Foreign Investors Fuel Dubai Apartment Boom as Sales Hit AED 40.5 bn in August

Dubai’s apartment market delivered a standout performance in August 2025, with total sales soaring to AED 40.45 billion, a remarkable 6% year-on-year rise, according to the latest data from the Dubai Land Department (DLD)

Global Buyers Driving the Surge

The real estate agency reported powerful demand from international buyers, particularly from South Korea, South Africa, Australia, and Canada, helping to propel apartment sales higher. This surge underscores Dubai’s continuing appeal as a global investment destination

Apartments Dominate Transactions

Apartments accounted for 89% of all real estate transactions by volume and 71% by value, surpassing interest in villas and townhouses. Such dominance signals a shift towards more accessible high-density living in prime parts of the city

Rental Market Echoes the Boom

Lease activity also accelerated dramatically. Apartment rental values surged 43%, and the number of leasing transactions jumped 48% compared with July. Hotspots included Downtown Dubai, Dubai Marina, Business Bay, Town Square, and Jumeirah Lakes Towers

Notably, 49% of landlords now accept four or more cheques, a trend reflecting enhanced flexibility and tenant convenience.

“Even in August, a month often associated with a lull in activity, Dubai’s apartment market has proven to be a cornerstone of the city’s real estate strength”

Population Momentum Supporting Demand

The surge in both sales and rentals comes as Dubai’s population recently passed the 4 million mark, up 1.5 million over the past decade, a powerful tailwind reinforcing sustained demand from both investors and residents.

Insight	Key Highlight
Apartment Sales (Aug)	AED 40.45 bn (+6% YoY)
Motivating Buyers	South Korea, South Africa, Australia, Canada
Market Share	89% of transaction volume, 71% by value
Rental Market Growth	Rents +43%, leases +48% MoM
Top Rental Areas	Downtown, Marina, Business Bay, Town Square, JLT
Population Milestone	Dubai residents surpass 4 million

Bottom Line

Despite August’s seasonal slowdown, Dubai’s apartment market delivered a stellar performance, powered by global buyers, surging rental activity, and strong demographic growth. With apartments dominating both sales and leasing, Dubai remains a powerhouse for residential real estate investment.