Dubai real estate news 2025: Luxury villa prices climb to an average of AED 8.7M as global investors fuel demand.

Dubai Land Department reports AED 135.6B in Q3 sales - up 16% year-on-year, showing steady investor confidence.

Villas and townhouses now lead Dubai’s property market, accounting for the biggest price gains across prime areas.

According to Allsopp & Allsopp, average villa prices jumped 21% this year, reaching AED 8.7M  a new record high.

High-end deals dominate: Palm Jumeirah villa sold for AED 40M, and Jumeirah Golf Estates home closed at AED 35.5M.

Analysts credit tax-friendly laws, Golden Visa reforms, and Dubai’s safe-haven appeal for driving global wealth inflows.

Developers warn supply is tightening - only 6,176 units completed in Q3, while daily population grows by 600 residents.

The rental market also soared, with a 40% rise in leases as more expatriates relocate seeking long-term stability.

Experts say Dubai’s luxury market has matured - driven by end-users, global buyers, and resilient economic policy.

Dubai real estate news 2025: Villa demand shows no signs of slowing as luxury living defines the city’s next chapter.