New Off‑Plan Properties in Dubai: Data, Trends & Investment Insight

Dubai’s off‑plan real estate market is booming, driven by robust investor interest, government incentives, and visionary urban planning under the Dubai 2040 Master Plan.

Market Momentum & Scale​

Surging transaction volume: In Q2 2025, off‑plan sales reached 35,700 transactions—approximately 72–73% of total residential sales—with a 60–62% year‑on‑year growth from Q2 2024 

2024–25 boom: Off‑plan transaction volumes jumped ~60% in 2024, reaching 109,527 deals worth AED 228 billion (≈ US $62 billion)

Early 2025 dominance: January–May 2025 saw AED 90 billion in off‑plan sales (~40,500 deals), representing ~38% of total property sales

Price & Yield Trends

Price appreciation: Average off‑plan price per sq.ft rose ~19% YoY in Q2 2025—reaching AED 1,667 (villa: AED 1,503; apartment: AED 1,831)

Capital value surges: The ValuStrat index recorded a 25.9% annual increase in March 2025 (apartments +21.4%, villas +30.3%)

Strong rental returns: Gross yields post‑handover typically reach 8–10%, with IRRs of 12–14%; early investors often realize 20–30% gains during construction

What Buyers Want

Property type mix

  • Apartments dominate (~87% of Q1 2025 off‑plan deals)
  • Townhouse transactions grew 51% YoY; villa sales surged nearly 176% YoY in Q1 2025

Unit preferences

  • Studio & 1‑bed accounted for ~59% of Q1 2025 off‑plan deals
  • Mid‑sized 3–4‑bed homes saw strong demand; 5‑bed+ luxury units declined to <1% of volumes

 

Hot Off‑Plan Locations

Top-performing areas (Q2 2025 off‑plan volume share):

  • Jumeirah Village Circle (9%)
  • Damac Island City (7–9%)
  • Business Bay (4.8–5.2%)

Other notable zones: Dubai Production City (6.1%), Dubailand (4.6%), Uptown Motorcity (5.9%).

Developer Landscape

Market leaders:

  • Emaar leads Q2 2025 off‑plan sales (~13–14% share), followed closely by Damac (~13%), Sobha (7–9%).

Quality attracts buyers:

  • In Q1 2025, Emaar’s off‑plan sales were nearly equal to the next six developers combined — underscoring the importance of brand trust.

Macro Factors & Urban Planning

Population surge: Dubai aims to grow from 3.3 M in 2020 to 5.8 M by 2040 — about 90,000 new residents per year

Housing pipeline: 73,000 new homes expected in 2025, targeting a total of 300,000 by 2028 to meet demand.

Q1 2025 launches: Over 30,000 new units introduced just in Q1, contributing to 81,000 off‑plan units due by year-end .
Sustainability trends: Eco-friendly buildings now account for 35% of sales (up from 15% in 2020), consuming 20% less water and energy .

Why Investors Are Buying Off‑Plan in Dubai

Attractive pricing & returns

Early entry prices, flexible 50/50 or 10/90 payment plans, and handover premiums.

Developer perks

DLD fee waivers, extended payment schedules, buyback/rental guarantees.

Infrastructure-led growth

Projects tied to the 2040 Master Plan, expanding transit, and new economic districts.

Visa & tax incentives

Investor visas, 0% property/capital gains tax, and rising rental yields.

Takeaway for Buyers & Investors

Dubai’s off‑plan market is thriving on multiple fronts: explosive sales growth, strong price appreciation, emerging family-friendly formats, and disciplined master planning. Whether you’re targeting high-yield apartments or mid-market townhouses in prime locations like JVC, Business Bay, or Damac Island, the city’s off‑plan segment offers compelling opportunities.

FAQs – New Off-Plan Properties in Dubai

An off-plan property is a real estate project that is sold before construction is completed. Buyers often benefit from lower prices and flexible payment plans.

Yes. Off-plan properties offer high potential returns, early entry pricing, and are popular among investors for capital appreciation and rental income.

Absolutely. Foreigners can buy off-plan properties in designated freehold areas with full ownership rights.

Main risks include construction delays or changes in market conditions. Choosing a reputable developer helps minimize these risks.

Most developers offer flexible payment plans such as 10/90, 20/80, or 1% monthly installments, with the bulk due on handover.

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