Dubai Real Estate: Foreign Investors Drive Demand Amid Tightening Supply

The Dubai property market continues to defy gravity, with prime real estate prices climbing steadily throughout 2025. Fuelled by a wave of foreign capital, government-backed visa reforms, and a growing number of ultra-high-net-worth individuals (UHNWIs) relocating to the emirate, Dubai has become a global magnet for real estate investment.

According to data from the Dubai Land Department, residential property prices in prime areas — including Palm Jumeirah, Emirates Hills, and Jumeirah Bay — rose by over 15% year-on-year in H1 2025. The average transaction value for luxury units exceeded AED 25 million, driven largely by overseas buyers from Europe, Asia, and the CIS.

Who’s Buying: The New Investor Profile

The buyer profile in 2025 is more sophisticated and international than ever. Among the most active are tech entrepreneurs from India, wealthy families from London, and hedge fund managers from Zurich, all seeking long-term security and global mobility.

These investors are not simply acquiring second homes — they are establishing personal and financial bases in Dubai, encouraged by elite schooling, high safety standards, and ease of doing business. In many cases, relocation decisions include entire family offices, not just individuals.

Investors Eye Long-Term Residency

A key factor driving international interest is Dubai’s Golden Visa scheme. Foreign investors purchasing property worth AED 2 million or more are eligible for 10-year residency — a policy that has significantly reshaped the buyer profile in recent years. ” The Golden Visa has changed the narrative. Dubai is seen a place to settle, raise families, and build legacies,” says Sviatoslav Gavlitsky, Project Manager at Bosco Conference, organiser of the upcoming InvestPro Dubai 2025 conference.

He adds that geopolitical instability in traditional wealth hubs, combined with Dubai’s pro-business environment, 0% income tax, and strong rule of law prompts family offices and private investors to shift a larger share of their portfolios to the UAE.

Limited Supply, High Demand

While demand is surging, supply remains tight. Developers are cautious in releasing new inventory, especially in premium segments, leading to fierce competition for high-end properties. Off-plan projects are often sold out before breaking ground, with buyers locking in units as inflation hedges or future relocation options.

For investors, this means higher yields and strong capital appreciation. Rental returns in key districts such as Dubai Marina and Downtown average 6–8%, with ultra-luxury villas reaching double digits in some cases.

Spotlight: InvestPro Dubai 2025

In light of these trends, InvestPro Dubai 2025, taking place on 25 September at TAJ Dubai, will gather international experts, wealth advisors, and real estate professionals to discuss cross-border property investment strategies, asset protection, long-term residency options in the UAE, and many more, that interest them the most.

The event will attract over 300 participants, including developers, immigration agents, private bankers, and UHNWIs.

Register with a promo code IMGW to get a 10% discount: https://reg.bosco-conference.com/taezuy

More opportunities at:
InvestPro Turkiye Istanbul – September 29th
InvestPro India Mumbai – November 4th
InvestPro Greece Athens – December 3rd