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UAE ultra-luxury property boom draws global wealth as UHNWIs migrate for stability
UAE remains the jewel in the crown for global wealth, driving ultra-luxury property demand
- PUBLISHED: Wed 15 Jul 2026, 8:00 AM
The UAE’s political stability, investor-friendly tax regime, world-class infrastructure and exceptional quality of life are expected to continue attracting affluent individuals from around the world, providing a strong tailwind for the emirate’s ultra-luxury residential market, according to industry experts.
Leading executives and market analysts note that the UAE has steadily climbed the ranks to become a destination of choice for entrepreneurs, investors, business leaders and ultra-high-net-worth individuals (UHNWIs). Underpinned by robust economic growth, ongoing diversification, a pro-business regulatory framework and long-term initiatives aimed at attracting global talent and capital, the country has positioned itself as a safe harbour in an increasingly uncertain world.
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They added that the UAE’s ultra-luxury property sector has come into its own in recent years, fuelled by Dubai’s emergence as one of the world’s foremost wealth hubs. As global HNWIs continue to seek stability, security and lifestyle-led investment opportunities, Dubai is well placed to remain ahead of the curve, further reinforcing demand for premium and ultra-prime real estate assets.
Talal M. Al Gaddah, CEO and Founder of the Keturah luxury brand, said data from DXBinteract shows the Dubai ultra-luxury real estate market for villas and apartments worth Dh40 million and above brought 399 sales totalling Dh28 billion last year, up from 355 amounting to Dh24 billion in 2024.
“To date this year there have been 233 sales of properties worth Dh40 million and above totalling Dh15 billion. Dubai's ultra-luxury property market has undergone a fundamental shift in what it offers serious long-term investors. The maturity and transparency of the regulatory environment have been central to this,” Gaddah told BTR.
InVESTOR-FRIENDLY FRAMEWORK
Dubai has built a framework that gives investors the certainty and confidence they need, particularly during periods of global uncertainty, and that framework has been tested and proven across more than one difficult cycle. The market has also maintained strong supply discipline, avoiding the oversaturation that has undermined confidence elsewhere, underpinning long-term value in a way volume-driven markets simply can’t replicate.
The quality of long-term infrastructure planning has reinforced these strengths, creating an environment where capital placed today is supported by a city built for the long term. Perhaps the most significant shift in recent years, however, is the evolution of what luxury means in this market. Buyers and investors globally are now drawn to Dubai in part because its leading developers are raising the standard for premium residential living, moving beyond location and aesthetics toward homes built around the health, wellbeing and long-term quality of life of the people living in them.
Daniel Hadi, CEO of Engel & Völkers Middle East, said the UAE’s ultra-luxury property market has transformed in recent years, driven by Dubai’s emergence as one of the world’s leading destinations for global wealth.
In Dubai, residential transactions above $10 million have grown from 24 sales in 2019 to 544 sales in 2025, with the total value of those sales increasing from $1.2 billion to $38.5 billion. Although this segment represents a small percentage of overall transactions, it now accounts for approximately a quarter of the market’s total sales value. “This momentum has continued into 2026, with the wider luxury segment also showing strong growth. Transactions above Dh10 million increased from 1,321 in first quarter of 2025 to 2,148 in first quarter of 2026, highlighting the continued depth of demand from high-net-worth and ultra-high-net-worth buyers,” Hadi told BTR.
The market is being driven by a combination of established ultra-prime locations and a new generation of luxury destinations. Palm Jumeirah remains Dubai’s leading ultra-luxury community, recording 126 transactions above $10 million in 2025, while areas such as Jumeirah Bay Island, Emirates Hills, Dubai Hills Estate, Palm Jebel Ali, La Mer and Naia Island continue to attract significant international interest. Abu Dhabi is also strengthening its position, particularly through premium lifestyle destinations such as Saadiyat Island.
“We are also seeing exceptional demand for branded residences and highly exclusive projects that offer privacy, world-class design and a complete lifestyle proposition. Recent landmark transactions, including Dh422 million at Aman Residences, Dh350 million at Jumeirah Asora Bay and Dh340 million on Jumeirah Bay Island, demonstrate the UAE’s growing position among the world’s most competitive ultra-prime real estate markets,” he said.
Issa Atiq, CEO, Arabian Acres, said the UAE's ultra-luxury segment, properties above Dh20 million, has grown into one of the world's most active markets, with Dubai alone recording billions in transactions annually.
