Dubai’s real estate marketcontinues its remarkable trajectory, experiencing a surge fueled by evolving investor and tenant preferences. According to the latest market insights from Property Finder, February saw a staggering 35% year-on-year increase in transactions, totaling 16,099 deals, alongside an impressive 55% growth in total market value, reaching Dh51.1 billion.

This surge underscores the strength and resilience of Dubai's property sector, further solidifying its position as a global real estate powerhouse.

A Shift Toward Smaller Apartments in Prime Locations

The apartment market remains a significant driver of this growth, with a notable trend toward compact living spaces. A substantial 71% of apartment buyers are now favoring smaller units, with 34% opting for one-bedroom apartments and 37% leaning toward two-bedroom configurations. Studio apartments maintain a steady demand at 13%, reflecting a balance between affordability and practicality.

The most searched-for areas include Dubai Marina, Downtown Dubai, Palm Jumeirah, and increasingly, the luxurious villa communities of Jumeirah Islands and Jumeirah Park. These areas combine luxury, lifestyle, and connectivity, making them prime locations for discerning investors and residents. The data shows that fäm Properties is seeing growing interest in these prestigious communities, reflecting a broader trend toward high-yield, premium properties in these coveted areas.

Villa Demand Surges in Established Communities

While smaller apartments dominate the transaction volumes, the demand for villas remains robust, especially in well-established, family-friendly communities. A remarkable 86% of villa buyers are focusing on three-bedroom (39%) and four-bedroom-plus properties (47%), signaling an increasing preference for spacious homes.

The most sought-after villa communities now include Jumeirah Islands, Jumeirah Park, Emirates Living, Dubai Hills Estate, and Al Furjan, each known for their high-end living experiences, premium infrastructure, and strong return on investment (ROI).

As a leading player in Dubai’s real estate sector, fäm Properties has been at the forefront of facilitating high-value transactions in these communities. We’ve experienced firsthand the growing interest in Jumeirah Islands and Jumeirah Park, fueled by lifestyle aspirations, increasing expatriate families, and the city’s evolving real estate landscape.

At fäm Properties, we leverage our deep market insights and data-driven approach to guide investors toward the best opportunities in these premier villa communities.

Tenant Preferences: Furnished Apartments & Space for Families

Dubai's rental market is also witnessing a significant transformation. A growing number of tenants are opting for furnished apartments, with demand rising to 64% from 45% in the previous year. This trend reflects an increasing number of expatriates and business professionals seeking convenience and flexibility. Notably, studios and one-bedroom apartments are leading the rental demand, accounting for 20% and 36% of searches, respectively.

On the villa rental side, the shift towards fully furnished properties is gaining momentum, with demand reaching 42%, up from 36% last year. Families seeking long-term rentals are particularly drawn to areas like Jumeirah Islands, Jumeirah Park, Dubai Hills Estate, and Al Furjan, where spacious homes and community amenities create an ideal living environment.

At fäm Properties, we have strategically adapted our portfolio to cater to these evolving tenant needs. Our dedicated leasing team ensures that both landlords and tenants are equipped with flexible solutions, maximizing occupancy rates and rental yields in premium communities like Jumeirah Islands and Jumeirah Park.

The Off-Plan Boom and Future Market Outlook

Another critical driver of Dubai’s real estate expansion is the booming off-plan sector. February recorded a staggering 57% increase in off-plan transactions, amounting to Dh20.5 billion. Developments in Wadi Al Safa 5 and Al Yufrah 1 led this growth, reflecting investors' confidence in Dubai’s long-term vision.

For fäm Properties, this presents an opportunity to further strengthen our role in off-plan advisory. Our extensive partnerships with top developers ensure that our clients gain exclusive access to the most lucrative projects before they hit the mainstream market. This includes projects in prime villa communities like Jumeirah Islands and Jumeirah Park, where we are helping investors secure early access to the best off-plan opportunities.

How fäm Properties is Adapting to Market Trends

Given these evolving market trends, fäm Properties is strategically refining its approach:

• Targeting High-Demand Villa Communities: With an increasing preference for villas in Jumeirah Islands, Jumeirah Park, Emirates Living, Dubai Hills Estate, and Al Furjan, we are intensifying our marketing efforts to showcase premium listings in these areas. Our in-depth market research ensures that investors and end-users receive tailored recommendations that align with their needs.
• Strengthening the Off-Plan Investment Portfolio: As the off-plan sector gains momentum, we are leveraging our developer relationships to offer clients early-bird access to upcoming projects in Jumeirah Islands and Jumeirah Park. This ensures our investors capitalize on the best price points and flexible payment plans.
• Enhancing Tenant and Landlord Services: With the shift toward furnished rentals, we are actively advising landlords to furnish their properties to maximize their rental yield. Our property management division is also introducing more flexible leasing options to cater to Dubai’s transient expatriate population.
• Leveraging Data-Driven Insights: At fäm Properties, we utilize cutting-edge AI-powered analytics to track real-time market trends. This allows us to offer strategic insights to both investors and tenants, ensuring they make informed, profitable decisions—especially for those interested in prime areas like Jumeirah Islands and Jumeirah Park.
• Expanding Digital and Social Media Marketing: Recognizing the growing influence of digital platforms in real estate transactions, we are doubling down on our digital marketing efforts. Our social media and online campaigns are designed to reach high-net-worth individuals and international investors looking to enter Dubai’s thriving property market. This includes spotlighting luxurious listings in Jumeirah Islands and Jumeirah Park to attract the right buyers and tenants.

Final Thoughts

Dubai's real estate boom is being shaped by a mix of investor strategies, shifting tenant preferences, and the city’s relentless drive for growth. The surge in apartment sales, increased villa demand in premium communities like Jumeirah Islands and Jumeirah Park, and the off-plan market’s unprecedented growth all point toward a dynamic and maturing landscape.

At fäm Properties, we are not just witnessing these changes; we are driving them. Our commitment to data-driven strategies, client-centric services, and innovative marketing ensures that we remain at the forefront of Dubai’s real estate evolution. As investors, tenants, and developers navigate this ever-changing market, fäm Properties remains their trusted partner, delivering expertise, value, and unparalleled opportunities in prime locations like Jumeirah Islands and Jumeirah Park.

Navigate Dubai's dynamic real estate market with confidence. Contact us today to explore your options and make informed investment decisions.