Dubai’s ultra-high-end real estate market has achieved unprecedented growth in the third quarter of 2025, with luxury property sales jumping 24% to reach a record $2 billion, according to Knight Frank’s latest market analysis.
In a remarkable display of resilience, Dubai’s luxury real estate market has set new benchmarks, with 103 properties selling for over $10 million in Q3 2025. This represents a significant 24% increase from the same period in 2024, highlighting the city’s continued appeal to ultra-wealthy investors.
Key highlights of the market performance include:
- 17 transactions exceeded $25 million, more than double the count from last year
- Total sales of properties above $10 million crossed $2 billion, a 54% year-on-year rise
- Average transaction value in the ultra-luxury segment climbed to $19.4 million
Faisal Durrani, Partner and Head of Research at MENA, noted: “Dubai’s luxury market has cemented its status as a safe haven for international and local buyers.”
Prime areas like Palm Jumeirah led the transactions, accounting for 34% of ultra-luxury sales. The highest recorded price in Q3 was an impressive $95.3 million for a mansion in Asora Bay, La Mer.
The market’s strength is underpinned by global high-net-worth individuals (HNWIs) with significant purchasing power. Durrani highlighted that 15% of HNWIs from countries like Saudi Arabia, the UK, India, China, Hong Kong, and Singapore are prepared to spend upwards of $80 million on a home in Dubai.
Analysts predict that while price growth might moderate, key fundamentals remain strong. Factors such as restricted prime supply, rising global wealth, tax advantages, and strategic incentives are expected to continue driving demand in Dubai’s luxury real estate market.
