Dubai’s residential property market sustained strong growth in September 2025, led by exceptional performance in the villa segment. The ValuStrat Price Index (VPI) climbed to 230.6 points, marking a 1.4 percent monthly and 21.3 percent annual increase. Villas reached a record 307.5 points, up 26.4 percent YoY, while apartments rose steadily, nearing their 2014 peak.
Key Findings
Record villa gains: Jumeirah Islands (+39.1 %), Palm Jumeirah (+38.6 %) and Green Community West (+25.5 %) led annual appreciation.
Apartment performance: Top risers included Remraam (+22.2 %), Dubai Silicon Oasis (+22.1 %) and The Greens (+21.8 %).
Off-plan dominance: Off-plan sales represented nearly 80 % of September transactions, with JVC, Business Bay and Dubai South leading activity.
Ultra-prime boom: 31 ready-property deals exceeded AED 30 million, including 12 above AED 50 million, reflecting deep HNWI appetite for luxury assets.
Developers’ momentum: Binghatti, Damac and Emaar together accounted for almost 40 % of total sales.
Market Context
Strong economic growth, population inflows, and visa reforms continue to bolster end-user and investor confidence. The surge in family housing demand, particularly for villas, underscores a structural shift toward larger, lifestyle-driven properties.
Outlook
Analysts expect over 42,000 new residential units in 2025, likely moderating price growth in mid-tier communities. However, limited villa supply and strong luxury demand are projected to sustain upward pressure on high-end values. Villa rental prices are forecast to rise 5–8 percent in 2025, led by sought-after communities such as Palm Jumeirah, Dubai Hills Estate, and Downtown Dubai.
