Why More Expats Are Buying Townhouses Over Apartments in Dubai

Introduction: A Shift in Buyer Behavior

Over the last decade, Dubai’s real estate market has experienced dynamic changes, but one of the most intriguing trends to emerge recently is the growing preference among expats for townhouses over apartments. As urban development sprawls beyond the city center and lifestyle priorities evolve, “Expats buying townhouses Dubai” has become a key talking point for investors, developers, and real estate consultants alike in order to be prepared for UAE real estate market shift in 2025.

Dubai’s #luxury #property sector is seeing a surge in demand, driven by investment from India, the US and the UK.

Great to see the positive effect that visa reforms are having – an example of how savvy policymaking has benefitted our #realestate market.https://t.co/ekeySgoxJj pic.twitter.com/G2j70X8EPM

— Amira Sajwani (@Amira_H_Sajwani) May 8, 2024

While apartments in areas like Downtown Dubai and Marina remain in high demand, a growing segment of international residents—particularly families, remote workers, and long-term investors—are opting for townhouses due to their space, privacy, and long-term value potential.

Lifestyle Preferences: From Vertical to Horizontal Living

Dubai’s vertical skyline is iconic, but more expats are now seeking horizontal spaces that mirror suburban living. According to Property Finder’s data for September 2023, 43% of home seekers were browsing for villas and townhouses, while 57% were searching for apartments.

This shift is driven by several lifestyle-related factors:

• Desire for larger indoor and outdoor spaces
• Preference for private entrances and personal parking
• Growing importance of home offices and remote workspaces
• The need for pet-friendly, family-centric environments

Townhouses offer an ideal compromise: the affordability and manageability of an apartment, combined with many of the lifestyle benefits of a villa.

Space and Privacy: Key Drivers of Change

One of the primary reasons for the rise in expats buying townhouses in Dubai is the demand for more usable living space. Most townhouses come with multiple bedrooms, private gardens, and multi-use rooms, which are essential for larger families or hybrid work setups.

Moreover, townhouses typically provide a greater degree of privacy compared to apartments, which often involve shared lobbies, elevators, and amenities. With townhouses, residents enjoy semi-detached or row-home living, giving them the independence of a private entrance and sometimes even rooftop terraces.

Long-Term Residency Goals and Stability

Townhouses are particularly attractive for expats planning to settle in Dubai for the long haul. With reforms such as the Golden Visa and Property Investor Visa available for buyers of qualifying properties (starting at AED 750,000 for a 2-year visa and AED 2 million for a 10-year visa), owning a townhouse often aligns better with long-term residency and family stability.

Developments in suburban areas like:

• Dubai Hills Estate
• Arabian Ranches
• Mudon
• Tilal Al Ghaf
• Town Square

…have created new lifestyle hubs that cater to expats looking for secure, community-oriented environments with access to schools, parks, retail centers, and leisure facilities.

Comparative Affordability and Value Appreciation

Contrary to common belief, townhouses in Dubai are not always significantly more expensive than premium apartments. In fact, in areas like Dubailand, The Valley, or JVC, modern townhouses can start at prices below AED 1.5 million—making them affordable even for first-time buyers.

According to the CBRE Dubai Residential Market Snapshot Q4 2023, townhouse prices appreciated at a faster rate than apartments in several districts, reflecting growing demand and investor confidence.

Moreover, townhouses generally offer higher capital growth potential and lower service charges when compared to high-rise apartment buildings, which require extensive maintenance for elevators, shared HVAC systems, and common areas.

Better ROI and Rental Demand

While luxury apartments offer short-term rental opportunities in tourist-heavy areas, townhouses are gaining ground in the mid- to long-term rental segment, especially among expat families relocating to Dubai. Communities like Mira, Reem, and Serena have become attractive due to their affordable pricing, quality infrastructure, and proximity to schools and green spaces.

Although precise rental yield figures may vary depending on property size and location, townhouses in these communities are known for stable tenant demand and longer lease durations, which can result in lower vacancy risks and more consistent rental income. This makes them an increasingly appealing option for investors seeking reliable cash flow over speculative short-term gains.

Evolving Developer Strategies and Payment Plans

Recognizing the surge in interest, top UAE developers are now prioritizing townhouse launches within master-planned communities. Notable examples include:

• Emaar’s The Valley and Expo Golf Villas
• Nshama’s Town Square Townhouses
• Damac Lagoons targeting Mediterranean-themed family living
• Majid Al Futtaim’s Tilal Al Ghaf, combining waterfront living with affordability

Additionally, developers are offering new financing options in 2025 UAE real estate development including flexible post-handover payment plans, often stretching 3 to 5 years, reducing entry barriers for expats and first-time buyers.

Community Living with Urban Connectivity

Today’s townhouse communities are no longer remote or disconnected. Many are just 20–30 minutes from central business hubs like Downtown Dubai, Business Bay, and DIFC. With improved road networks and the development of public transport extensions such as the Dubai Metro Route 2020, residents enjoy the perfect blend of urban accessibility and suburban tranquility.

Furthermore, townhouse zones are often embedded in self-sustained micro-cities featuring:

• Retail centers
• Health clinics
• International schools
• Jogging tracks and green parks

These amenities appeal strongly to expats prioritizing family lifestyle and community belonging.

Regulatory Support and Visa Integration

Government reforms in property ownership and visa issuance have further encouraged expats to invest in townhouses. With the UAE allowing 100% freehold ownership in many zones, and residency options tied to real estate investment, townhouses have become a pathway to long-term life in Dubai.

For example:

• A townhouse worth AED 2 million qualifies the owner for the 10-year Golden Visa
• Properties over AED 750,000 may qualify for a 2-year renewable investor visa
• Residency visas extend to spouses, children, and sometimes domestic helpers, promoting family migration

Challenges to Consider

Despite the benefits, there are still a few considerations for expats exploring townhouse ownership:

• Location trade-offs: Townhouses may be farther from beachfronts or urban entertainment centers
• Financing eligibility: Some expats may face stricter mortgage requirements compared to UAE nationals
• Community development timelines: In emerging areas, some infrastructure may still be under construction

However, for buyers focused on value-for-money, long-term living, and family comfort, these challenges are often outweighed by the advantages.

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