Dubai’s real estate sector kicked off 2026 with remarkable strength, setting a new record with a total transaction value of AED 72.4 billion (approximately $19.7 billion) in January. This impressive figure, reported by Property Finder, illustrates a significant year-on-year increase of 63%, primarily influenced by a 90% boost in the primary market. As interest in Dubai’s properties continues to escalate, the market appears poised for an exciting year ahead.

Market Highlights for Early 2026

The early months of 2026 saw new buyer inquiries rise by over 25% when compared to December 2025, with a prominent portion—over two-thirds—coming from individuals earning monthly incomes exceeding AED 40,000 ($10,890). Notably, Property Finder reported that more than 85% of transactions were driven by owner-occupiers. The positive trend continued into February, with transaction values growing by 19% year-on-year, further solidifying the market’s momentum.

In addition, the commercial real estate sector recorded astonishing growth of 118%. According to Mortgage Finder, a staggering 88% of clients were purchasing homes for personal use rather than investment. The market was characterized by a strong underlying demand, although regional conflicts began affecting activities later in February. Property Finder’s analysis for March indicated an 8% decline in transaction volume year-on-year and a 19% drop month-on-month due to the unrest. Meanwhile, the secondary market experienced a 34% contraction as buyers sought immediate reassurance, pulling back from active participation.

Insights from Property Finder

Despite challenges, the primary market remained resilient. According to Property Finder’s data, the primary market grew by 18% year-on-year during the turbulent period, with off-plan transactions increasing by 20% year-on-year as well. This points to a continued commitment from buyers with a long-term vision for Dubai’s real estate landscape, often focusing on projects with delivery timelines of two to three years.

The reports also revealed that the Dubai Land Department-registered mortgage values reached AED 9.02 billion ($2.5 billion) in April. Concurrently, rental contract volumes showed a 16% year-on-year increase, as tenants who had initially delayed renewing contracts resumed their relocation activities. Lenders, which had previously tightened financing criteria, began reverting to more lenient pre-conflict policies in recent weeks, indicating a resurgence in institutional confidence.

Impact of Visa Reforms on Market Outlook

Cherif Sleiman, Chief Revenue Officer at Property Finder, commented on the market’s fluctuations. He stated, “Every market encounters moments of uncertainty; what’s crucial is the data once that uncertainty subsides. The statistics from these four months decisively illustrate that those who hesitated in March were making strategic timing choices rather than basing their decisions on market fundamentals.”

April brought renewed fervor to the market, with villa searches on Property Finder accounting for 46% of all sale queries—the highest percentage observed this year. Furthermore, mortgage activity peaked at AED 9.02 billion, and investor intent surged nearly fourfold. The data implies that the market does not require salvaging; it simply needed time to adjust.

The analysis indicates that Dubai’s property market is structurally more robust now than it was just a year ago. Importantly, the Dubai Land Department has scrapped minimum property value thresholds for the two-year investor visa and relaxed upfront conditions for the ten-year Golden Visa, laying the groundwork for a stable, data-driven recovery in the coming months.