Executive Summary
Dubai’s real estate market entered 2026 with steady activity across key residential segments, underpinned by disciplined buyer behaviour and a continued emphasis on location, pricing alignment, and long-term suitability. Established and well-planned communities maintained strong appeal, while ongoing development activity expanded the breadth of residential options across the city. Government planning, infrastructure delivery, and population growth remain central pillars supporting market confidence as the year begins.
This underlying confidence translated into solid market performance in January 2026, with the total market activity reached approximately AED 72 billion in January 2026, comprising AED 55.18 billion in residential transactions and AED 17.06 billion in commercial sales.
Dubai Real Estate Residential Market Performance Overview January 2026
January 2026 activity reflects a stable start to the year, with 15,756 residential transactions recorded at a total value of AED 55.18 billion. While volumes eased from December’s peak, performance remained materially stronger year-on year, supported by resilient pricing and continued demand for well-positioned residential assets.
Residential transaction volume eased in January 2026, with 15,756 transactions recorded, down from 17,249 in December 2025. In contrast, transaction value rose 17.2%, increasing from AED 46.43 billion to AED 55.18 billion, indicating a shift toward higher-value transactions despite lower overall volumes.
Dubai Real Estate Off-plan vs. Secondary Market in January 2026
Off-plan transactions accounted for 71.3% of total residential sales in January 2026, with 11,229 transactions valued at AED 39.33 billion. Secondary market transactions represented 28.7% of total activity, with 4,527 transactions valued at AED 15.86 billion.
Top Performing Areas
Sales volumes in January 2026 were led by DAMAC Islands 2, which recorded 1,081 transactions at an average price of AED 1,307 per sq. ft., reflecting strong demand for value-driven master-planned communities.
High activity was also seen in Jumeirah Village Circle and Dubai South, supported by relatively affordable pricing and broad end-user appeal.
In contrast, prime destinations such as Dubai Islands, Dubai Creek Harbour, and Dubai Hills Estate recorded lower volumes but higher average prices, while Dubai Maritime City achieved the highest pricing at AED 3,107 per sq. ft.
| Area | Volume | Average Price (AED/Sq. Ft.) |
| DAMAC Islands 2 | 1,081 | AED 1,307 |
| Jumeirah Village Circle | 989 | AED 1,459 |
| Dubai South | 899 | AED 1,521 |
| Dubai Islands | 644 | AED 2,615 |
| Dubai Creek Harbour | 601 | AED 2,610 |
| Dubai Hills Estate | 436 | AED 2,598 |
| Dubai Maritime City | 344 | AED 3,107 |
| The Oasis | 335 | AED 2,064 |
| Grand Polo Club and Resort | 270 | AED 1,849 |
Overall, the data highlights a clear divide between high-volume affordable locations and lower-volume premium areas, reinforcing the depth and diversity of Dubai’s residential market.
Dubai Real Estate Price Trends in January 2026
The average residential sale price in January 2026 stood at AED 1,924 per square foot, compared with AED 1,685 per square foot in January 2025. On a month-on-month basis, prices recorded a marginal 0.26% softening compared with December 2025.
| Apartments | Villas | Townhouses | |
| Off-Plan | AED 2,071/ Sq. Ft. | AED 2,310/Sq. Ft. | AED 1,402/Sq. Ft. |
| Secondary | AED 1,775/Sq. Ft. | AED 2,442/Sq. Ft. | AED 1,496/Sq. Ft. |
Sales Price Mix
| Price Range (AED) | No. of Transactions | Sales Price Mix (%) |
| 0 – 1M | 3,547 | 22.91% |
| 1M – 3M | 7,601 | 49.09% |
| 3M – 5M | 2,272 | 14.67% |
| 5M – 10M | 1,074 | 6.94% |
| 10M+ | 990 | 6.39% |
In January 2026, Dubai’s residential sales activity was predominantly driven by mid-market properties, reflecting sustained end-user and investor demand within accessible price brackets.
Properties priced between AED 1 million and AED 3 million accounted for the largest share of transactions, representing 49.09% of total sales. This segment continues to form the backbone of market activity, supported by strong demand for apartments and townhouses across established and emerging communities.
