Dubai, UAE — The United Arab Emirates has become one of the world’s most attractive real estate investment destinations, outperforming traditional markets such as the United States and Britain despite recent regional geopolitical tensions, according to a new survey commissioned by property developer Arada.
The UAE Property Investment Index, conducted by U.S.-based Penta Group, found that 56% of global property investors expressed serious interest in investing in the UAE, placing it ahead of the United States at 54%, Britain at 41%, France at 28% and Spain at 27%.
The survey, conducted between April 1 and April 23 across 12 markets, polled 689 established property investors and offers one of the most detailed snapshots of international sentiment toward the UAE’s real estate sector.
The findings underscore the growing appeal of Gulf property markets as investors seek diversification, stability and exposure to fast-growing economies.
Regional and International Appeal
Investor interest was strongest among buyers in neighbouring and emerging markets.
More than nine in 10 Indian and Egyptian investors ranked the UAE among their top three investment destinations, while 85% of Saudi investors expressed similar preferences.
The country’s appeal also extended well beyond the Middle East. Among European respondents, the UAE was the most preferred foreign property market for French, German and Swiss investors, highlighting its increasing profile among international buyers traditionally focused on domestic or regional investments.
The survey found that familiarity with the UAE property market has risen significantly, with awareness levels now broadly matching those of the United States and Britain.
Returns and Stability Drive Demand
Strong returns remain the primary attraction for investors globally.
Thirty-eight percent of respondents cited return potential as the most important factor influencing investment decisions, with Australian, Spanish and British investors placing particular emphasis on profitability.
For other investor groups, safety and political stability were more important considerations. Chinese and German investors ranked security, regulatory certainty and economic resilience among their top priorities.
The UAE has spent years building a reputation for transparent property regulations, investor protections and tax efficiency, factors that have helped attract both institutional and private capital.
Ease of purchase was another significant advantage. More than one-third of investors surveyed cited accessibility and ownership rules as a key attraction, reflecting reforms that have simplified foreign ownership and long-term residency options.
Infrastructure Spending Reinforces Growth Story
The survey’s publication coincides with a new wave of infrastructure investment across the UAE aimed at supporting population growth, tourism and economic diversification.
Authorities recently announced major projects including the AED34 billion Dubai Metro Gold Line, plans for what is billed as the world’s first commercial air taxi network and an AED6 billion federal transport corridor designed to improve connectivity between emirates.
Such projects are expected to support long-term property demand by improving mobility, reducing congestion and enhancing the attractiveness of residential and commercial developments.
Developers argue that infrastructure expansion has become an increasingly important factor for international buyers assessing long-term investment prospects.
Real Estate Becomes a Strategic Asset
The UAE property market has undergone a significant transformation over the past decade, evolving from a largely speculative market into one increasingly driven by end-users, long-term investors and international wealth migration.
Government reforms, including expanded visa programmes, retirement residency schemes and initiatives aimed at attracting entrepreneurs and skilled professionals, have broadened the pool of potential buyers.
The sector has also benefited from the UAE’s economic diversification efforts, robust population growth and status as a regional business and financial hub.
For investors facing uncertainty in other global markets, the UAE’s combination of economic stability, infrastructure spending and regulatory openness is increasingly positioning property as a strategic long-term asset rather than a cyclical investment opportunity.
