First-time property buyers are making a major impact on Dubai’s real estate market in early 2025, helping sustain growth despite broader global uncertainties. Developers and agents report that younger residents—those living in Dubai for just 3-5 years—are investing in homes much earlier than before, where traditionally it took 10-15 years.

According to Riyad Magdy, Chairman of Oia Properties, there’s been a 25% surge in first-time buyers in their thirties, typically investing between AED 1.2 million and AED 3 million. Indians, Brits, and growing numbers of Chinese and Egyptians are leading this wave.

The shift is supported by stable mortgage rates around 4% for a 3-year fixed period, making homeownership more accessible. Meanwhile, developers are tailoring projects in emerging neighborhoods with unit sizes around 1,000–1,200 sq. ft., offering more affordable entry points and wellness-focused amenities.

Foreign investors continue to play a key role, providing additional resilience against global instability. If this momentum continues through 2025, first-time buyers could be the new backbone for Dubai’s ongoing real estate expansion