Dubai Sets New Records in Ultra-Luxury Residential Real Estate

Dubai continues to strengthen its position as one of the world’s leading hubs for ultra-luxury residential property. According to the latest data published by Knight Frank, transactions involving homes priced above $10 million reached a historic $9.05 billion in 2025, driven by 500 completed sales. This signifies a 27.7% year-on-year increase, placing the emirate well ahead of traditional luxury residential markets.

Global capital flows into Dubai

This surge is underpinned by a powerful combination of structural advantages: macroeconomic stability, an attractive tax environment, global air connectivity, legal security, and an increasingly refined residential offering aligned with the highest international standards. Dubai continues to attract ultra-high-net-worth individuals from the Middle East, Europe, Asia, and North America, all seeking prime assets in strategic locations with long-term value potential.

Palm Jumeirah remains the epicentre of ultra-luxury

In the fourth quarter of the year, Palm Jumeirah once again led the market, recording 28 transactions above the $10 million threshold. This iconic location has become one of the most coveted residential destinations globally, combining architectural innovation, direct waterfront living, privacy, and a lifestyle supported by world-class amenities.

Other prime developments are also gaining momentum, including branded residences, design-led towers with integrated hospitality services, and new waterfront projects that are redefining contemporary luxury living.

A structural, long-term trend

The expansion of Dubai’s ultra-luxury residential segment is not viewed as a short-term spike. Knight Frank analysts highlight a parallel rise in transactions above $25 million, pointing to deeper market maturity and increasingly sophisticated demand at the very top end of the price spectrum.

Dubai is now widely regarded as a credible option to long-established luxury markets, offering greater transactional agility, favourable fiscal conditions, and an unmatched capacity for urban and architectural innovation.

A future-looking outlook

Looking ahead, Dubai is expected to further reinforce its role as a global capital of high-end real estate. Large-scale urban developments, sustained infrastructure investment, international talent inflows, and a clear vision of the city as a future-focused global hub continue to attract luxury capital at scale.

For ultra-high-net-worth buyers and investors, Dubai has evolved into a mature, ambitious market with a global outlook—one that is reshaping the dynamics of ultra-luxury residential real estate worldwide.