Dubai Real Estate Market Update – September 2025

A month of steady momentum, strong off-plan dominance, and record-breaking sales activity.

Dubai’s real estate market continued its solid upward momentum in September 2025, recording strong transactional activity, healthy price growth, and a market dynamic increasingly driven by off-plan launches. While growth moderated slightly compared to August, September still closed as the second-highest month on record, highlighting the depth of demand and the city’s sustained appeal to both residents and global investors.

Property Prices – Healthy and Sustainable Growth

Dubai’s Dynamic Price Index (DPI) rose 1.0% month-on-month, easing from August’s sharper 2.4% rise but maintaining a strong upward trajectory. The average price now stands at AED 1,681 per sq ft.

• 106.3% above the October 2020 trough 

• 36.3% above the September 2014 peak 

• 16.12% higher year-on-year 

This marks 59 consecutive months of annual price growth.

Transaction Activity – Record Sales and Rising Momentum

September recorded 20,309 sales transactions, an 8.9% increase from August—making it the highest September ever recorded.

• 94.3% of all transactions were residential 

• YTD transactions exceed 158,000 

• On track to surpass 210,000 annual transactions 

Off-Plan vs Resale – Off-Plan Dominates

Off-plan registered 14,3710 qood transactions, up 9.6% from the previous month.

• True off-plan share: ~76.1% 

• Resale share: 25.6% 

• Off-plan resale: 20.3%

New Project Launches – Supply Reaches Historic Levels

September: 62 launches adding 15,000+ units worth AED 38.6B.

2025 YTD:

• 117,000+ new units 

• 460+ projects 

• 205 active developers 

• 88.4% apartment launches 

Mortgage Market – Temporary Slowdown

Mortgage activity dropped to 3,790 loans (–17.2%).

• 50.9% purchase mortgages 

• Average loan: AED 1.79M 

• Average LTV: 73.6% 

Rate cuts are expected to stimulate lending in late 2025.

Market Segmentation – Mid-Tier Leads

Strongest growth segments:

• AED 500K–750K (+1.5%) 

• AED 1M–1.5M (+1.3%)

Market structure:

• Mid-tier (AED 1M–3M): 55.4% 

• Affordable (<AED 1M): 26.8% 

• Premium (>AED 3M): 17.8%

Top Communities – Leading Activity

Initial sales:

1. JVC – 1,605 

2. Dubai Science Park – 1,353 

3. Business Bay – 1,020 

Resale hotspots:

• JVC – 9.6% 

• Business Bay – 6.0% 

• Dubai Marina – 4.3% 

Market Outlook – Selective but Strong

Headwinds:

• High supply levels 

• Buyer selectivity 

• Slower resale activity 

Tailwinds:

• Population inflow 

• Investor demand 

• Interest rate cuts 

Dubai is expected to maintain price growth through 2025 with more volatility and a shift toward value-driven buying.