Dubai’s luxury real estate sector is witnessing an unprecedented surge, with Chinese and Russian investors set to increase their market share by over 30 percent in 2025, according to Elite Merit Real Estate.
This boom is attributed to the UAE’s investor-friendly policies, strong economic ties with BRICS nations, and a stable business environment.
Chinese buyers have significantly expanded their footprint in Dubai’s high-end real estate market, registering a 15 percent rise in purchases in 2024. This positions China as the third-largest foreign investor in the emirate, trailing only the UK and India. Their focus is shifting from luxury high-rises to premium waterfront villas, particularly in Emirates Hills and Palm Jumeirah.
Meanwhile, Russian investments soared by 20 percent in 2024, driven by high-net-worth individuals seeking stable returns in prime locations such as Downtown Dubai, Dubai Marina, and Palm Jumeirah. Many Russians are opting for larger, high-yielding properties with strong rental potential, capitalising on Dubai’s tax-free incentives and the city’s reputation as a safe haven for global wealth..
Surging demand, expanding supply
With demand escalating, Dubai is gearing up for a property supply boost. Nearly 28,700 new villas are expected to be completed by 2025, yet long-term projections suggest that an additional 37,600 to 87,700 housing units will be needed by 2040 to accommodate the city’s rapid population growth.
Luxury property prices in sought-after areas have already climbed by 10-12 percent over the past year. Despite these increases, Dubai remains a more affordable investment destination than global real estate hubs like London and New York, continuing to attract elite foreign buyers.
Golden Visa and BRICS influence
The UAE’s deepening ties with BRICS countries, particularly China and Russia, have been instrumental in boosting real estate inflows. Strategic economic agreements and business-friendly regulations have simplified investment procedures for foreign buyers. Additionally, the UAE’s Golden Visa programme, which grants long-term residency to property investors, has significantly influenced Chinese and Russian interest in the market, offering both financial opportunities and long-term stability.