Authored by the expert who managed and guided the team behind the UAE Property Pack
Yes, the analysis of Dubai's property market is included in our pack
Dubai's apartment market shows remarkable growth with average prices reaching AED 1,313 per square meter as of September 2025.
The emirate's residential property sector continues to attract international buyers seeking both investment opportunities and luxury living options, with prices varying significantly between premium districts like Palm Jumeirah and emerging neighborhoods like Jumeirah Village Circle.
If you want to go deeper, you can check our pack of documents related to the real estate market in Dubai, based on reliable facts and data, not opinions or rumors.
Dubai apartment prices average AED 1,313 per square meter, with studios starting from AED 400,000 in budget areas and luxury units in Palm Jumeirah reaching AED 9.5 million.
The market shows strong growth momentum with 10-12% annual increases and favorable investment conditions including no property taxes or capital gains tax.
| Apartment Type | Average Price (AED) | Prime Location Example |
|---|---|---|
| Studio | 400,000 - 1,560,000 | Palm Jumeirah: AED 1.56M |
| 1-Bedroom | 700,000 - 3,000,000 | Downtown: AED 2M+ |
| 2-Bedroom | 1,200,000 - 4,400,000 | Marina: AED 2M+ |
| 3-Bedroom | 3,000,000 - 9,500,000 | Palm Jumeirah: AED 9.5M |
| Price per m² | AED 850 - 1,400 | Downtown: AED 1,400+ |
| Transaction Costs | 4% + fees | DLD registration + commission |
| Annual Growth | 10-12% | Luxury areas: higher increases |
Fact-checked and reviewed by our local expert
Jean-Charles Salvin 🇫🇷
Co-Founder, Best Dubai Condos
What is the current average price per square meter for apartments in Dubai?
Dubai's apartment market shows an average price of AED 1,313 per square meter as of September 2025.
This translates to approximately $5,464 per square meter for off-plan apartments based on current exchange rates. The price per square foot ranges between AED 1,100 to AED 1,400, depending on the specific location and whether the property is ready for immediate occupancy or still under construction.
These figures represent a significant increase from previous years, reflecting Dubai's strong economic growth and continued international investment appeal. Premium locations command substantially higher prices, while emerging neighborhoods offer more accessible entry points for first-time buyers.
The overall average apartment price stands at AED 1,879,798, which provides the basis for calculating the per-square-meter pricing across different property types and locations throughout the emirate.
How do average prices differ between studio, one-bedroom, two-bedroom, and larger apartments?
Dubai apartment prices vary dramatically based on size and configuration.
| Apartment Type | Average Price (AED) | Budget Areas | Premium Areas |
|---|---|---|---|
| Studio | 709,000 | 400,000 - 700,000 | 1,560,000 (Palm Jumeirah) |
| 1-Bedroom | 1,100,000 - 1,560,000 | 700,000 - 1,000,000 | 3,000,000+ (Downtown) |
| 2-Bedroom | 2,377,000 | 1,200,000+ | 4,400,000+ (Marina) |
| 3-Bedroom | 3,000,000+ | 2,000,000+ | 9,500,000 (Palm Jumeirah) |
| Larger Units | 4,400,000 - 9,500,000 | 3,500,000+ | 15,000,000+ (Ultra-luxury) |
What are the most expensive areas for apartments in Dubai right now?
Dubai's luxury apartment market centers around six prime locations that command the highest prices in the emirate.
Palm Jumeirah leads as the most expensive area, with studios starting at AED 1.56 million and three-bedroom apartments reaching up to AED 9.5 million. Downtown Dubai follows closely with one-bedroom apartments typically starting above AED 2 million and two-bedroom units exceeding AED 3 million.
Dubai Marina maintains its position among premium locations, particularly for waterfront properties with yacht access and stunning views. Jumeirah Bay Island represents ultra-luxury living with limited inventory and exceptional price points reflecting its exclusivity.
