TMTPOST – Dubai’s property market has experienced a 20% surge in housing prices in 2024, with further increases anticipated in 2025, according to real estate consultancy Knight Frank. The company predicts overall residential prices will rise by 8% next year, while luxury properties are expected to see an average increase of 5%. A new report highlights record-breaking sales activity in the first three quarters of 2024, with transaction volumes surpassing the total for all of 2023. Third-quarter sales reached an unprecedented AED 116.8 billion ($31.7 billion). Developers are projected to construct 300,000 new homes by the end of 2029. Faisal Durrani, Head of Middle East Research at Knight Frank, identified a housing shortage as the market's primary driver. “Population growth is outpacing inventory availability, particularly in the villa segment,” Durrani said, underscoring the imbalance between demand and supply. This continued upward trend in prices reflects Dubai’s post-pandemic recovery momentum and its position as a global real estate hotspot.