The real estate developer behind ICONIC Residences Design by Pininfarina, released its buyer insights based on engagements during the first half of 2025. The report outlines shifting preferences among high-net-worth individuals (HNWIs) investing in Dubai’s premium residential market.
The findings highlight a growing preference for lifestyle-led investments, functional layouts, and wellness-driven design, particularly among a younger generation of investors from sectors such as tech, digital finance, and crypto.
Luxury Dubai real estate trends
The report identifies the top factors influencing purchase decisions among Dubai’s premium buyers:
- Privacy and exclusivity – 65 per cent
- Architectural quality and design – 60 per cent
- Location and connectivity – 55 per cent
- Long-term investment value – 50 per cent
- Lifestyle amenities and services – 45 per cent
- Capital appreciation potential – sought by nearly all investors
Demand is strongest for one and two-bedroom layouts, which offer greater flexibility and are well suited to both personal use and short-term rental strategies.
Purchases are becoming more purpose-driven, with 45 per cent buying for self-use, 30 per cent for investment, and 25 per cent opting for a hybrid model that combines both.
Buyers aged between 40 and 50 still make up the majority of the market from diverse professional backgrounds, including finance, private equity, trading, legal, and healthcare.
However, a growing number of younger buyers are entering the Dubai real estate market, said MERED.
More than 85 per cent of buyers asked about amenities in their initial conversations, pointing to increasing demand for lifestyle-enhancing features:
- Private terraces, padel courts, yoga studios, and indoor cinemas
- Ice-spas, kids’ play areas, and wellness-focused design
- Medical-grade air filtration and ultra-purified water systems
- Wooden flooring and heated bathrooms
Michael Belton, CEO of MERED, said: “Today’s generation of investors is sophisticated and discerning, expecting timeless architecture, wellness integration, and a genuine sense of community. At MERED, we see this as an opportunity to set a new benchmark with projects that speak to ambition, identity, and the way people want to live and invest in their future.”
The MERED analysis highlighted four key motivations that consistently influence final purchase decisions:
- Around 40 per cent of buyers are most drawn to the architectural quality and design pedigree of the project
- Another 30 per cent cite long-term investment value and returns as their primary driver
- A further 20 per cent are motivated by lifestyle and the surrounding sense of community
- 10 per cent are focused on the developer’s track record
