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  • UAE Ultra-Wealthy Population Set to Surge 36% by 2031

    UAE Ultra-Wealthy Population Set to Surge 36% by 2031

    The UAE continues to cement its position as a global magnet for ultra-wealthy individuals, with Knight Frank forecasting a 36% increase in residents holding more than $30 million in assets over the next five years. The growth trajectory places the Emirates among the world’s fastest-expanding markets for high-net-worth individuals, driven by the country’s business-friendly environment and resilient real estate sector.

    Dubai’s luxury property market demonstrated exceptional strength, recording a 25.1% price increase in prime residential properties over the past year and a remarkable 193.9% surge over five years. The emirate secured second place worldwide for prime residential property price growth, reinforcing its appeal to international investors.

    Transaction activity in the ultra-luxury segment has accelerated sharply. Properties valued above $10 million witnessed a dramatic rise from 113 deals in 2021 to 500 transactions in 2025, reflecting sustained appetite for high-end assets despite global economic uncertainties.

    The UAE’s appeal as a business hub and the sustained strength of its real estate sector continue to attract high-net-worth individuals globally.

    The broader Middle East region recorded an average 9.4% increase in prime property prices during 2025, with Dubai’s performance serving as the primary catalyst. The city has emerged as a preferred destination in global wealth migration, often chosen over traditional centres such as New York and London for its stability, connectivity, and favorable business conditions.

    Abu Dhabi has gained momentum as a complementary investment destination, attracting international buyers through its expanding financial ecosystem and cultural institutions including the Louvre Abu Dhabi and the planned Guggenheim Abu Dhabi.

    The sustained influx of ultra-wealthy residents is expected to further stimulate demand across Dubai’s luxury property market, particularly in waterfront developments and prime locations. The trend aligns with broader patterns observed in the UAE’s residential sector, where buyer confidence has remained robust despite regional geopolitical challenges.

    Knight Frank’s forecast underscores the UAE’s transformation into a premier wealth hub, supported by investor-friendly policies, tax advantages, and world-class infrastructure that continue to differentiate the Emirates in an increasingly competitive global landscape.

  • Dubai Property Market Shows Resilience as Global Capital Flows Continue

    Dubai Property Market Shows Resilience as Global Capital Flows Continue

    Dubai’s real estate sector continues to demonstrate operational stability as developers, brokers and analysts report sustained investor interest across prime locations and luxury developments, with transaction activity maintaining momentum through the first weeks of March 2026.

    Firas Al Msaddi, chief executive of fäm Properties, emphasized the emirate’s track record of recovery following market disruptions. “I launched my company in Dubai in 2009 amid the global financial crisis, and have seen the market negotiate various geopolitical events since then,” he said. “Every single downturn in Dubai’s real estate history has been followed by a recovery that saw the market surpass the previous peak.”

    Market data supports this pattern. Sales value in Dubai’s property market rose from Dh71.5 billion in 2020 to Dh686.8 billion in 2025, while prices climbed approximately 60% and transaction volumes increased sixfold, according to DXBinteract data.

    Structural Advantages Support Demand

    Tauseef Khan, founder and chairman of Dugasta Properties, noted that core demand remains steady particularly for prime and well-located assets. “While short-term caution may reduce speculative activity, core demand from both regional and international investors often remains steady,” he said.

    Al Msaddi highlighted fundamental changes in market composition. “This moment is another test of Dubai’s resilience, and Dubai is well-equipped to pass the test again,” he said. “Over 70% of transactions are now end-user driven, not speculative. The buyer base is globally diversified, mortgage activity has doubled in four years, and the regulatory environment has matured.”

    The shift toward cash buyers has strengthened market stability. “Last year there were 129 villa transactions above Dh40 million totalling Dh11.5 billion,” Al Msaddi said. “Only around 55 were mortgaged.”

    Ultra-Prime Segment Shows Strength

    The luxury property segment continues to process high-value transactions without significant price adjustments. Khan confirmed that several major deals have closed at full asking prices. “The closure of high-value deals at full price shows continued confidence in Dubai’s real estate fundamentals, even through regional uncertainty,” he said.

    Abdullah Alajaji, founder and chief executive of Driven, Forbes Global Properties, noted that transaction evidence across prime and ultra-prime segments indicates stable pricing. “While opportunistic investors are actively screening for assets trading below intrinsic value, broad-based repricing has not been evidenced in current transaction data at this end of the market,” he said.

    Macroeconomic Backdrop

    The UAE’s strong fiscal position provides additional market support. S&P reaffirmed the country’s AA/A-1+ sovereign credit rating with a stable outlook in March 2026, highlighting consolidated net assets equivalent to 184% of GDP.

    Alajaji attributed recent market volatility to geopolitical events rather than structural issues. “Recent volatility in oil prices and global markets is likely to be cyclical rather than structural, largely reflecting current geopolitical escalation,” he said.

    Dubai’s economic diversification reduces direct correlation between oil prices and property demand, with non-oil sectors now accounting for approximately three-quarters of economic output.

    Market Data Timeline

    Industry experts cautioned that comprehensive impact assessment requires additional time. “Less than two weeks into the current conflict, it’s too early to give an overall assessment,” Al Msaddi said. “In real estate, transaction data takes 45 to 90 days to fully reflect actual sentiment from buyers, sellers and developers alike.”

    Current market indicators suggest balanced conditions. “Buyer demand is steady across most price ranges,” Al Msaddi said. “Sellers are being patient, buyers are being selective but committed, and that balance is holding.”

    The emirate’s regulatory framework continues to strengthen, with new building safety standards and shared housing regulations introduced in March 2026 to enhance market oversight and investor protection.

    Khan said geopolitical developments often reinforce Dubai’s regional positioning over time. “Geopolitical developments can initially introduce a degree of caution among investors, particularly in the speculative segment of the market,” he said. “However, over time, they often reinforce Dubai’s position as a stable investment destination within the region.”