---
title: "Dubai Property Sales Tumble but Settle at True Value"
url: https://stacklist.com/card/45bf9102-f892-4c25-bb4b-8c04fc1a99ea
source_url: "https://www.agbi.com/analysis/real-estate/2026/07/dubai-property-sales-tumble-but-market-settling-at-true-value/"
stack: https://stacklist.com/c/finance/stack/6d5c7d43-90a4-4a90-a10f-0df7dab87d0a
summary: "Dubai's property market saw residential transactions drop nearly a third and sales value fall almost 40 percent in Q2 2026, following five years of rapid growth that saw total sales value increase 866 percent. Analysts say the slowdown reflects a healthy normalization rather than a broad correction, with pricing per square foot still rising 6.5 percent and the market settling at its \"true value.\""
tags: "dubai-real-estate, property-market, off-plan, market-correction, residential-transactions, pricing, uae"
key_entities: "Dubai (location), Dubai Land Department (organization), DXB Interact (organization), Savills (organization), Betterhomes (organization), Harry Martin (person), Richard Waind (person), Josh Corder (person), AGBI (organization), off-plan property (concept), market normalization (concept), Abu Dhabi (location), Sharjah (location)"
classification: "analysis"
content_hash: "sha256:9e7ea78a3fe32b570ba842dee62861ce1d494cf3ba46b882ad23b1f190bf9726"
acp_version: "0.2"
token_counts_approximate: 1277
visibility: public
agent_accessible: true
status: "final"
---

# Dubai Property Sales Tumble but Settle at True Value

Analysis Real Estate Dubai property sales tumble but market settling at ‘true value’ By Josh Corder July 21, 2026 4:00 AM X LinkedIn Facebook Copy link Between 2020 and 2025, the total sales value increased 866% in Dubai Copyright: IMAGO/Aviation-Stock via Reuters Transactions down almost a third Pricing to stay ‘broadly resilient’ Completed homes at five-year high Dubai’s property market is entering a phase of less speculation, fewer launches and more realistic pricing, analysts and brokers said. New data shows how the market has reacted to almost six months of war after five years of growth. Dubai Land Department (DLD) figures compiled by property statistics website DXB Interact show more than 38,000 residential transactions in the second quarter of 2026, down almost a third from an all-time high a year earlier. The value of sales fell almost 40 percent to AED110.4 billion ($30 billion) over the same period. However, analysts are encouraged by price per square foot, which is up 6.5 percent. They say the market may find its “true value” after years of surging gains and non-stop property launches. Between 2020 and 2025, the total sales value increased 866 percent in Dubai, according to DLD data. Price per sq ft almost doubled over the same period. “Current evidence suggests the market is normalising rather than undergoing a broad-based correction. Fewer new launches in Q2 are also likely to soften transaction volumes in Q3,” real estate services company Savills said in a quarterly report. It expects the market to “transition into a period characterised by moderating transaction activity, elevated handover volumes and increasingly selective buyer behaviour”, with pricing “likely to remain broadly resilient overall”. The off-plan market – homes bought before they are constructed – still dominates transactions, accounting for 75 percent of sales volume and 73 percent of sales value in the quarter. Harry Martin, brokerage Betterhomes’ head of off-plan and capital markets, expects that to change. “I think there should be a rebalancing between secondary and off-plan transactions. We’ve always been weighted toward off-plan, partly because delivery has been slower over the years, and now we’re getting more established communities where secondary transactions will start to catch up,” he said. Further reading: Foreign deals in Abu Dhabi real estate double Emirati investors help spur $8bn of deals in Sharjah real estate Rental market splits in Emirates as Dubai cools while north heats up AGBI reported in April that the dominance of off-plan could start to diminish with the war. Developers pulled back sharply on new launches, with off-plan starts down about 90 percent between the first and second quarters, according to Savills. Martin said the caution was healthy: “It lets things settle and find their true value. For investors, it also means the developers still launching tend to be the more established ones with full supply chains and strong brands, so buyers are getting a more secure product.” The slowdown follows signs of strain earlier in the year, when sellers started cutting asking prices and mortgage lending held up better than the cash sales market. Separately, Dubai delivered its highest volume of completed homes in five years in the second quarter, at about 27,000 units, up from around 7,000 in the first quarter, Savills said. Those units largely reflect projects launched roughly three years ago. “Fundamentally, we still have buyers active in the market and, more importantly, we’re not seeing any wholesale panic selling,” Betterhomes chief executive Richard Waind said. “From the data, and anecdotally on the sales floor, market activity has been led largely by residents with a long-term view.” Register now: It’s easy and free AGBI registered members can access even more of our unique analysis and perspective on business and economics in the Middle East. Why sign uP Exclusive weekly email from our editor-in-chief Personalised weekly emails for your preferred industry sectors Read and download our insight packed white papers Access to our mobile app Prioritised access to live events Register for free Already registered? Sign in I’ll register later Advertisement Related Content: Construction , Real Estate Analysis Real Estate Dubai buyers look beyond the label on branded homes August 27, 2026 Markets Saudi mortgage refinancer’s sukuk 7 times oversubscribed August 25, 2026 Construction Dubai housing supply surges as project completions accelerate August 21, 2026 Real Estate Arada expands in Australia with Gold Coast residential project August 20, 2026 Trending Brent crosses $90 as US and Iran exchange strikes August 31, 2026 Gulf borrowing costs rise as US debt and AI vie for capital August 28, 2026 Iran route is dominant Hormuz channel but shuttling grows August 28, 2026 LIV Golf cuts workforce as PIF funding ends August 27, 2026 UAE living costs a bigger concern for teachers than war August 27, 2026