Dubai real estate market shows maturity with 40% of home sales below Dh1 million, highlighting a shift toward affordability. The ValuStrat Price Index rose 6.7% quarterly and 28.9% annually, reaching 190.1 points.

Freehold villa values have doubled since 2020 while most apartments except in Palm Jumeirah have not yet matched these gains. Villa values stand at 243.2 VPI points growing 33.1% year-on-year. Prime properties increased by 30.7% annually with the prime villa market hitting 248.8 points.

New construction remains strong with 35,524 units expected this year. Off-plan registrations soared to 32,968 transactions up 97% year-on-year while ready home sales rose to 12,883 with 41% under Dh1 million.

The market is leaning towards mid-market and affordable apartments fuelled by population growth and lower interest rates.