UAE Property Market Surging: Dubai & Ras Al Khaimah

Dubai and Ras Al Khaimah's Residential Market Soars in Q3 2025

The residential real estate market in the United Arab Emirates continues its strong growth trajectory, with Dubai and Ras Al Khaimah standing out amid current trends. According to the latest data for the third quarter of 2025, the market is becoming increasingly attractive to both local and international investors. The expanding population, rising investor confidence, and infrastructural developments all contribute to the growth in real estate activity.

Dominance of Off-plan Sales in Dubai

Dubai's residential real estate market continues to exhibit dynamic growth: in the third quarter of 2025, 55,300 residential transactions were recorded, representing a 17.1% year-on-year increase. Within this, off-plan sales, meaning projects still under construction, have become the primary driver, accounting for 76% of the total market. These types of sales reached 42,000 units, marking a 23.6% increase compared to the same period last year, and an 18.1% rise from the previous quarter. This is notable, especially given the slowdown in launching new projects during this period.

Dubai Investments Park – Affordable Living and High Returns Hand in Hand

Within the Dubai market, Dubai Investments Park (DIP) deserves special attention. Its proximity to Jebel Ali and Expo City, along with excellent infrastructure, make the area increasingly popular among middle-class families and investors seeking high returns. Apartments, townhouses, and villas here fit well with mid-range pricing, while rental returns range between 9% and 11%, an outstanding figure in the Dubai real estate market.

Development in the area is receiving a further boost from the Verdana 8 and Verdana 9 projects launched by Reportage Group. These developments further strengthen the existing Verdana community, which is increasingly becoming a fully-fledged, modern, family-friendly residential area. The project aims to provide long-term value-adding, timeless homes for future residents.

Dubai's Investment Advantages Remain Globally Appealing

Dubai is increasingly coming to the fore not just locally but also globally as an investment destination. Tax-free earnings, high returns, the availability of the golden visa program, and world-class healthcare, education, and infrastructure all contribute to the city offering a safe, stable, and profitable environment for investors. The Verdana 8 and 9 projects are an integral part of this environment and reinforce the goal of offering affordable yet quality living.

Ras Al Khaimah – Al Marjan Island in the Spotlight

Not only Dubai is showing remarkable growth, but Ras Al Khaimah too, particularly the Al Marjan Island residential area. Apartment prices here rose by 16.8% year-on-year in the third quarter of 2025, marking the largest increase in the region. Additionally, quarterly growth was 6.3%, further enhancing interest in the island.

Positive trends throughout Ras Al Khaimah include the overall increase in apartment prices: 15.5% year-on-year and 4.9% compared to the previous quarter. As a result, the ValuStrat Price Index (VPI) for apartments reached 122.0 points, compared to the baseline of 100 measured in the first quarter of 2024.

The areas of Al Hamra and Mina Al Arab also posted significant annual growth: the former showed a 14.8% increase, the latter a 13.6% value increase in the apartment market.

Mondrian Al Marjan Island – Elevating Luxury Living to New Heights

In response to the property market boom in Ras Al Khaimah, the Mondrian Al Marjan Island Beach Residences, created in partnership between ELEVATE and Ennismore, has opened its doors to interested parties. The project's unique character comes from interiors designed by Gensler and Bergman Design House, along with Ennismore's creative lifestyle brand.

The development includes 343 residential units and aims to become the lifestyle hub of Al Marjan Island. The designers envision a unique living space deeply connected to the sea, where design, art, gastronomy, and community experience come together.

Closing Thoughts

The United Arab Emirates' residential real estate market maintained its momentum in the third quarter of 2025, thanks to a stable economic environment, predictable regulatory framework, and investor confidence. The examples of Dubai and Ras Al Khaimah also show that demand for off-plan sales and lifestyle-oriented developments continues on a growth trajectory.

Those entering the market now are not just purchasing a property but becoming part of a long-term value-creating process—whether it's Dubai's mid-range investment zones or Ras Al Khaimah’s exclusive island projects.

(Source: Cavendish Maxwell Report.)