Dubai’s luxury residential market has continued to impress in 2024, recording a new milestone for $10 million-plus home sales, despite facing broader macroeconomic challenges.
According to the latest analysis by global property consultant Knight Frank, the city saw 435 transactions in this high-end segment, slightly surpassing the 434 sales registered in 2023.
The fourth quarter alone accounted for a record 153 of these high-value sales, marking the strongest quarter for Dubai’s luxury real estate market.
Faisal Durrani, partner and head of research, MENA, at Knight Frank, attributed the city’s enduring appeal to its growing status as an international wealth hub.
He noted that developers have struggled to keep up with the pace of demand for ultra-luxury residences, reflecting Dubai’s increasing attractiveness to the global super-rich.
“Dubai’s magnetic attraction is evident in the fact that the city’s population surpassed 3.8 million in 2024, with a 4.6% increase of approximately 170,000 people over the course of the year, which further fuels the demand for housing across all price ranges,” Durrani explained.
Luxury villa prices, in particular, saw significant growth, rising by 20.2% last year, and nearly doubling from the first quarter of 2020. The rapid appreciation in values reflects the resilience of the emirate’s real estate sector, despite global economic headwinds.
Palm Jumeirah continued its reign as Dubai’s luxury sales hotspot, accounting for 127 sales, or 29% of the total high-end market transactions in 2024.
These deals amounted to nearly $2.3 billion in property sales, representing 32.5% of the market’s total value. Palm Jebel Ali, a newer development, also saw increased traction with 36 transactions.
Emirates Hills secured the second spot in terms of value, with $514.5 million in luxury property sales. Other key areas such as Jumeirah Bay Island, District One, and Dubai Hills Estate followed closely, contributing to 6-7% of the total luxury market sales by value.
Villas dominated the market, comprising 68.5% of all luxury transactions. Petri Mannila, partner and head of prime residential at Knight Frank, emphasized that Dubai’s emergence as a global leader in luxury home sales is impressive, especially considering the relatively young age of its high-end property market.
“Dubai’s surge in luxury home sales aligns with the influx of ultra-rich residents relocating with their families and businesses. The city’s rapid growth is supported by both local and international demand,” Mannila said.
Notably, 52% of the luxury sales in 2024 were in the primary, or off-plan, market, indicating that new developments are a significant driver of the sector’s growth.
The top three developers—Omniyat, Nakheel, and Emaar Properties—accounted for nearly half of these high-value transactions.
While the supply of luxury properties has been shrinking since mid-2023, as developers face challenges meeting the overwhelming demand, Dubai’s high-end real estate market has defied expectations.
With strong demand from the emirate’s elite and wealthy international buyers, Dubai’s luxury residential sector shows no signs of slowing down anytime soon.