Indians Lead Foreign Property Investments in Dubai

Published: March 07, 2026 | Category: real estate news
Indians Lead Foreign Property Investments in Dubai

Indians were the largest group of foreign buyers in Dubai’s residential property market in 2025, purchasing homes worth an estimated ₹85,000 crore to ₹95,000 crore, according to Anarock Property Consultants, as reported by Times of India.

The emirate recorded nearly $250 billion (about ₹23 lakh crore) worth of real estate transactions across all asset classes last year, highlighting strong investor activity despite geopolitical tensions in the region.

Indian share in foreign investments rises

According to the TOI report, Indians accounted for 23% of foreign residential transactions in Dubai in 2025, a sharp rise from 12% in 2023, when investments totalled around ₹37,000 crore. Among non-Arab investors, UK nationals and Chinese buyers ranked second and third respectively in Dubai’s property market.

“India plays a particularly significant role in this ecosystem. Indian nationals account for roughly 20-22% of foreign property purchases in Dubai, making them the largest investor group in the market. Several factors explain this trend, including geographical proximity, the stability provided by the UAE dirham's peg to the US dollar, and relatively attractive rental yields that typically range between 6% and 9%,” the report said, as quoted by TOI.

Apartments, villas popular among Indian buyers

The consultancy added that ongoing geopolitical tensions in West Asia may create some caution among investors in the short term.

“The current geopolitical tensions will undoubtedly introduce a degree of caution among investors. Transaction volumes may moderate in the near term as buyers assess the evolving risk environment. Yet Dubai's position as a global financial and lifestyle hub, combined with its diversified investor base and policy flexibility, continues to provide strong structural support to its real estate sector,” according to TOI report.

Prashant Thakur, Executive Director and Head of Research and Advisory at Anarock Group, said most Indian buyers prefer apartments and villas as investment assets.

“Most Indians bought apartments and villas as investment,” Thakur said to TOI, adding that several developers offer rental management services for overseas buyers.

“Rental yields in Dubai are healthy 6% to 8% in Dubai compared to 2-3% in India,” he told TOI.

(With TOI inputs)

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Frequently Asked Questions

1. Why are Indians the top foreign buyers in Dubai's property market?
Indians are the top foreign buyers in Dubai's property market due to favorable rental yields, geographical proximity, and the stability provided by the UAE dirham's peg to the US dollar.
2. How much did Indians invest in Dubai's property market in 2025?
Indians invested an estimated ₹85,000 crore to ₹95,000 crore in Dubai's property market in 2025.
3. What percentage of foreign residential transactions did Indians account for in 2025?
Indians accounted for 23% of foreign residential transactions in Dubai in 2025.
4. What types of properties are popular among Indian buyers in Dubai?
Indian buyers in Dubai prefer apartments and villas as investment assets.
5. What are the typical rental yields in Dubai compared to India?
Rental yields in Dubai typically range between 6% and 9%, which is higher compared to 2-3% in India.