GCC Real Estate Outlook 2025 — Annual Market Review
Record deal values in Dubai, Abu Dhabi and Qatar, a housing reset in Riyadh and a wave of new ownership rules. Here's what happened across the Gulf in 2025 — and what it means for 2026.
- Dubai recorded more than 270,000 real estate transactions worth AED 917 billion in 2025, up 20% year on year.
- Abu Dhabi hit a record AED 142 billion (+44%), and Qatar's deal value rose 44% to QR 20.98 billion.
- Saudi Arabia froze Riyadh rents for five years and opened designated zones to foreign buyers from January 2026.
A record year for the UAE
Dubai closed 2025 with more than 270,000 real estate transactions worth AED 917 billion, according to the Dubai Media Office — a 20% increase on 2024. Investment deals alone passed AED 680 billion across 258,600 transactions, and the emirate counted about 193,100 investors, of whom 129,600 were new to the market.
Abu Dhabi grew even faster from a smaller base. The Abu Dhabi Real Estate Centre (ADREC) reported a record AED 142 billion in transactions, up 44%, across 42,814 deals. Sales accounted for AED 99.4 billion and mortgages for AED 42.7 billion, with buyers from more than 100 nationalities.
Dubai: growth that is starting to moderate
Under the headline records, the pace of price growth eased. Cavendish Maxwell put residential price growth at 12.1% in 2025, down from 16.5% in 2024, while Cushman & Wakefield measured values up 13% — the 22nd consecutive quarter of growth. Off-plan sales made up about 73% of residential transactions.
Supply is the question for 2026. Only 40,400 homes were completed in 2025 against 82,600 projected at the start of the year, and while developers have pencilled in more than 110,000 units for 2026, analysts expect far fewer to be delivered on time. Apartments — especially studios and one-bedroom units — dominate the pipeline, while villas and family homes remain comparatively scarce.
Saudi Arabia: a housing reset in Riyadh
Saudi Arabia's biggest real estate story of 2025 was policy rather than prices. In March, the government released more than 81 square kilometres of land in northern Riyadh for development and ordered a supply of serviced residential plots for eligible citizens at no more than SAR 1,500 per square metre. In September, a royal decree froze residential and commercial rents in Riyadh for five years, with all leases registered on the Ejar platform.
Home ownership among Saudi households passed 66% in 2025, according to the Minister of Municipalities and Housing, with the Housing Program now targeting 70% by 2030. And from 21 January 2026, a new law allows non-Saudis to buy property in zones designated by the government.
Qatar and the rest of the Gulf
Qatar recorded 5,154 real estate deals worth QR 20.98 billion in 2025, up 45% in number and 44% in value, according to Ministry of Justice data. Real estate oversight moved to a new regulator, Aqarat, and buyers of property worth QAR 730,000 or more remain eligible for residency.
- Bahrain cut the property threshold for its 10-year Golden Residence Visa from BHD 200,000 to BHD 130,000 and added Bilaj Al Jazayer to the zones open to foreign buyers.
- Oman passed a Real Estate Registry Law (in force May 2026) that extends foreign ownership beyond its tourism complexes, followed by a new owner residence permit.
- Kuwait remains the most restricted market, with conditional routes for long-term residents and licensed companies.
Looking ahead to 2026
Three themes stand out. First, regulation: Saudi Arabia and Oman are still issuing the detailed rules for their new ownership laws, so buyers should confirm the current position before committing. Second, supply: Dubai's delivery pipeline will test apartment rents and prices in specific districts. Third, residency: property-linked visas in the UAE, Qatar, Bahrain, Saudi Arabia and Oman continue to make Gulf real estate a lifestyle decision as much as an investment one.
“The market is transitioning from rapid expansion to a more sustainable phase.”
— Knight Frank, on Dubai (via Khaleej Times)