Ras Al Khaimah Realty Boom: Key 2025 Highlights

Ras Al Khaimah's Real Estate Soars in 2025: Sharp Price Surges, Robust Demand, and Rising Investor Confidence

In 2025, Ras Al Khaimah's real estate market demonstrated remarkable growth, particularly in villas. For example, in the community of Al Hamra Village, the price of five-bedroom luxury villas exceeded 14 million dirhams, while per square foot prices rose by 42 percent compared to the previous year. The growth was driven by several factors: increasing demand for quality of life, the popularity of waterfront and resort developments, and the arrival of foreign investors.

Demand for Luxury Lifestyle and Larger Homes

Wealthier buyers are increasingly seeking more spacious properties in premium locations, particularly in communities that prioritize quality of life, tranquility, and proximity to nature. Ras Al Khaimah has responded swiftly to these demands. Al Hamra Village, a waterfront community with a golf course, marina, and resort hotels, has become one of the region's best-performing residential areas.

The villa prices have risen not only for five-bedroom luxury homes but for all villa types. Although the supply remains relatively tight, the demand has stayed steady, further driving up prices.

Strengthening Apartment Market

Interest in apartments has also surged. In Al Hamra Village, apartment prices per square meter increased by more than 30 percent in 2025, while on the artificial Al Marjan Island, this figure surpassed 21 percent.

The highest demand remains in established communities such as Royal Breeze, Al Hamra Marina Residences, and Bab Al Bahr. These residential areas are close to the sea, feature developed infrastructure, and offer attractive opportunities for both buyers seeking personal use and investors.

Al Marjan Island: The Next Growth Hotspot

In 2025, Al Marjan Island received special attention from investors. One of the main reasons is the continuous rise in property values on the island, fueled partly by infrastructural developments and upcoming large projects – including Wynn Marjan Island.

Mid-range and high-end apartments are being constructed on the island, already attracting international buyers who trust in the long-term value growth of the area. Current prices remain competitive compared to other emirates, making the region seen as an early entry opportunity by many.

Outstanding Rental Yields

In 2025, Ras Al Khaimah has become an attractive destination not only for value appreciation but also for rental yields. According to Bayut data, the community of Yasmin Village features apartment rental yields exceeding 12 percent annually, which stands out across the UAE.

Well-known freehold areas like Al Hamra Village and Al Marjan Island also offer stable yields of 5.5-5.8 percent, ensuring both value growth and income.

In non-freehold areas, villa yields are also notable. For instance, in Shamal Julphar, annual yields reached 6.35 percent, while in the Julfar district, this figure was close to 5.8 percent.

Rising Rental Costs

Rental prices also increased across various parts of Ras Al Khaimah in 2025. In Al Hamra Village, average apartment rents went up by as much as 14 percent, while on Al Marjan Island, this rate approached 10 percent. This increase is primarily due to demand for waterfront living, community spaces, and services.

The residential area of Mina Al Arab showed particularly strong rental price growth for one- and two-bedroom apartments, indicating that people value the proximity to leisure opportunities and the coastline.

Increased Supply and Developer Confidence

According to Bayut's report, the supply available in certain villa zones has increased, suggesting that developers are becoming more active and confident in selling new homes. Falcon Island, for instance, had significantly more new listings in 2025 than in previous years.

Nonetheless, the new supply did not weaken prices, as the demand was capable of absorbing the increase. Maintaining market balance and price stability could be a cornerstone for future growth.

Ras Al Khaimah at the Threshold of a New Era

Ras Al Khaimah's real estate market has entered a new phase of development. With relatively low entry prices, improving market liquidity, high rental yields, and numerous tourism and infrastructure projects, the emirate is becoming an increasingly attractive investment destination.

The growing number of waterfront developments, family-friendly communities, and the demand for a modern lifestyle all suggest that Ras Al Khaimah will soon catch up with larger emirates – including Dubai – in the real estate market.

Based on 2025 experiences, it can be stated that investors are buying not only in hopes of quick profits but are entering a long-term valuable and profitable market. This trend is expected to continue into 2026.

(The article is based on new data published by Bayut.)