Dubai Hills Estate and Bluewaters Island complete the top tier of expensive neighborhoods, offering modern developments with world-class amenities and strategic locations that justify their premium pricing structures.
Which neighborhoods are considered upcoming or budget-friendly for apartment buyers?
Several Dubai neighborhoods offer affordable entry points while showing strong potential for future appreciation.
1. Jumeirah Village Circle (JVC) - Studios from AED 400,000 with excellent community amenities2. Arjan - Family-friendly environment with competitive pricing and good connectivity3. Dubai South - Strategic location near Al Maktoum Airport with significant development potential4. Al Furjan - Established community with metro access and reasonable pricing5. Dubailand/Studio City - Entertainment district with diverse property options and growing infrastructureThese areas typically offer price per square foot starting from AED 850-1,100, significantly lower than premium districts. They provide excellent opportunities for first-time buyers and investors seeking rental income potential with lower initial capital requirements.
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How have average apartment prices changed compared to one year ago?
Dubai's apartment market experienced substantial growth over the past twelve months with prices increasing by 10-12% year-on-year.
Luxury areas showed even higher appreciation rates, with some premium developments in Palm Jumeirah and Downtown Dubai recording increases exceeding 15%. This growth reflects continued international investor confidence and strong demand from both residents and investment buyers.
The consistent price appreciation demonstrates the market's resilience and Dubai's position as a global investment destination. Most apartment categories participated in this growth, though luxury properties and well-located units showed the strongest performance.
These increases occurred despite global economic uncertainties, highlighting Dubai's unique market dynamics and the effectiveness of government initiatives supporting real estate investment and residency programs.
How do today's prices compare with five years ago?
Dubai apartment prices show remarkable recovery and growth when compared to five years ago, with increases of 30-40% across most market segments.
The period from 2020-2025 marked a significant transformation in Dubai's property market. The initial COVID-19 impact in 2020-2021 created temporary price adjustments, followed by an extraordinary recovery period that exceeded pre-pandemic levels.
This five-year appreciation reflects fundamental market changes including new visa programs, increased foreign investment, improved infrastructure, and Dubai's enhanced global positioning. The growth trajectory demonstrates sustained demand and successful economic diversification efforts.
Premium areas like Palm Jumeirah and Downtown Dubai showed the strongest five-year performance, while emerging neighborhoods also participated significantly in the overall market appreciation cycle.
What are the forecasts for apartment prices in the next one year, five years, and ten years?
Dubai's apartment market outlook remains positive across all time horizons with varying growth expectations.
For the next twelve months, industry analysts project continued price increases of 5-8% for apartments, supported by ongoing demand and limited supply in prime locations. This represents a moderation from recent double-digit growth rates but maintains positive momentum.
The five-year forecast indicates moderate but steady appreciation driven by inflation, sustained demand, and government infrastructure investments. Market fundamentals support continued growth, though rates may normalize from current elevated levels.
Looking ahead ten years, Dubai's substantial investment in new infrastructure, Expo legacy projects, and tourism expansion positions the market for further value appreciation. Long-term growth rates are expected to stabilize while maintaining positive trajectory aligned with economic diversification goals.
What are the total costs of purchasing an apartment, including fees, taxes, and registration?
Dubai apartment purchases involve several mandatory costs beyond the property price.
The Dubai Land Department registration fee represents the largest additional cost at 4% of the purchase price, payable upon property transfer. For off-plan properties, buyers pay an Oqood registration fee of AED 5,250 to secure their purchase during construction.
Agency commission typically amounts to 2% of the purchase price, while the DLD administrative fee adds AED 580 to transaction costs. If financing the purchase, mortgage registration requires 0.25% of the loan amount.
Additional costs include developer NOC fees ranging from AED 500-5,000, property valuation fees of AED 2,500-3,500, and ongoing maintenance charges. Dubai notably imposes no property purchase tax or capital gains tax, making it attractive compared to many international markets.
