Dubai’s residential property market recorded AED 55.18 billion in transactions across 15,756 sales in January 2026, reflecting a 43.9% year-on-year increase in transaction value and a 19.1% rise in transaction volumes, according to Springfield Properties’ January 2026 Dubai Real Estate Market Report.
The January performance provides a strong baseline for the year, supported by sustained buyer participation across both off-plan and ready residential segments. Activity remained underpinned by population growth, infrastructure delivery, and continued demand from end-users and long-term investors seeking well-located, appropriately priced homes.
Off-plan properties accounted for 71.27% of total residential activity during the month, with 11,229 transactions valued at AED 39.33 billion. The secondary market contributed 4,527 transactions worth AED 15.86 billion, supported by end-user demand in established communities and selective investor interest in completed assets offering immediate occupancy or rental income.
Farooq Syed, CEO of Springfield Properties, said: “The January figures point to a market that continues to operate with depth and liquidity. When transaction volumes and values rise together, it reflects sustained demand rather than price-driven activity. What we are seeing at the start of 2026 is disciplined buyer behaviour, with a clear focus on location quality, pricing alignment, and long-term suitability”.
Transaction activity during the month was concentrated in high-volume residential communities including DAMAC Islands 2, Jumeirah Village Circle, and Dubai South. Established master-planned developments such as Dubai Hills Estate, Dubai Creek Harbour, and Dubai Islands continued to attract steady end-user interest, supported by mature infrastructure and long-term liveability.
Residential prices remained stable in January, with the average sale price reaching AED 1,924 per square foot, compared with AED 1,685 per square foot in January 2025. On a month-on-month basis, prices softened marginally by 0.26%, reflecting a period of price stabilisation following sustained gains.
Buyer activity remained concentrated in the mid-market segment, with properties priced between AED 1 million and AED 3 million accounting for 49.09% of total transactions. Homes priced below AED 1 million represented 22.91% of activity, while properties above AED 10 million accounted for 6.39%, highlighting continued demand for prime and ultra-prime residential assets.
“As we move further into 2026, the data points to a market that has matured. Buyers are selective, developers are more measured, and pricing is increasingly aligned with real demand. That combination is what underpins long-term stability”. Added Farooq.
Dubai’s residential real estate market enters 2026 with solid fundamentals in place, supported by population growth, a diversified buyer base, and continued demand across both new developments and established communities.
