There has been a sustained rise in property prices across popular neighbourhoods, driven by robust demand, a steady supply of new inventory and Dubai’s growing allure for high-net-worth individuals attracted by its economic prospects and favourable tax policies as per findings of Bayut, the UAE's leading property portal,
The data has revealed significant price increases for both apartments and villas in popular Dubai neighbourhoods, particularly for villas in Arabian Ranches, which saw rises of up to 56%.
Buyers and investors interested in affordable property options have shown greater inclination towards areas such as Dubai Silicon Oasis, Dubai Sports City, DAMAC Hills 2 and Dubailand. For mid-range property, buyers have focused on neighbourhoods such as Jumeirah Village Circle, Business Bay, Al Furjan and The Springs. Luxury investors have shown preference for Dubai Marina, Downtown Dubai, Dubai Hills Estate and DAMAC Hills.
Transactional prices for affordable apartments in the most-searched-for areas have increased up to 26%, while villa prices showed upticks of over 100% with Dubailand recording the most significant spike due to an increased demand for budget-friendly homes and residential plots.
In the mid-tier segment, transactional prices for both apartments and villas have risen by between 7% and 40%. The highest price movements were recorded in Jumeirah Lake Towers, where inventory is being priced at a premium to tackle the increased demand for centrally-located apartments.
The luxury property market has seen consistent increases, with prices climbing by 7% to 31%, with the steepest hikes recorded in Dubai Hills Estate. Transactional prices for apartments in Palm Jumeirah have recorded an 8.4% decrease as per the DLD.
As per data, provided by the Dubai Land Department (DLD), there were over 169,000 property sale transactions recorded in 2024, valued at AED 488 billion until 10th December 2024. The ready segment accounted for over 67,000 transactions exceeding AED 274 billion, while the off-plan segment achieved over 102,000 transactions worth AED 213 billion.
Affordable apartments in areas such as Dubai Investments Park (DIP), Discovery Gardens and Liwan have offered the highest yields of 9% to 11%. Mid-tier communities such as Living Legends, Motor City and Al Furjan have recorded ROI percentages above 8.7%. Luxury apartments in Al Sufouh, Green Community and Al Barari have reported rental yields between 7% and 9%.
For villas, Dubai Industrial City, International City and DAMAC Hills 2 have led the affordable segment with ROIs above 6%. Mid-tier villa communities, including Jumeirah Village Circle, Al Furjan and Jumeirah Village Triangle, offered returns of between 6% and 8%. Luxury villa communities including The Sustainable City, Al Barari and Tilal Al Ghaf recorded ROIs exceeding 6%.