“Developments like Palm Jebel Ali, Jumeirah Bay Island, and Como Residences are redefining what ultra-luxury means globally. What makes the UAE unique is the combination of world-class architecture, zero income tax, and genuine lifestyle infrastructure. These are not just properties; they are generational assets attracting serious capital from Europe, Asia, and the GCC.”
Marcus Andersson, Sales Director at Penthouse.ae, echoed the similar views and said: “If we define the ultra-luxury property market as properties priced at $10 million and above, the UAE has recorded annual transaction volumes in the region of Dh9–10 billion. Most of this activity is concentrated in Dubai, although Abu Dhabi is gaining momentum and is expected to narrow the gap in the coming years.”
In Dubai, he said major developments attracting global investors include Palm Jumeirah, Downtown Dubai, Dubai Hills Estate, Palm Jebel Ali, and exclusive waterfront destinations such as Jumeirah Bay Island and Naia Island. These locations continue to attract high-net-worth individuals due to their prime waterfront settings, comprehensive master plans, and the backing of government-linked developers.
In Abu Dhabi, he said key ultra-luxury destinations include Saadiyat Island, Hudayriyat Island, Al Raha Beach, Al Reem Island, and Yas Island, all of which are increasingly attracting international investors seeking premium residential opportunities and long-term value appreciation.
Outlook for Next 5 years
Atiq sees positive outlook for ultra-luxury property market in the UAE in next five years and said the trajectory is firmly upward as supply in the true ultra-luxury segment remains constrained relative to demand, which structurally supports price appreciation.
“As Dubai continues maturing as a global financial hub, with improving regulatory frameworks, Golden Visa accessibility, and expanding connectivity, we expect sustained inflows of ultra-high-net-worth capital. The next five years will likely see price records broken, new waterfront masterplans delivered, and the UAE cementing its position alongside London, Monaco, and New York as a permanent ultra-luxury market,” Atiq told BTR.
Gaddah said the outlook for the next five years remains very strong, supported by continued population growth, international wealth migration and the city's long-term economic vision. He said the regulatory framework and long-term infrastructure investment underpinning the market today are the product of years of deliberate policy that continue to strengthen.
“Buyers choosing Dubai at the ultra-luxury level are making long-term commitments, drawn by the quality of what is being built and what the city offers their families for years to come. That commitment to long-term living represents a more durable source of demand than this market has seen in any previous cycle.”
“The shift toward health-led, wellness-certified and biophilic residential development is also significant. As these standards become more widely understood, Dubai's position as a market where serious developers are building to the highest global standards of residential quality will continue to attract committed international capital.”
Andersson opined that the UAE's political stability, favourable tax environment, world-class infrastructure, and high quality of life will continue to attract affluent investors and residents from around the world, underpinning the strength of the ultra-luxury segment.
“I expect the UAE's ultra-luxury property market to experience sustainable growth over the next five years. While the market has benefited from a period of rapid expansion in recent years, future growth is likely to be driven more by continued wealth migration, population growth among HNWIs, and the ongoing maturation of the market,” Andersson told BTR.
“As the sector evolves, we are likely to see a more balanced and sustainable growth trajectory, supported by genuine end-user demand and long-term investment rather than speculative activity,” he said.
Hadi said the outlook for the UAE’s ultra-luxury property market remains positive over the next five years, although “we expect the next phase of growth” to be more measured and selective. After several years of exceptional growth, it is natural for the market to enter periods of normalisation, particularly as global economic and geopolitical events influence short-term decision-making.
“At the highest end of the market, buyers typically take a long-term view. While some may choose to reassess the timing of major purchases during periods of uncertainty, the fundamental reasons why ultra-high-net-worth individuals are choosing the UAE remain unchanged.”
He said the country continues to offer a unique combination of connectivity, business opportunities, favourable taxation, world-class infrastructure and quality of life. These are structural advantages that have positioned the UAE alongside the world’s leading destinations for global wealth.
“Over the coming years, we expect the ultra-luxury market to become increasingly focused on quality rather than quantity. The strongest demand will be concentrated around truly exceptional properties offering scarcity, privacy, prime locations, branded services and unique lifestyle experiences. The UAE’s ability to deliver these types of assets gives us strong confidence in the long-term outlook of the sector.”
Growth Catalysts
Hadi noticed that the growth of the UAE’s ultra-luxury property market is being driven by a combination of increasing global demand and the continued evolution of the real estate offering itself.
