Among the 30 cities in Savills’ Prime Residential World Cities Index, Dubai is expected to record the highest growth. Globally, prime market capital values are forecasted to remain positive, averaging a 1.6% increase across the cities tracked.

Savills attributes Dubai’s surging prime residential market to a growing population and an influx of high-net-worth individuals and family offices into the UAE. The emirate is also expected to top the index for rental growth, with rates projected to rise by over 10% in 2025.

In 2024, Dubai saw a 23.5% rental growth, fueled by sustained demand for luxury living. Additionally, capital values for prime residential properties climbed 6.8%, reinforcing the city’s appeal as a global real estate hotspot.

“The emirate’s prime residential sector continues to thrive, with demand outpacing supply in some of the city’s most sought-after communities,” said Andrew Cummings, Head of Residential Agency at Savills Middle East.