Dubai Property Market in H1 2026: Sales, Supply and Demand

Dubai’s property market recorded nearly AED420 billion in transactions during the first half of 2026, according to Dubai Land Department data. Approximately AED286 billion came from property sales. Compared with the AED431 billion registered during H1 2025, the 2026 total was within 3 per cent of the previous year’s level.

At the same time, a growing share of the development pipeline became finished housing. Figures released by the Dubai Land Department show that 24,537 new residential units were completed during the six months, up 36 per cent from H1 2025. Transaction values therefore remained substantial as considerably more homes became ready for occupation.

The H1 Figures in Context

The headline total needs a little unpacking. Land Department records covering 1 January to 30 June contain nearly 113,000 transactions across various categories. Almost 86,000 of these registrations were property sales, while mortgages contributed a further AED102 billion. Finance therefore continued to play a substantial part in market activity.

Sales and total transactions measure different things. The first records property purchases, whereas the broader figure also encompasses mortgage registrations and gifts. Keeping that distinction in view provides a more accurate reading of the half-year results.

The first quarter set the pace. Dubai Land Department reported AED252 billion across 60,303 real estate transactions between January and March. Value rose by 31 per cent year on year and volume by 6 per cent, while property investments reached AED173 billion across 57,744 registrations.

H1 2025 remains the first-half benchmark, when Land Department figures recorded 125,538 transactions valued at approximately AED431 billion. Even so, the relatively narrow difference in value shows that the Dubai property market carried much of its earlier momentum into 2026.

 

Off-Plan Property Retains Its Lead

Dubai Land Department’s residential sales records indicate that off-plan property remained the larger part of activity. Approximately 58,800 transactions were registered with a combined value approaching AED140 billion, compared with around 24,700 ready-home sales worth almost AED106 billion.

Value presents a more balanced picture than transaction numbers alone. Off-plan property represented about 70 per cent of residential sales by volume, but nearer 57 per cent by value. Buyers continued to commit substantial funds to developments under construction, while completed homes attracted a sizeable share of residential capital.

The two segments work to different purchasing timetables. Off-plan payment schedules spread the cost across construction and provide access to newly released projects. Ready homes answer a more immediate requirement: they can be occupied or leased at once, while their condition, surroundings and current service costs can be assessed directly.

 

More Homes Reach Completion

Project delivery also accelerated during the first half of the year. According to Dubai Land Department figures published by the Emirates News Agency, 104 real estate projects reached completion, compared with 75 during H1 2025. Their investment value exceeded AED111 billion, rising from AED73 billion a year earlier.

The increase was also evident in residential supply. New units rose from 18,043 to 24,537, while completed and ready-for-handover built-up area grew from 1.58 million to 1.95 million square metres. The value of land allocated to completed projects reached AED19.46 billion.

 

Population Growth Supports Housing Demand

Population growth provides one of the clearest fundamentals behind housing demand. Figures published by the Government of Dubai Media Office show that Dubai ended 2025 with 4.58 million residents, having added 332,000 people during the year, an increase of 7.5 per cent.

The effect extends across different parts of the residential market. Proximity to employment and transport may guide some households towards apartments, while families settling for longer periods often require additional bedrooms, outdoor space and access to schools.

Rental registrations offer more immediate evidence of housing activity. According to Land Department figures published by the Government of Dubai Media Office, contracts registered during Q1 2026 were valued at AED32.2 billion. Of these, 118,385 were new agreements and 135,607 were renewals.

Meanwhile, official economic data for Q1 shows that real estate activities generated approximately AED26 billion in gross value added. The sector grew by 3.1 per cent year on year and contributed 11.2 per cent of Dubai’s GDP, while construction expanded by 8.2 per cent.

 

Demand at the Upper End

Activity at the upper end followed a similarly positive course. Dubai Land Department classified AED87.71 billion of Q1 investment as luxury real estate, 26 per cent more than in the corresponding period of 2025. Its figures also show that foreign property investment reached AED148.35 billion during the quarter, recording the same rate of annual growth.

Together, the two measures indicate substantial international participation and continued capital activity within the luxury category. Here, the merits of the individual home carry particular weight. Delivery, privacy, internal volume, outlook and long-term management can matter as much as the wider direction of the market.

 

What the Second Half Will Reveal

Dubai’s longer-term plans give the next phase a defined setting. The Dubai Real Estate Sector Strategy 2033 seeks to increase transaction volumes by 70 per cent, raise the market’s value to AED1 trillion and lift the homeownership rate to 33 per cent. According to the Dubai Land Department, its programmes place emphasis on data, transparency, sustainable communities and wider access to ownership.

For buyers, citywide figures establish the broader direction, but the closer judgement remains property-specific. A completed home can be assessed through its condition, service charges and established surroundings. With an off-plan purchase, the developer’s delivery record, payment schedule and the project’s place within its district become equally relevant.

The picture emerging from H1 is one of sustained capital activity accompanied by a greater volume of finished housing. By mid-2026, completed square metres had become as informative as registered dirhams. The next set of results will show how these homes are occupied, leased and resold as Dubai’s population and residential choices continue to expand.