2 days ago
Dubai real estate: Property sales jump 15% in May 2025 as market value hits $14.8bn
Dubai's residential property market has maintained momentum in May 2025, with sales and leasing activity both recording double-digit month-on-month growth, according to a report released by Betterhomes.
The residential sales market recorded 17,504 transactions in May, representing a 15.1 per cent increase from April.
'Dubai's property market is demonstrating a remarkable level of depth and resilience. This isn't just short-term momentum. It reflects long-term confidence in the city's economic direction, quality of life, and global appeal. We're seeing demand from both seasoned investors and new residents who see Dubai as a place to build their future. The fundamentals are strong, and the appetite for quality homes, both to own and to rent, continues to grow,' Louis Harding, CEO of Betterhomes said.
Dubai property market posts growth
Total sales value reached AED 54.48 billion, up 18 per cent month-on-month, whilst the average price per square foot climbed by 4.5 per cent to AED 1,808.
Off-plan transactions led the market at 57 per cent, whilst the secondary market share increased to 43 per cent. Cash versus mortgage buyers stood nearly even at 48 per cent versus 52 per cent, whilst investors comprised 64 per cent of buyers.
Communities that attracted buyers included Dubai Hills Estate, The Springs, and Jumeirah Village Triangle.
Emaar remained the top-performing developer in both off-plan and title deed transactions, contributing AED 3.76 billion and AED 10.49 billion, respectively.
Leasing activity increased by 15.3 per cent in May, with 33,917 lease transactions recorded. New rental contracts rose to make up 42 per cent of all leasing activity, up from 34 per cent the month before.
Average rents increased in areas including Bur Dubai, which saw a 7.5 per cent month-on-month rise, and Damac Hills 2, which grew by nearly 4 per cent.
Betterhomes reported a 10 per cent increase in tenant leads, whilst average lease values climbed across all property types.
Apartments leased through Betterhomes averaged AED 141,250 annually, townhouses AED 198,000, and villas AED 405,000. One to four cheque payments remained the most common rental terms among tenants.
