This was driven by strong apartment demand, rising prices per square foot, and sustained buyer interest across premium and mid-market communities
January 13, 2026 | Staff Reporter | UAE | PropTech
Dubai’s real estate market concluded 2025 with its strongest-ever quarterly performance, recording total property sales of AED 187.47bn in the fourth quarter, according to data released by Property Finder. December capped a highly successful Q4 with AED 64bn in sales, matching November’s performance and building on October’s AED 59bn, collectively delivering the highest quarterly sales value on record.
The robust end-of-year performance confirmed 2025 as a record-breaking year for Dubai’s property sector, with value growth outpacing transaction volumes. Median property prices rose by 8.4% year-on-year, reflecting sustained demand and higher price per square foot across multiple segments of the market. The momentum has allowed the real estate sector to enter 2026 from a position of strength, supported by structural, demand-led growth rather than short-term speculation.
The report says that premium neighbourhoods continued to account for a significant share of transaction value in December. Areas such as Palm Jumeirah, Dubai Marina, and Downtown Dubai benefited from strong international buyer demand, limited supply, and elevated price points. These high-end locations remained central to Dubai’s overall sales performance during the quarter.
At the same time, mixed-use and master-planned communities contributed to a broad-based market. Business Bay maintained its appeal among investors due to its central location and integrated amenities, while Dubai Hills Estate attracted balanced demand across both apartment and villa segments. Mid-market areas, particularly Jumeirah Village Circle, continued to draw buyers seeking affordability, especially within the competitive off-plan market.
Apartments remained the dominant segment across both rental and sales searches. Property Finder data shows that apartments accounted for 80% of rental searches in December, compared to 20% for townhouses and villas. Within this segment, demand for studios and one-bedroom units increased year-on-year, indicating a shift toward more compact and affordable living options as rents rose throughout 2025.
A similar trend was observed in sales activity, with apartments accounting for 61% of buyer searches, compared to 39% for villas. Demand was particularly concentrated on studio, one-bedroom, and two-bedroom units, which represented 85% of apartment searches, underscoring a preference for practical, budget-conscious homes.
“Now, we can look forward to an exciting 2026 with market momentum anchored in depth, diversity, and pricing resilience, rather than short-term speculative activity. It’s great news for buyers, sellers and investors alike as there’s something for everyone looking to find a home in Dubai.”
Cherif Sleiman, Chief Revenue Officer at Property Finder