Dubai’s real estate sector demonstrated remarkable resilience and growth throughout 2025, with the rental market emerging as a particularly strong performer. According to comprehensive data released by the Dubai Land Department, the emirate witnessed a substantial 6% increase in registered tenancy contract volume and an impressive 17% surge in value compared to 2024 figures.
The market activity reached unprecedented levels with 1.38 million contracts finalized, representing a total transactional value of AED126.4 billion. This robust performance underscores the market’s vitality and sustained momentum across both residential and commercial segments. New tenancy agreements saw a significant 10% uptick, exceeding 513,000 contracts, while renewed contracts increased by 3% to surpass 514,000 – clear indicators of growing tenant satisfaction and market stability.
This exceptional rental market performance aligns strategically with Dubai’s broader economic vision, particularly the Dubai Economic Agenda D33 which prioritizes quality of life enhancement and the emirate’s positioning as a premier global destination for living, working, and investing. The sector’s stability further complements the Dubai Real Estate Sector Strategy 2033, which emphasizes creating a sustainable market equilibrium between ownership and rental options within transparent regulatory frameworks.
Beyond the rental sector, Dubai’s real estate landscape showed comprehensive growth. Project completion rates accelerated with 124 projects finalized in 2025, marking a 7% increase with a total value of AED27.5 billion (a 23% value increase). The development pipeline expanded substantially with 937 projects under construction, representing a 25% growth that signals strong developer confidence.
Transaction activity surged remarkably, with sold units increasing by 25% to 147,500 units valued at AED280 billion – a 30% value appreciation. Notably, villa values increased by 12% despite volume decreases, indicating a market shift toward premium property segments.
The regulatory environment expanded dramatically with 4,122 new real estate offices registered (a 102% increase), bringing Dubai’s active real estate offices to 10,182. Licensing activity flourished with 14,364 real estate licenses issued across diverse specializations, led by sales and purchase brokerage (6,009 licenses), leasing brokerage (3,513 licenses), and transaction follow-up services (2,126 licenses).
This integrated performance across rental markets, project development, and regulatory expansion reflects Dubai’s achievement of advanced institutional maturity within its real estate ecosystem. The market continues to demonstrate exceptional capacity for sustained growth within an environment characterized by regulatory clarity, operational efficiency, and long-term sustainability.