Dubai has emerged as a premier destination for billionaires and millionaires seeking luxury homes, offering exclusivity, innovation, and strong investment potential. The city’s prime residential market is thriving, with capital values increasing by 6.8% and rents growing by a record 23.5% in 2024. This growth is driven by an influx of high-net-worth individuals and family offices moving to the UAE, attracted by Dubai’s political and economic stability, zero income tax policy, and world-class amenities.

Dubai’s luxury properties are priced competitively compared to other global hubs. For instance, prime property in Dubai averages around $930 per square foot, significantly lower than cities like Hong Kong ($3,860) and New York ($2,590). This affordability, combined with Dubai’s lifestyle offerings, makes it an attractive choice for those willing to trade smaller luxury apartments for spacious villas.

Andrew Cummings, Head of Residential at Savills, notes that Dubai’s prime market is distinct, with investors coming from Singapore, Monaco, and London. The city’s ability to innovate and set new standards in luxury living continues to attract ultra-high-net-worth individuals. They are drawn by Dubai’s world-class schools, healthcare facilities, and security, which provide a unique lifestyle that allows them to openly enjoy their wealth.

Dubai developers are enhancing their offerings with luxurious amenities such as branded interiors, high-end gyms, and even car-friendly residences. The city’s connectivity and central position in global wealth movements further solidify its appeal. As demand continues to rise, Dubai is expected to see significant growth in prime property prices, making it a leader in capital value appreciation.

In 2025, Dubai is forecasted to experience strong growth, with anticipated prime price increases of 8 to 9.9%. This growth, coupled with the city’s ongoing development of ultra-luxury properties, positions Dubai as a key player in the global real estate market.