The Dubai real estate market has been thriving and is projected to rise by 10 to 15 percent, with key areas like Dubai Creek Harbour, Emaar South, Sobha Hartland 2, and Port Rashid attracting buyers.
Even inside Dubai, there are areas which are significantly underpriced including more established neighborhoods like Downtown Dubai and Palm Jumeriah.
Price per square foot for luxury properties in Dubai is still considerably lower than in cities like Toronto, Vancouver, or Los Angeles. The average price in Vancouver and Toronto can range from CAD 1200 to 1500 per sq. foot, and in Los Angeles, it can reach up to CAD 1000 to 1500 per sq. foot for prime locations. Dubai property is priced at AED 1500 per sq. foot in some of the modest upcoming areas. This difference presents a major opportunity for the investors looking to maximise returns while enjoying the benefits of living in a global hub, and yes, additional attraction comes in the form of a Golden Visa.
Golden Visa For Property Investments
Dubai is offering Golden Visa to property investors who invest over AED 2 million in the properties here. This has created more demand for the property investment for global investors. The visa allows the investors to live, work, and enjoy many benefits of Dubai.
Favourable Tax Environment
The tax structure in Dubai’s favorable, which means no capital appreciation taxes and no property taxes, means you get to keep your profits when your property appreciates.
In addition to this, Dubai has strict safety measures in place courtesy of the Dubai Land Department, such as an ASCROW account to protect your investments.
Industry Perspective on Dubai Property Prices
Rizwan Sajan, Founder & Chairman of Danube Group, states that Dubai property market will see a price rise in 2025.
“The market is going up and it has seen good jump in 23-24 and 2025 is going to be better and we can expect property prices shooting up. Majority of the property investors are from India but we have investors from all over the world investing in Dubai real estate which is a healthy sign for the market,” says Sajan.
Another prominent figure in Dubai real estate market, Kristian Cuku, CEO, Xtra Real Estate LLC, adds, the Dubai real estate market will see a price rise for at least five years. “From our analysis the prices will go up at least for five years because we have misbalance between the offer and the request which is the most important indicator when the price increase is calculated.”
Dubai 2040 Urban Investor Plan
This vision is driving long-term growth, and strategic areas like Port Rashid, Emaar South, and Dubai South seem to have huge potential.
The properties around Port Rashid are expected to see some considerable appreciation. Driven by its unique waterfront location, upscale development, and lifestyle amenities. Another factor that will contribute to pushing the property rates in this area is the influx of global businesses setting up their hubs in Dubai. The companies from all over the world are taking advantage of Dubai’s strategic location, tax benefits, and business-friendly policies. This is leading to more jobs and permanent areas for housing, especially in the areas of Dubai South and Expo City Dubai.
Just a few hours drive from Dubai, Ras Al Khaimah is making headlines with Wynn Al Marjan Island—the first integrated gaming resort in the Middle East and North Africa (MENA) region, which began construction in early 2023.
This project is expected to bring in more tourists and business to the entire region, adding to the demand for both housing and in the emirate of Dubai.
The Dubai real estate market is in a unique transition; while the prices are rising, they are still undervalued as compared to the global markets like London, New York, or Los Angeles, and even inside Dubai, there are areas that are considerably priced lower than the more developed locations. This creates more opportunities for the investors looking to maximise their return on investment.
