Dubai is rapidly growing as a role model for “Second Home” centre where it has been recording millions of transactions every year just for instance, in the year 2023, the total demand for residence was 59% for Dubai property, and in the next year 2024, it got a push to 69% so this increase in the transaction, and this is especially among high net worth individuals.
Their core desire is to have a property in a smart city that comes with futuristic infrastructures to meet a developed lifestyle and followed by freedom to excess this beautiful place to visit its iconic landmarks such as Burj Khalifa the tallest building in the world, Palm Jumeirah, Ferrari World, Dubai Creek Harbour and more, and its uninterrupted flying experience from more than 200 cities in the world makes it globally connected.
KEY INSIGHT ON THE TOP AREAS OF DUBAI AS A SECOND HOME INVESTMENT
Palm Jumeirah: Palm Jumeirah is one of the leading places in Dubai as a second home investment where according to the data, from total sales, 36.3% sales were recorded from this place as its uniqueness is the highlight with private beaches, iconic facilities and resort style living.
LOCATION: Situated off the coast of Al Sufouh, near Dubai Marina
- Jumeirah Village Circle: This is another pocket friendly community in Dubai which is ranked in top 5 because it has recorded 4,457 deals in Q3 2024, and particularly, its studio to 2 BR apartments have been the top choice because of its affordability and rental yield 7-10%.
LOCATION: Positioned between Al Khail Road to the east
Dubai Marina: A beautiful waterfront community picked up by many seasonal buyers as a second home investment because of its tourism attraction and iconic lifestyle, so in Q1 2025 with total 3,800 transactions and high ROI it has turned into a top choice community in Dubai.
LOCATION: Situated along the southern coast of Dubai
Dubai South: Another pocket friendly community of Dubai with investment opportunities and great demand has recorded 2,910 transactions in Q3 2024 also because of its closeness to Al Maktoum Airport and separation from the city chaos.
LOCATION: It lies in the southern part of Dubai and close to Al Maktoum International Airport
Wadi Al Safa 5: Again, a pocket friendly area that is situated near Business Bay and Jumeirah Village Circle offering well connected networking, and other than this, its affordability made it as the top 5 areas for investment in 2025 with higher sales record in every month, and in the last year it made 6,602 transactions worth AED 13.6 billion.
LOCATION: Available in the western part of Dubai and part of Dubailand a massive area
LATEST NATIONALITY TRENDS IN DUBAI FOR SECOND HOME
| REGION | AREAS | CONCERN |
| Indian (22% market share | – Jumeirah Village Circle – Dubai South | They are looking for affordable investment opportunities with high rental scope |
| European | – Downtown – Dubai Marina | Seeking for ultra luxury housing experience as their second home |
| North American | – Business Bay – Downtown – Dubai Creek Harbour | Demand for branded residences to have exotic experience |
| Chinese (14% market share) | – Palm Jumeirah – Emirates Hills – Downtown | Urban lifestyle with branded amenities to stay around posh area of Dubai |
| Saudi Arabian (11% market share) | – Business Bay – Downtown – Jumeirah Village Circle | Purpose of have short term rental and to have legal residency in Dubai |
The purpose of buying a second home differs as per the nationalities where budget and usability of the home makes the difference, and as mentioned above some high demanding areas of Dubai are Jumeirah Village Circle, Downtown, Business Bay and more but some high potential areas that are coming into limelight are: –
- Dubai Sports City- +9% rental yield
- Dubai Silicon Oasis- +9% rental yield
- Dubai Investment Park- 10% rental yield
- Dubai South- 10% rental yield
SECOND HOME BUYERS IN DUBAI FOR 3 PRIME USABILITIES
The property is mainly purchased for these 3 reasons to make the most out of the purchase in Dubai for both shortest and longer duration, and here we go: –
SHORT TERM RENTAL BENEFIT
To earn rental in a short time as Dubai is one of the tourist heavy spots where these are prime areas in Dubai that give 30% more returns, so try to convert property into a holiday home to have high rental income on peak season. So, the duration might be less, but the rental income is higher in this case. First choice areas are Downtown, Palm Jumeirah, Business Bay and more.
| PLACE | ESTIMATED RENTAL |
| Dubai Marina | AED 14,400 |
| Business Bay | AED 13,200 |
| Downtown | AED 20,400 |
| Palm Jumeirah | AED 48,000 |
And in peak season, the rental can goes up for example AED 25,000 for Dubai Marina and this also includes the maintenance, DTCM (Dubai Department of Tourism and Commerce Marketing) licensing costs, cleaning and more in this value.
LONG TERM RENTAL BENEFIT
One can set long term rental for up to 12 months, so you will be getting fixed rental without having a risk about an occupancy, so here are places such as Dubai Marina, Jumeirah Village Circle, Dubai Hills Estate, Arabian Ranches, Dubai Silicon Oasis where buyers can get long term rental property that comes with less risk and decent monthly income.
FOR PERSONAL BENEFIT
Now this depends on the owner for how long he/she wants to use the property which might be just for the vacation with the family or work experience, so these are many ultra luxury high net worth individuals who plan to buy luxury segment where they can comfortability plan to come with the family as well as manage their professional side, so second home gives leeway to the buyers to stay in their home without trapping in an expensive hotel.
And more powerful aspects of considering Dubai as a second home investment stage is safe investment for foreigners without any obligations, secured and 100% rental income, further, to experience cultural diversification, minimum investment opportunity starts from AED 2M, to fly anytime for business or vacation and upgradation in lifestyle.
