Dubai's residential market entered a period of normalisation during Q2 2026, with transaction volumes moderating following several quarters of exceptional activity. Residential transactions declined 19% quarter-on-quarter to 35,884, as buyers became increasingly selective amid rising supply, greater housing choice and ongoing regional uncertainty. Despite these near-term headwinds, the report notes that Dubai's long-term market fundamentals remain firmly intact.

The report explores key market trends, including pricing performance, which became more fragmented across communities, a shift towards refinancing-related valuation activity, and the rebalancing of the residential leasing market as supply increased. It also examines residential supply, with approximately 27,300 units handed over during the quarter, representing the highest quarterly delivery volume in recent years.

Looking ahead, the report highlights that developers are increasingly extending delivery timelines and moderating new project launches, supporting a more balanced supply-demand environment over the medium term. It also outlines expectations for a continued period of market normalisation, characterised by moderating transaction activity, elevated handover volumes and increasingly selective buyer behaviour.

Read the full report to explore the latest insights shaping Dubai's residential market.