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Published on 10/07/2025

The Rise of Mid-Market Apartments in Dubai

Mid-Tier Segment Leads Dubai Property Market, Accounting for Over Half of All Deals

Dubai's property market is witnessing a conclusive turn toward the middle, with Dh1-3 million apartments becoming the fulcrum of market activity in 2025. This segment now accounts for over half of all property transactions, affirming a mature market balancing accessibility with quality.

Based on Springfield Properties statistics, the mid-market segment took 54.47 per cent of all Q3 2025 transactions, meaning 29,292 sales. This supremacy expresses the underlying realignment of buyer preferences because both end-users and investors increasingly look for value opportunities in established neighborhoods.

Market Diversity Across Price Segments

While mid-market leads the way, Dubai's property market has phenomenal diversity. Low-end residential properties under Dh1 million made up 25.30 per cent of transactions (13,607 sales) and continue to remain very popular with first-time buyers and yield-focused investors.

Homes priced between Dh3-5 million made up 10.68% of the market, mostly driven by families upgrading to larger apartments and villas. Luxury properties between Dh5-10 million made up 7.02%, while those above Dh10 million accounted for 2.52%, with branded residences leading the way in this segment.

Golden Visa and Population Growth

The mid-market boom is supported by the population growth of Dubai, which has increased by over 155,000 residents in 2025 alone. The UAE 10-year Golden Visa scheme has boosted demand, translating renting interest into buying especially within the Dh1-3 million bracket.

Enhanced mortgage affordability after last September's cut in rates has also improved purchasing power, allowing more buyers to access the market on competitive financing terms.

Supply and Outlook

The market is tested for absorption potential with more than 250,000 units to be delivered between 2026 and 2027. However, Industry players are confident that solid fundamentals will ensure wholesome take-up.

The fourth quarter of 2025 is also predicted to be particularly robust with foreign investor inflows and stable rental demand driving momentum into year-end.

As Dubai persists as a real estate global destination, the Dh1-3 million segment is bearing witness to a market that has crossed the stage of speculation to genuine residential and investment value.