The UAE's Real Estate Services Market to Soar to AED 67.7 Billion by 2025
The UAE's real estate services market is set to reach 67.7 billion dirhams ($18.45 billion) in 2025, growing to 90.8 billion dirhams ($24.75 billion) by 2030. This represents a 6.05% annual growth rate, driven by record foreign investment flows and a booming tourism sector that's creating new demand for specialized property services.
The growth comes from several key factors. Foreign direct investment hit $30.7 billion in 2023, up 35% from the previous year, with real estate taking a significant share. New rules allowing free zone companies to operate within the UAE are also expanding the corporate buyer base.
Residential apartments and units dominated the market with 46% share in 2024. But logistics facilities are expected to show the fastest growth through 2030. This shift reflects the UAE's push to become a regional hub for data centers, logistics, and branded residential assets.
Technology is changing how the market operates. AI-powered valuations and "tokenization platforms" are making transactions faster, cheaper, and more transparent. This tech adoption is boosting competitiveness across the sector.
Brokerage and transaction activities made up 41% of the market in 2024, while property and facility management services are expected to grow significantly through 2030. Individual buyers and families represented 53% of total revenue last year, though small and medium enterprises are expected to drive future growth.
Abu Dhabi's tourism strategy adds another growth driver. The emirate plans to welcome 39.3 million visitors by 2030, requiring 18,000 additional hotel rooms. This has sparked a boom in branded residential units that combine hospitality features with residential living.
Branded residential properties in Abu Dhabi increased fourfold last year, while luxury property sales exceeded 6.3 billion dirhams in 2024. These developments generate recurring revenue for property management specialists through ongoing service fees.
Green building regulations in Abu Dhabi and Dubai are creating additional service demands. The UAE Green Building Council is implementing higher energy efficiency standards, increasing demand for environmental audits, retrofitting services, and green lease structuring.
A recent billion-dollar partnership between Mubadala Investment Company and Fortress Investment Group shows how major players are positioning for growth. The deal focuses on credit and special situations investments, expanding opportunities for brokerage, valuation, and due diligence service providers.
For investors and service providers, this represents a market entering a mature growth phase. The combination of strong foreign investment, tourism expansion, and regulatory evolution is creating sustained demand for professional real estate services across multiple sectors.
Layla Al Mansoori