Dubai Plans to Add 73,000 New Homes in 2025 Amidst Market Boom

Dubai is on it’s way to deliver 73,000 new homes in 2025, as it increases its housing supply to meet rapidly growing demand. This will assist Dubai with broader strategic planning to manage population growth and maintain investor confidence. Last quarter, the city recorded AED 114.4 billion in property sales, with off-plan transactions accounting for 70% of total activity. Major delivery areas were Jumeirah Village Circle, with more than 1,000 completed units reflecting high market activity and volume of new developments.

While all this supply should help satisfy buyers’ appetite for new homes, analysts have warned that declining prices may occur later this year. According to Fitch Ratings, prices might remain stable or could in fact decline by as much as 15% due to fresh inventory supply. However, Dubai has strong fundamental market characteristics for real estate investment, including significant large-scale infrastructure development, low taxation policies and continued levels of foreign investment, which all help to maintain long-term confidence in the outlook for the Dubai property market.