AI set to transform Dubai real estate with smarter valuations and predictions

Dubai: The global AI in real estate market reached $222.65 billion in 2024 and will surge to $975.24 billion by 2029, at a 34.1% compound annual growth rate, according to the AI in Real Estate Global Market Report 2025 by The Business Research Company. Dubai sits at the forefront of this shift as developers, brokers, and investors harness machine learning, natural language processing and computer vision to decode market signals faster than ever before.

Leaders in the emirate’s property sector see AI not as a replacement for human judgment but as a tool that sharpens decisions amid rapid urban growth. When paired with local data on infrastructure projects, tourism flows and demographic changes, AI uncovers trends that once took years to emerge. This positions Dubai to sustain its edge in a competitive global market fueled by surging internet penetration and IoT adoption.

Dubai’s real estate thrives on speed, and AI delivers it through predictive analytics and price optimisation. Tools now forecast property values by cross-referencing mobility patterns, upcoming supply pipelines and buyer behaviour. Developers gain early warnings on demand hotspots, allowing them to target undervalued areas before prices spike.

“AI is becoming one of the most dependable strategic tools in Dubai’s real estate landscape,” said Blagoje Antic, Chairman and CEO of DHG. “When AI is paired with the data we already track, such as infrastructure investment, mobility patterns, tourism behaviour, demographic shifts, and upcoming supply, we start to see market signals that previously took years to surface.” He noted this foresight helps pinpoint rising communities, fill product gaps and flag risks, enabling confident moves in a city that reinvents itself constantly.

Rui Liu, Chairman and Founder of LEOS Developments, echoed the point from a developer’s view. AI spots behavioural patterns, infrastructure shifts and design preferences to reveal sub-sectors humans might miss. “This kind of intelligence gives developers and investors a clearer, earlier view of where demand is heading, allowing us to de-risk decisions well before capital is deployed.”

Gone are the days when brokers simply list properties. AI handles chatbots, customer analytics, lead generation and virtual tours, freeing agents to focus on high-value guidance. In Dubai’s fast-paced market, success now hinges on interpreting AI outputs to match client needs with tailored opportunities.

“The future of brokerage is not about processing transactions; it is about offering advisory strength. AI can analyse data at a scale no human team can match, but it still needs a professional who can interpret the output, decide what truly matters and translate it into clear guidance for clients,” said Antic. He stresses that trust, empathy and intuition remain vital, with AI managing the heavy lifting.

Liu agreed agents will thrive by personalising AI insights. “In an engineered, AI-driven brokerage model, success won’t come from access to information as AI already handles that. It will come from interpretation, personalisation, and trust. Agents who can translate AI insights into meaningful guidance, understand a client’s emotional and financial motivations, and curate tailored solutions will remain indispensable.”

As AI powers real-time valuations and automated transactions, calls for robust oversight grow louder. Dubai’s regulatory framework already supports transparency, but experts urge stronger rules on data privacy, bias prevention and accountability to maintain investor confidence.

Antic pointed to the need for clarity. “As AI becomes more integrated into valuations and transactions, investors will expect clarity on the data being used, the logic behind valuations and the safeguards protecting personal and financial information. Dubai already has a strong regulatory foundation, and strengthening the governance around AI will reinforce the transparency, fairness and security that support long term market confidence.”

Liu added that ethical management proves critical. “With such powerful tools in play, ethical and regulatory safeguards become essential. Real-time valuations, predictive models, and data-driven recommendations must be transparent, fair, and responsibly managed. Dubai’s leadership in AI makes this even more important: ensuring privacy, preventing bias in automated valuations, and maintaining human accountability will be key to sustaining trust across the market.”

The AI real estate surge traces to IoT growth and internet access, now at 67% globally. Technologies like computer vision enable property image analysis and augmented reality tours, while natural language processing drives sentiment analysis and voice search. Solutions span CRM, data visualisation and property management for large firms and SMEs alike, applied across design, construction and sales.

Major players like Zillow, Compass and Redfin push innovations such as AI price engines and virtual staging. Housing.com’s recent launch offers users ML-driven pricing trends for smarter buying and renting. In Dubai, these tools align perfectly with the emirate’s smart city ambitions, amplifying applications in promotion, predictive maintenance and tenant experiences.

“AI is not redefining real estate. It is refining how decisions are made,” Antic noted. “It gives developers more accurate insights, gives brokers a more strategic and consultative role and gives investors greater certainty in a rapidly shifting landscape, and this is what positions Dubai’s real estate sector to remain resilient, competitive and ready for its next phase of growth.”

Dubai’s blend of cutting-edge tech and human insight ensures it leads this transformation. As AI scales from $301.58 billion globally in 2025 toward nearly $1 trillion by decade’s end, the emirate’s market stands poised for exponential gains in efficiency, personalisation and investor returns.