrastructure growth with new mega projects and master communities
- Business-friendly environment attracting global professionals and entrepreneurs
The July figures reinforce how Dubai’s property market is not just about short-term spikes but long-term growth. Off-plan launches continue to sell out quickly, while established communities retain strong resale and rental demand.
Market Outlook: The Steady Growth Ahead
The outlook for the coming months remains optimistic. Rising transaction volumes, strong off-plan absorption, and strong leasing demand all point to continued growth. Dubai’s position as one of the world’s leading real estate destinations is now firmly established, with both investors and end users showing confidence in the city’s future.
There is an upward trend in pricing and activity to persist, supported by Dubai’s expanding economy, growing population, and ongoing international demand. Whether you are an investor seeking portfolio diversification or a first-time buyer planning your entry into the market, current conditions highlight significant opportunities.
Conclusion
Dubai’s real estate market in July showcased exactly why the city continues to attract attention worldwide. With property prices edging higher, off-plan sales surging, and rental demand rising across prime communities, the momentum shows no signs of slowing down.
For investors, end users, and first-time buyers, this is a market worth watching closely. The data confirms not just growth, but stability and resilience in one of the world’s most exciting property landscapes.
If you’re planning to step into the Dubai real estate market, now is the right time to stay informed and make smart decisions. Read more on our blog, explore detailed insights, and visit our website to discover opportunities suited to your goals. Stay connected with us and never miss the latest trends shaping Dubai’s property market.