Dubai's real estate market just dropped a number that's hard to ignore: Dh138 billion in residential sales for the third quarter of 2025. That’s an 18% jump from last year. But the number itself isn't the real story. The interesting part is who is doing the buying.
For a long time, Dubai property was all about international investors looking for a quick profit. That narrative is over. The engine driving this massive growth is a fundamental shift. We're seeing more families and professionals deciding to build a long-term future here.
A Market of Homes, Not Just Investments
The data shows a clear change in behavior. People are buying homes to actually live in, not just to flip for a fast return. In fact, an incredible 60% of property buyers this past October were UAE citizens, showing just how much local confidence there is in the market.
This isn't just happening in a few high-end towers either. The trend is city-wide.
- Widespread Growth: Prices are climbing in 31 out of 34 tracked communities.
- Family Focus: Jumeirah Islands saw villa prices shoot up by 22% in a year, a strong indicator of demand for family living.
- The Sweet Spot: The market for homes between AED 5-10 million grew by a massive 60%. This is the prime budget for established professionals and families ready to settle down for good.
A big reason for this shift is the rental market. After two years of steep rent hikes, many tenants are doing the math. They're realizing that locking in a fixed mortgage payment makes more financial sense than facing another unpredictable lease renewal.
The New Buyer in Dubai
Let’s picture the new typical buyer. Maybe it's a couple who moved here five years ago. They've built their careers, started a family, and have been renting in a place like Business Bay. Now, feeling secure about their jobs and Dubai’s future, they're buying an off-plan townhouse in a growing area like Dubai South.
For them, this isn't just an asset on a balance sheet. It’s the home where their kids will grow up. We're seeing this story play out thousands of times. Off-plan properties now account for 70% of all sales, which is a massive collective vote of confidence in the UAE's long-term future.
Market experts see this as a sign of a new era. The Head of Research at 'Gulf Property Insights' puts it this way:
"The current surge shows a maturation of Dubai's property market, evolving from a speculative playground to a global hub where long-term residency is the primary driver. This reflects genuine confidence in the emirate's future."
Built on Confidence
With 55,280 deals closed in just one quarter, it's fair to ask if this pace can last. All signs point to yes. The huge investment in off-plan homes shows that both buyers and developers are planning for years down the road, not just the next few months.
This isn't the volatile, investor-led market of the past. It’s a boom built on the real-life plans of thousands of families choosing to make Dubai their permanent home. That foundation of long-term residency is what will likely keep the market strong through 2026 and beyond.