“From a demand perspective, one of the biggest catalysts has been the continued inflow of global wealth. The UAE has become an increasingly attractive destination for entrepreneurs, investors and business leaders, supported by strong economic growth, diversification, a favourable business environment and long-term initiatives designed to attract international talent and investment.”
At the same time, he said the expectations of ultra-high-net-worth buyers have evolved, and developers in the UAE have responded by creating properties that compete with the very best globally.
“Today’s ultra-luxury market is not only about size or location, but the overall lifestyle offering. We are seeing greater emphasis on architecture, design, wellness, privacy, branded services and personalised experiences.
“This combination of international demand and continuous innovation from developers has been a key reason why the UAE has been able to establish itself as one of the world’s leading ultra-luxury real estate destinations.”
Gaddah attributed growth in ultra-luxury property market to the government vision and long-term planning form the foundation of the market's growth. “The Dubai 2040 Master Plan places a clear emphasis on sustainable, healthy and high-quality development, creating a policy environment that actively supports the direction the ultra-luxury market is taking.”
The evolution of the buyer profile is another significant catalyst. Wealthy international families and globally mobile investors are increasingly choosing Dubai not simply as a place to hold an asset but as a place to live. That shift from investment-led to lifestyle-led demand is driving a more sustained and committed form of capital into the market.
“The rising global standard for what luxury residential development must deliver is also accelerating growth at the ultra-luxury level. Developments built to the highest standards of health, wellness and biophilic design are attracting a level of demand that less sophisticated product cannot match,” he said.
Keturah Reserve, our bio-living community under development in Dubai, reflects that standard in every element of its concept and design. The level of interest it has attracted from serious long-term buyers is a measure of where this market is heading.
Dubai's stability and transparency continue to draw capital that might otherwise have gone elsewhere, particularly during periods of geopolitical uncertainty, when its track record as a safe, well-regulated market becomes even more valued.
Andersson said the main growth drivers are wealth migration, the continued maturation of the real estate market, and increasing institutional investment.
“The UAE's Golden Visa programme, zero personal income tax, and zero capital gains tax continue to attract high-net-worth individuals from around the world,” he said.
In addition, he said the UAE's strategic location and business-friendly environment have encouraged many multinational companies to establish regional headquarters in the country, further supporting demand for ultra-luxury residential properties.
Atiq said several forces are converging. The UAE's political stability and tax efficiency remain unmatched globally. Golden and Platinum Visa programmes have created a genuine pathway to residency, converting visitors into long-term residents and investors. Simultaneously, world-class healthcare, education, and safety infrastructure are driving family relocation decisions, not just investment ones.
“Add to that a pipeline of landmark developer projects and strong government-backed economic diversification, and the fundamentals for sustained ultra-luxury growth are exceptionally well-positioned.”
Ultra-wealthy Individuals Migration
Anderson is of the view that the UAE property sector will be major beneficiary of ultra-wealthy individuals’ migration to the UAE in the next five years.
“Yes. We have not seen any slowdown in demand for ultra-luxury properties, and developers are increasingly focused on attracting new buyers through innovation, enhanced lifestyle offerings, and continuously improving build quality and amenities,” he said.
The population of ultra-wealthy individuals, holding more than $30 million in assets, is projected to rise from 4,851 in 2026 to 6,588 by 2031, according to the 2026 Wealth Report by Knight Frank. The estimated 36% growth in ultra-wealthy individuals in the next five year will benefit the UAE as it has emerged as top choice of the global investors looking for lifestyle, stability, safety and security for their families and investment.
Knight Frank’s 2026 Wealth Report forecasts that the number of UHNWIs with assets above $30 million will rise from 4,851 in 2026 to 6,588 by 2031, marking a 36% increase over the next five years. The UAE is well positioned to benefit from this growth, having established itself as a leading destination for global investors seeking a combination of lifestyle advantages, a stable business environment, and a secure setting for long-term wealth preservation and investment.
“As the population of UHNWIs grows and concentrates in the UAE, it will further reinforce demand. Their co-location also creates a strong network effect, where proximity for business, investment, and lifestyle purposes becomes an additional driver of ultra-luxury property acquisition,” Andersson said.
Gaddah believes that Dubai is well positioned to benefit from the continued migration of ultra-wealthy individuals, and the reasons for that go beyond the city's traditional attractions of location, connectivity and tax environment.
