Dubai’s luxury real estate segment is powering ahead—2024 marked the fourth year in a row of growth in both transaction volumes and capital values, according to Savills’ debut Dubai Prime Residential Report. Despite 93% of transactions still being under AED 5 million, the ultra-prime market has exploded: sales of properties priced above AED 10 million skyrocketed from 469 in 2020 to 4,670 in 2024. The momentum continued in early 2025, with over 1,300 luxury homes sold in Q1 alone, representing a 31% year-on-year jump.
Buyer behavior is shifting too—off-plan purchases now account for 69% of AED 10M+ sales, up from just 14% in 2020—highlighting mounting confidence in future developments. High-end villas are leading the surge, especially in new neighborhoods like Palm Jebel Ali, District One West, The Acres, and Jumeirah Islands—where 89 homes crossed the AED 10 million mark in 2024, up from zero pre-2021. While villas dominate in volume, waterfront apartments—average AED 5,400 per square foot—continue commanding premium prices. Savills forecasts 8–10% continued growth in the prime segment for 2025, fueled by lifestyle-driven developments and inflows of affluent buyers.
