Dubai’s property market once again proved its resilience in August, with apartments taking centre stage as the main driver of activity across both sales and rentals.
Traditionally a slower month due to summer heat and travel schedules, August still saw strong demand, underlining the enduring appeal of Dubai real estate to investors, residents, and global buyers.
According to Dubai Land Department (DLD) figures, total property sales reached Dh40.45 billion in August. While this marked a 22 per cent decline from July, the adjustment was largely seasonal and expected.
More importantly, sales still posted a healthy 6 per cent year-on-year increase, signalling that Dubai’s growth momentum remains intact. The emirate’s rising population, which has now crossed the four million mark —an increase of 1.5 million over the past decade— is reinforcing long-term demand across residential segments.
Shift in demand
Apartments dominated transactions in August, accounting for 89 per cent of all sales by volume and 71 per cent by value. This shift in demand was notable, as villas and townhouses had taken a larger share just a month earlier.
Compared to August 2024, apartment sales value surged 26 per cent, according to DLD data, while brokerage Allsopp & Allsopp reported an even higher 31 per cent jump.
Analysts attribute this surge to the growing number of expatriates relocating to Dubai, as well as investors who continue to find attractive opportunities in the rental and holiday home markets.
Apartments provide a more accessible entry point than villas, both in terms of purchase prices and rental yields, making them particularly appealing for newcomers and portfolio builders alike.
The strength of this segment is also evident in pricing trends. DLD reported the average apartment sale price at Dh1.9 million in August, while Allsopp & Allsopp placed the figure higher at Dh2.6 million, reflecting the brisk activity in prime communities.
Interestingly, there was also a 25 per cent month-on-month increase in transactions for apartments priced below Dh1 million, pointing to a diverse buyer base that includes first-time homeowners, mid-income residents, and investors seeking affordable rental stock.
Property market analysts said Dubai’s apartment market is not only attracting domestic and regional demand but also a growing pool of international buyers.
Data from industry sources shows a sharp uptick in buyers from South Korea, South Africa, Australia, and Canada. Many are drawn by Dubai’s reputation for safety, stability, tax advantages, and its status as a global business hub.
V. Sivaprasad, chairman of Condor Developers, said a mix of affordability at the entry level and prestige in the luxury segment makes Dubai’s apartment market uniquely versatile for buyers.
“For landlords and investors, rising rental yields and high occupancy levels continue to underpin returns. And for the city as a whole, the sector is a critical pillar supporting economic expansion and population growth.”
V.S. Bijukumar, ar eal estate consultant, said Dubai’s enduring appeal lies not just in its skyline or its lifestyle, but in its ability to adapt, attract, and thrive in a changing global landscape. “With apartments driving resilience, the city has once again reinforced its status as one of the world’s most dynamic and reliable real estate markets.”
The emirate’s consistent ranking at the top of international indices for livability, digital infrastructure, and lifestyle further boosts its credibility as a relocation destination for mobile professionals and families.
With world-class amenities, reliable governance, and expanding visa options such as the Golden Visa and long-term residency permits, Dubai offers a seamless entry point for overseas investors seeking both a home and a foothold in one of the world’s fastest-growing economies.
Prime rental areas
The rental sector mirrored the strong performance of sales. Allsopp & Allsopp reported a 43 per cent rise in total apartment rental value in August compared to July, alongside a 48 per cent jump in leasing transactions.
Demand remained concentrated in prime and established areas such as Downtown Dubai, Dubai Marina, Business Bay, Jumeirah Lake Towers, and Town Square.
A particularly encouraging sign is the growing flexibility among landlords. Nearly half (49 per cent) are now willing to accept four or more cheques, a shift that makes the rental market more tenant-friendly and accessible to a wider demographic.
Leasing registrations also rose 34 per cent during the month, suggesting continued expansion of the tenant base. Beyond the short-term fluctuations, the fundamentals of Dubai’s property market remain robust. Year-on-year comparisons show a 28 per cent increase in total apartment sales transactions and a 20 per cent rise in off-plan sales volumes, according to DLD.
Allsopp & Allsopp data further confirms a 26 per cent rise in average apartment sale prices and a 31 per cent surge in total transaction value for apartments.
Apartments also accounted for 68 per cent of overall sales in August.These figures highlight not only the segment’s current strength but also its critical role in ensuring long-term resilience for Dubai’s real estate sector.
As population growth continues and international demand rises, apartments offer a flexible, scalable, and affordable solution for housing while delivering attractive returns for investors.
Even in a month often marked by seasonal slowdown, Dubai’s real estate market has shown that confidence remains unshaken. Apartments, in particular, are proving to be the backbone of growth, serving both the city’s expanding population and its increasingly diverse investor base.