“What buyers at this level are looking for has evolved considerably, and Dubai's leading developers have been responding in ways that make the market increasingly compelling. Ultra-wealthy individuals and their families are making residential decisions based on how a home and a community will support their health, their quality of life and their long-term wellbeing. Dubai's ultra-luxury market is delivering exactly that. Developments built around biophilic design, science-backed construction, wellness certification and low-density living are precisely what this buyer profile is seeking.”
A perfect example is The Ritz-Carlton Residences at Keturah Resort, set on the shores of Dubai Creek adjacent to the Ras Al Khor Wildlife Sanctuary, and the Middle East's first fully wellness-certified resort. The natural setting, construction quality and verified wellness credentials combine into a living experience that conventional luxury simply cannot match.
“Dubai's regulatory stability and its track record of protecting long-term capital resonate with ultra-high-net-worth families looking not just for a return on an asset, but a city to call home,” he said.
Hadi expressed the similar views and said the ultra-luxury property market will naturally be one of the biggest beneficiaries of continued wealth migration into the UAE. For ultra-high-net-worth individuals, real estate is often much more than an investment decision. It is closely connected to where they choose to live, establish businesses, educate their families and build their long-term future.
“As more entrepreneurs, investors and global executives choose the UAE, demand for exceptional properties will continue to grow. These buyers are looking for homes that reflect their lifestyles, with privacy, space, design, services and access to world-class amenities becoming increasingly important.”
He said the growth of the ultra-wealthy population also has a wider impact beyond residential transactions. It strengthens the overall luxury ecosystem, supporting demand for areas such as hospitality, retail, private banking and family offices, further reinforcing the UAE’s position as a global wealth hub.
Atif of Arabian Acres also shared the similar opinion about the migration of ultra wealthy individuals to the UAE and said: “Absolutely. The projected growth from 4,851 to 6,588 individuals holding $30 million-plus in assets by 2031 is a structural tailwind for the UAE's ultra-luxury market. A significant proportion of this wealth migration is already directionally UAE-focused,” according to Atiq.
“At Arabian Acres, we see this firsthand; family offices and ultra-high-net-worth clients are not just buying single assets, they are building portfolios. The UAE offers the rare combination of yield, capital appreciation, lifestyle, and security that this demographic demands. Ultra-luxury real estate will be a primary beneficiary.”
Challenges Remain
Gaddah said the most significant challenge is maintaining the standards that have built the market's reputation. As demand grows, the temptation could be to prioritise volume over quality, and developers who overpromise without the substance to deliver will find that position increasingly difficult to sustain.
“The ultra-luxury buyers coming into this market are well-researched and will not accept any gap between expectation and delivery. Meeting that standard consistently, across construction, community design and wellness certification, is what will continue to define Dubai's position at the top in ultra-luxury real estate.”
Andersson said the main challenges include the need for developers to carefully manage supply and demand dynamics, as well as potential geopolitical risks. There is also increasing competition from other global luxury hubs.
“That said, the outlook remains positive. The UAE continues to lead in terms of innovation and regulatory agility, and the government has demonstrated a strong ability to respond quickly to both domestic and external developments. Overall, while competition is increasing, the market fundamentals remain strong and supportive of long-term growth,” he said.
Atiq said the primary challenge is quality of supply keeping pace with the calibre of demand. Ultra-high-net-worth buyers are discerning; they will not compromise on location, finishes, or developer pedigree. There is also the risk of market fragmentation, where the label "ultra-luxury" gets applied too broadly, diluting trust.
“For brokerages, the challenge is advisory depth; this segment requires genuine expertise, not transactional selling. Navigating these dynamics is where established, relationship-driven firms differentiate themselves from the broader market.”
Every market faces challenges, particularly after a period of significant growth, according to Hadi. For the UAE’s ultra-luxury segment, the focus over the coming years will be maintaining the exceptional standards that have attracted global demand as the market continues to mature.
“Ultra-high-net-worth buyers have access to the best real estate opportunities around the world, so continuing to compete at this level requires constant innovation. The most successful developments will be those that offer true differentiation, whether through location, design, privacy, service or overall lifestyle.
“However, what gives us confidence is that demand for ultra-luxury real estate in the UAE is supported by much deeper fundamentals. Continued economic growth, diversification, investment in infrastructure, and the country’s ability to attract businesses, entrepreneurs, and global talent all provide a strong foundation for the market.”
While short-term market cycles are natural, he said the UAE has consistently demonstrated its ability to adapt, innovate and strengthen its position on the global stage. “We believe these qualities will continue supporting the long-term growth of the ultra-luxury sector,” Hadi said.
