As of mid-May 2025, Dubai’s off-plan real estate market has achieved a remarkable milestone, recording AED 90 billion (approximately $24.5 billion) in sales, according to data from the Dubai Land Department compiled by W Capital. This figure represents 38% of the total real estate transactions in the emirate during this period.
Between January and May 15, 2025, there were 40,500 off-plan property transactions, encompassing 36,359 residential units and 4,141 buildings. In contrast, ready-built properties accounted for AED 147.4 billion ($40.1 billion), making up 62% of total sales.
W Capital CEO Walid Al Zarooni attributes the surge in off-plan sales to several key factors:
- Competitive Pricing: Off-plan properties are typically priced 5% to 15% lower than ready properties, offering investors more affordable entry points.
- Flexible Payment Plans: Developers provide accommodating payment structures, such as paying only 50% upon delivery, easing the financial burden on buyers.
- Attractive Rental Yields: Off-plan properties in Dubai offer high rental returns, reaching up to 7%, appealing to investors seeking steady income streams.
Looking ahead, Al Zarooni anticipates continued growth in demand for off-plan properties, driven by Dubai’s expanding population and the consequent need for new housing units. He also highlights the role of substantial government investments in infrastructure projects and modern real estate legislation in fostering a stable and secure investment environment.
These dynamics underscore Dubai’s position as a preferred destination for both local and international real estate investors.
