The average price per square foot of residential property in Dubai climbed to Dh1,893 in July, marking a 3.3 percent increase from June, according to the latest figures compiled by Betterhomes. The real estate consultancy, citing Property Monitor data along with its own client insights, reported that both sales and leasing volumes surged during the month, underscoring sustained demand across the emirate’s housing market.
Transaction activity reached new highs. A total of 18,816 sales were recorded in July, representing a 20.5 percent month-on-month increase, with a combined value of Dh51.3 billion. Off-plan sales accounted for 65 percent of all deals, up from 62 percent in June, highlighting continued confidence in Dubai’s development pipeline.
Apartment sales dominated activity in communities such as Jumeirah Village Circle, Business Bay, and Damac Riverside. On the villa side, The Wilds, Grand Polo Club & Resort, and The Oasis recorded the strongest transaction volumes. Average prices across asset classes varied significantly: apartments sold for Dh1.99 million, townhouses for Dh3.25 million, and villas for Dh9.7 million.
“The continued strength of Dubai’s off-plan sector shows enduring confidence in the city’s long-term growth,” said Chirine El Sebai, Off-Plan Sales Manager at Betterhomes. “We’re seeing demand from both seasoned investors and first-time buyers eager to secure properties before completion.”
Buyer leads increased by 4 percent during the month, with transactions evenly split between cash buyers and mortgage-backed purchases. Investors remained the dominant group, accounting for 62 percent of transactions compared with 38 percent for end users.
While average transaction prices across the Dubai Land Department data showed flats at Dh1.99 million and villas at Dh9.7 million, Betterhomes’ own portfolio reflected different trends. Flats in its client base averaged Dh2.33 million, while villas averaged Dh6.1 million, suggesting buyers were targeting more mid-market opportunities rather than ultra-prime stock.
Communities such as Damac Hills 2, Dubai Land, and Dubai Investments Park emerged as strong performers in the villa segment, while Dubai Marina, Motor City, and Dubai Land were among the most active apartment markets.
The leasing sector also recorded strong gains. There were 39,251 rental transactions in July, a 3.4 percent increase compared with June. Of these, 40 percent were new contracts, up from 37 percent a month earlier, suggesting fresh tenant demand rather than contract renewals.
Rents varied across the city. Al Khail Heights posted the sharpest rise in apartment rental values, up 1.5 percent to an average of Dh67,500 annually. Jumeirah registered the steepest villa rent increase, climbing 4.2 percent to Dh498,000. Across Dubai, average annual rents stood at Dh72,000 for apartments, Dh172,000 for townhouses, and Dh255,000 for villas.
Tenant leads at Betterhomes jumped 10 percent during the month, with average leasing values in its transactions notably higher: apartments at Dh141,000, townhouses at Dh190,000, and villas at Dh368,000. The busiest villa communities were Arabian Ranches 2, Dubai Hills Estate, and Arabian Ranches 3, while Business Bay, Downtown Dubai, and Dubai Marina topped the list for apartments.
Market analysts said the combination of high off-plan sales, growing end-user participation, and robust leasing demand is reinforcing Dubai’s position as one of the world’s most active real estate markets. Investor sentiment remains positive despite rising prices, and the expectation is that momentum will carry into the final quarter of the year.
Betterhomes said strong inflows of international buyers and renters, coupled with Dubai’s infrastructure pipeline and visa reforms, are likely to maintain pressure on both prices and activity. While affordability remains a challenge in some segments, the breadth of supply across mid-market and luxury categories continues to attract diverse demand.
