Savills Report: Dubai Prime Home Sales Skyrocket Tenfold

Savills Middle East has unveiled its inaugural Dubai Prime Residential 2025 report, painting a confident picture of ongoing growth in the city’s high-end property sector. Now in its fourth consecutive year of rising sales and value appreciation, the prime market continues to benefit from investor confidence, supportive government policies, and surging demand for upscale homes.

Record-Breaking Growth in AED 10 Million+ Transactions

One of the standout revelations from the report is the explosion in transactions within the AED 10 million and above category, a key indicator of luxury market performance. This segment has grown exponentially, with the number of deals skyrocketing from just 469 in 2020 to an impressive 4,670 in 2024. The momentum has carried into 2025, with over 1,300 transactions recorded in the first quarter alone, a 31% increase compared to the same period last year.

“Dubai’s prime residential market continues to attract high-net-worth individuals seeking space, privacy and superior lifestyle quality. This is particularly evident in the consistent demand for luxury villas and branded residences,” said Andrew Cummings, Head of Residential Agency, Savills Middle East.

Off-Plan Sales Lead the Way

Off-plan properties now dominate this elite market segment, comprising nearly 69% of all AED 10 million+ transactions, an astonishing leap from only 14% in 2020. This shift signals a renewed trust in the future of Dubai’s property pipeline and changing buyer behaviour. In the villa segment, emerging developments like Palm Jebel Ali, District One West, and The Acres are seeing the highest levels of activity, while luxury apartment districts such as Palm Jumeirah, Downtown Dubai, and Dubai Harbour continue to attract strong interest.

The Rise of Jumeirah Islands

Jumeirah Islands has emerged as a symbol of transformation in Dubai’s villa landscape. A neighbourhood that witnessed no AED 10 million+ sales before 2021 has now surged with 89 such transactions in 2024 alone. Notably, a growing number of these properties are fetching over AED 20 million, fuelled by the appeal of premium upgrades and refurbishments.

Villas Dominate the Prime Segment

Luxury villas have clearly taken the lead in the prime property space, accounting for 70% of transactions above AED 10 million last year. Despite this dominance, waterfront apartments continue to command premium rates, averaging AED 5,400 per square foot, driven by demand for branded residences and lifestyle-centric developments. Buyers remain highly engaged across both property types, though the appetite for exclusive villa living is unmistakably strong.

Dubai’s Global Leadership in Branded Residences

Dubai’s position as the world’s most active market for branded residences further strengthens the outlook for its luxury sector. The city is expected to account for 40% of all branded residential developments across the Middle East and Africa by 2031. This rise reflects both global investor interest and Dubai’s growing appeal as a lifestyle destination.

A Promising Outlook for 2025 and Beyond

Looking ahead, Savills projects that the prime residential segment will maintain its upward trajectory through the remainder of 2025. Growth of 8–10% is expected, supported by the influx of global wealth, the unveiling of new master-planned communities, and the continued evolution of lifestyle-driven housing offerings. Dubai’s upper-tier real estate market is not just expanding; it’s being reshaped for the future.

“Recent master plan announcements, including the development of Jebel Ali Racecourse and the second phase of Jumeriah Golf Estates, alongside launches such as Emaar’s Grand Polo Club and Resort look set to deliver further prime product to Dubai’s residential market,” Cummings concluded.