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We did some research and made this infographic to help you quickly compare rental yields of the major cities in the UAE versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
How does mortgage availability and interest rate affect the overall cost of buying an apartment?
Dubai offers comprehensive mortgage financing options that significantly impact apartment purchase affordability.
Banks typically provide loan-to-value ratios of 70-80% for expatriate buyers and up to 85% for UAE citizens, requiring down payments of 15-30% depending on citizenship status. Mortgage terms extend up to 25 years, allowing buyers to spread costs over extended periods.
As of September 2025, interest rates range from 3.75-5.0% for fixed-rate mortgages, with variable rates slightly lower but less commonly chosen. These rates directly affect monthly payments and total cost of ownership over the loan period.
Mortgage eligibility requirements include minimum salary thresholds, debt-to-income ratios, and documentation standards that can limit access for some buyers. Higher interest rates or stricter eligibility criteria reduce market demand and affordability, while favorable lending conditions stimulate apartment sales activity.
What are example purchase prices for apartments in different areas and sizes?
Dubai apartment prices vary significantly based on location and size, offering options for different budget levels.
| Area | Studio (AED) | 1-Bedroom (AED) | 2-Bedroom (AED) |
|---|---|---|---|
| JVC/Arjan | 400,000 - 700,000 | 700,000 - 1,000,000 | 1,200,000+ |
| Business Bay | 900,000 - 1,300,000 | 1,300,000 - 2,000,000 | 2,000,000+ |
| Downtown Dubai | 1,200,000+ | 2,000,000+ | 3,000,000+ |
| Dubai Marina | 1,000,000 - 1,500,000 | 1,800,000 - 2,500,000 | 2,500,000+ |
| Palm Jumeirah | 1,560,000 | 3,000,000 | 4,400,000 - 9,500,000 |
Which apartment investments make the most sense for living, renting out short-term, renting long-term, or buying to resell later?
Different Dubai neighborhoods and apartment types suit specific investment strategies and personal use cases.
For personal residence, Business Bay, Downtown Dubai, and Dubai Hills Estate offer optimal combinations of modern amenities, central locations, proximity to schools and hospitals, and strong community infrastructure that supports comfortable daily living.
Short-term rental investments perform best in Downtown Dubai, Palm Jumeirah, and Dubai Marina due to highest tourist demand and premium Airbnb rates. These areas attract international visitors willing to pay premium prices for luxury accommodations and iconic locations.
Long-term rental strategies succeed in JVC, Arjan, and Al Furjan where steady demand from residents provides consistent rental income with higher yields relative to purchase prices. These family-friendly communities attract long-term tenants seeking value and convenience.
Buy-to-resell strategies favor Downtown Dubai, Palm Jumeirah, and selected off-plan projects in emerging areas like JVC that offer higher price appreciation potential and strong resale demand from both investors and end-users.
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How do average prices per square meter in Dubai compare with those in other major global cities?
Dubai's apartment pricing positions the emirate competitively within the global luxury real estate market.
At approximately $5,464 per square meter, Dubai apartments cost significantly less than tier-one global cities like London, Hong Kong, New York, Singapore, and Paris, where prices typically range from $10,000 to $35,000 per square meter in prime locations.
This pricing advantage makes Dubai attractive for international buyers seeking luxury living standards and investment potential at more accessible price points compared to traditional global financial centers. The emirate offers modern infrastructure, tax benefits, and lifestyle amenities competitive with much more expensive markets.
Within the regional context, Dubai commands premium pricing compared to other Middle Eastern markets while remaining substantially more affordable than established Western luxury markets. This positioning supports continued international investment interest and price appreciation potential.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Dubai's apartment market demonstrates strong fundamentals with average prices of AED 1,313 per square meter and consistent year-over-year growth of 10-12%.
The emirate offers diverse investment opportunities from budget-friendly studios in emerging areas starting at AED 400,000 to luxury units in Palm Jumeirah reaching AED 9.5 million, supported by favorable financing conditions and zero property taxes.