A surge of private capital from Singapore and other global wealth centers is propelling Dubai’s luxury real estate market to new heights, with property transactions across all sectors exceeding US$207 billion in 2024, according to the latest Destination Dubai report by Knight Frank.
High-net-worth individuals (HNWIs) from Singapore, along with peers from India, Saudi Arabia, the UK, and Hong Kong, are among those driving unprecedented demand for Dubai homes—particularly those priced above US$10 million.
In total, 435 such ultra-prime sales were recorded in 2024, making Dubai the world’s busiest market in this bracket for the second consecutive year. An additional 111 homes sold for over US$10 million in the first quarter of 2025, the highest on record for that period.
A survey conducted in partnership with YouGov among 387 global HNWIs, including East Asians from Singapore and China, revealed over US$10.3 billion in private capital is poised to enter Dubai’s residential market.
Among these, 61% of East Asian HNWIs identified Dubai as their preferred emirate, citing branded residences and beachfront villas as primary targets.
By March 4, 2025, Dubai’s home sales had already hit AED100 billion—marking the fastest start to any year. Residential values climbed 19.1% year-on-year to AED1,685 per square foot, exceeding the 2014 peak, while villa prices surged nearly 20% to AED2,088 psf, more than doubling from Q1 2020.
Dubai Marina remains the top choice for prospective buyers, followed by Dubai Hills Estate and Emirates Hills. Among the ultra-rich (net worth > US$50 million), 43% identified Dubai Marina as their preferred location.
The appetite for custom luxury is also rising. Knight Frank reports that 83% of global HNWIs are now interested in buying land in Dubai to construct bespoke residences, underscoring a shift toward genuine end-user demand rather than speculative buying.
The average budget allocated by HNWIs for property in Dubai is US$32 million. Singaporean and East Asian buyers, while reporting slightly lower budgets on average compared to Saudi and Indian counterparts, remain highly active in the super-prime market, with strong interest in sustainable and brand-aligned properties.
The report notes that Dubai’s maturing real estate cycle, supported by robust investor confidence, lifestyle appeal, and infrastructure improvements, continues to attract elite global capital—particularly from Asia-Pacific wealth hubs like Singapore.
Business News Asia