Dubai’s real estate market in 2024 showcased remarkable growth, setting new records in transactions and attracting a surge of international investors. This momentum was driven by strategic government initiatives, a robust economy, and a diversified property portfolio catering to various investor preferences.
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Record-Breaking Transactions and Investment Influx
• Total Real Estate Transactions: 226,000 transactions, marking a 36% increase in volume and a 20% rise in value year-on-year, totaling AED 761 billion.
• Residential Sector: 174,000 residential transactions were recorded, amounting to AED 433.7 billion—a 39% growth in volume and 33% in value compared to 2023.
• Off-Plan Sales: Dominated the market with 119,000 transactions valued at AED 301 billion, accounting for 68% of total transaction volume.
• Investor Demographics: Dubai attracted 110,000 new investors, a 55% increase, highlighting its global appeal.
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Key Drivers of Market Growth
• Government Initiatives: The Dubai Real Estate Strategy 2033 aims to double the sector’s GDP contribution and expand market value to AED 1 trillion.
• Population Growth: Dubai’s population reached 3.84 million by January 2025, with projections to exceed 5.8 million by 2030, fueling housing demand.
• Tourism Surge: The city welcomed over 18 million international visitors in 2024, boosting demand for short-term rentals and hospitality-related properties.
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Emerging Trends and Opportunities
• Suburban Shift: There’s a growing preference for suburban living, with a 30% increase in villa and townhouse transactions in areas like DAMAC Hills 2 and Arabian Ranches.
• Luxury Segment: High demand for luxury villas led to the construction of nearly 9,000 villas in 2024, with plans for an additional 19,700 in 2025.
• Commercial Real Estate: Office occupancy rates in prime districts like DIFC and Business Bay reached 92%, reflecting a strong recovery and business confidence.
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Market Outlook for 2025 and Beyond
While the market has experienced significant growth, analysts anticipate a potential price correction of up to 15% in the latter half of 2025 due to increased housing supply. However, the long-term outlook remains positive, supported by strategic government plans, infrastructural developments, and sustained investor interest. 
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Conclusion
Dubai’s real estate market in 2024 demonstrated resilience and adaptability, offering lucrative opportunities for overseas investors. With a strategic vision for growth, supportive government policies, and a diverse property portfolio, Dubai continues to solidify its position as a global real estate investment hub.