Revealed: Budgets of Elite & Market Shifts
Dubai has firmly cemented its status as the world’s top destination for luxury real estate, with ultra-wealthy buyers now setting their sights higher than ever. According to Knight Frank’s 2025 Destination Dubai report, high-net-worth individuals (HNWIs) are allocating an average budget of AED 117.5 million (USD 32 million) for homes in the emirate.
Unprecedented Demand for High-End Properties
Dubai leads the global market for $10 million+ home sales, making it the busiest luxury real estate hub in the world. Knight Frank revealed to Khaleej Times that there are currently 150 properties listed above AED 100 million in Dubai. And it’s not just expansive villas catching attention; 80% of individuals with a net worth between $15-20 million are actively seeking luxury apartments, signaling strong demand across property types.
Who’s Buying? Genuine End-Users Over Investors
A defining shift in Dubai’s real estate cycle is the rise of genuine end-users. Unlike previous cycles dominated by speculative investors looking to “buy and flip,” today’s buyers are primarily end-users purchasing properties for personal use. Knight Frank’s data shows that 55% of global HNWIs are acquiring homes in Dubai as holiday getaways, second residences, or permanent homes.
“Buyers are no longer just investing; they are choosing Dubai as their home base,” said Faisal Durrani, Partner and Head of Research for MENA at Knight Frank.
Custom-Built Homes: The Next Big Thing
In another significant trend, 83% of global HNWIs expressed a desire to buy land in Dubai and build custom homes. This demand is nearly universal, cutting across nationalities. Dubai’s rapid maturity as a real estate market and its reputation for safety, lifestyle, and high-end amenities are fueling this appetite for bespoke luxury living.
A $10.3 Billion Influx into Dubai Real Estate
Knight Frank estimates that ultra-wealthy buyers are set to invest a staggering $10.3 billion (AED 37.8 billion) into Dubai’s residential market. This forecast is based on surveys from 387 HNWIs hailing from Saudi Arabia, India, the UK, and East Asia, with an average net worth of $22 million.
Who’s Investing in Dubai?
The breakdown of regional investment preferences shows that:
- 79% of Saudi HNWIs prefer the UAE, particularly Dubai, for property purchases.
- 68% of East Asians and 67% of British buyers are also focused on Dubai.
- Branded residences are the second-most popular choice, with 49% of global HNWIs favoring them.
Overall, 71% of global HNWIs selected Dubai as their top choice for real estate investment. The most enthusiastic buyers come from Saudi Arabia (80%), followed by the UK (74%), India (69%), and East Asia (61%).
Conclusion: Dubai is the Global Capital of Luxury Real Estate
As Dubai continues to attract the world’s wealthiest individuals, the city’s luxury real estate market shows no signs of slowing down. From multi-million-dirham apartments to ultra-luxury villas and custom-built dream homes, Dubai offers unparalleled lifestyle opportunities for global elites.
With billions of dirhams in projected investments and a sharp increase in genuine end-user demand, Dubai remains the world’s leading destination for ultra-luxury real estate.