The sub-AED 1 million segment contributed 22.91% of transactions, highlighting ongoing interest from first-time buyers and value-focused investors, particularly in affordable apartment developments.
Sales in the AED 3 million to AED 5 million range made up 14.67% of the market, indicating steady absorption in the upper mid-market, driven by upgraded residences and larger family-oriented units.
Luxury and high-end transactions remained resilient. Properties priced between AED 5 million and AED 10 million accounted for 6.94% of sales, while AED 10 million-plus properties represented 6.39%, underscoring continued confidence among high-net-worth individuals despite a more selective buying environment.
Dubai Real Estate Commercial Market Overview January 2026
Dubai’s commercial real estate market recorded 1,446 transactions in January 2026, with a total sales value of AED 17.06 billion, reflecting strong investor confidence across multiple asset classes.
Land transactions dominated activity, accounting for 63.4% of total value (AED 10.82 billion), underscoring continued demand for development opportunities. Office sales followed with 19.2% of total value, while whole buildings, retail assets, and hotel apartments collectively contributed to a diversified transaction mix.
In comparison, the market recorded 917 transactions valued at AED 9.34 billion in January 2025, highlighting a significant year-on-year increase in both volume and value. Activity also rose month-on-month from 1,262 transactions worth AED 15.90 billion in December 2025, indicating continued momentum entering 2026.
| Category | Volume | Sales (AED) | % Total |
| Land | 243 | AED 10,823,780,217 | 63.45% |
| Office | 679 | AED 3,274,310,136 | 19.19% |
| Whole Building | 32 | AED 1,180,920,419 | 6.92% |
| Retail | 139 | AED 673,488,608 | 3.95% |
| Hotel Apartment | 208 | AED 660,064,739 | 3.87% |
| Others | 145 | AED 447,237,579 | 2.62% |
| Total | 1,446 | AED 17,059,801,698 | 100% |
Overall, commercial market performance reflects strong capital deployment, led by land acquisitions and supported by sustained interest across income-generating assets.
Dubai New Real Estate Project Launched in January 2026
Activity remained concentrated in established areas with strong connectivity.
The Heights Country Club and Wellness by Emaar
The Heights Country Club and Wellness by Emaar, located in Dubailand, offering 3–5 BR villas starting from AED 6.5M with an 80/20 payment plan, completing Q3 2030.
Grove Ridge & Vista Ridge by Emaar
Grove Ridge & Vista Ridge by Emaar, located in Emaar South, featuring 1–3 BR apartments and 3 BR townhouses starting from AED 1.27M with an 80/20 payment plan, completing Q3 2029.
Greencrest by Emaar
Greencrest by Emaar, located in Dubai Hills Estate, offering 1–3 BR apartments starting from AED 1.57M with an 80/20 payment plan, completing Q2 2029.
Maybach Towers by Binghatti
Maybach Towers by Binghatti, located in Mercedes Benz Places, Binghatti City, offering studios and 1–3 BR apartments starting from AED 1.6M with a 70/30 payment plan, completing Q2 2028.
The Edit at D3 by Meraas
The Edit at D3 by Meraas, located in Dubai Design District, offering 1–4 BR apartments and penthouses starting from AED 2.0M with a 75/25 payment plan, completing Q2 2030.
Cedarwood by Wasl
Cedarwood by Wasl, located in Jumeirah Golf Estates, offering 4–6 BR villas starting from AED 12.79M with a 50/50 payment plan, completing Q4 2028.
Inaura Hotels & Residences by Arada
Inaura Hotels & Residences by Arada, located in Downtown, offering 1–4 BR apartments and 5–6 BR sky villas starting from AED 3,599,000 with a 50/50 payment plan.
Y Views by ORA
Y Views by ORA, located in Bayn, offering 4–6 BR villas starting from AED 10.6M.
Looking Ahead
January 2026 data points to a residential market characterised by depth, liquidity, and disciplined demand. Dubai’s residential market enters the year on stable footing, with fundamentals in place to absorb new supply while maintaining pricing resilience across key segments.
Sources
- Property Monitor
- Springfield Research
