The 90% signal: Why Dubai's property market is quieter than it looks and busier than you think
Three months on from the regional disruption that began in late February 2026, Dubai's property market is in an interesting position. Transaction volumes are down. But the data behind those numbers tells a more considered story, and for buyers, sellers, landlords and tenants, the current moment is worth paying close attention to.
Here is what betterhomes' June 2026 market webinar revealed.
A three-week month skewed the numbers
DLD secondary sales transaction volumes fell 25% month-on-month in May, with apartments down 18% and villas and townhouses down 44%. Read in isolation, that sounds significant. betterhomes recorded transaction values up more than 60% month-on-month, with volumes holding flat despite Eid shortening the month to roughly three trading weeks. DLD data for the same period showed overall secondary sales volumes down 25%, reflecting the same shortened period rather than a shift in market direction.
Sales listings were up around 5% and sales inquiries similarly up around 5%. Buyer inquiries dipped slightly, around 6%, but again, a shortened month accounts for much of that.
May was building strong momentum before the break. The underlying picture is one of a real estate market finding its footing.
The portal data point that changes the narrative
The most telling figure from the webinar did not come from DLD. It came from one of the UAE's major property portals. Across all metrics, online activity is now at 90% of pre-conflict levels and 5% above the average baseline for the whole of 2025. Given that 2025 was a record year, that is a significant figure.
What it points to is a large cohort of buyers who are active, informed and ready, but not yet transacting. They are browsing property for sale and rent listings, running the numbers, and speaking to mortgage brokers to secure agreements in principle. Pent-up demand in its clearest form, waiting for a catalyst.
Why apartment sellers are moving and villa owners are waiting
The secondary sales data reveals a clear split between segments. Owners of apartments, many of whom are investors rather than owner-occupiers, are showing more pricing flexibility. With a high volume of supply and more coming, motivation to transact is greater, and that is showing up in more competitive asking prices.
Villas for sale in Dubai tell a different story. Owners are largely in wait-and-see mode. A higher proportion of end users means less pressure to sell, and many are holding their position until there is greater regional certainty. This is not market weakness. It is a rational, segmented response to current conditions.
Off-plan is still 65% of this market
The off-plan segment continues to dominate, accounting for more than 65% of total transaction volume in May. Volumes were down approximately 45% month-on-month, reflecting both the shortened trading period and a notable drop in new developer launches.
The quality story remains strong. Buyers are gravitating toward established communities and reputable developers in Dubai. Values for townhouses and villas were up 7-8%. Meanwhile, apartment values dipped approximately 26%, in line with broader supply dynamics. Off-plan projects in the UAE are still a significant part of the conversation, accounting for the bulk of that volume.
12 enquiries per listing: leasing's supply-demand shift
Leasing saw one of the most notable data shifts of the month. Inquiries rose close to 30% while new listings fell, pushing the inquiry-to-listing ratio from 6:1 in April to 12:1 in May. Rental stock on portals is now around 70% above pre-conflict levels. betterhomes' own rental listings are close to 90% up on the same period.
Tenants have more choice than they have had in some time, and they know it. The tone of enquiries has shifted. Less urgency, more discernment. People are viewing more before making a decision. Landlords who are pricing pragmatically and presenting well-maintained properties are seeing strong results. Those holding out are finding both brokers and tenants moving on quickly.
For anyone leasing a property in Dubai over the coming months, this is one of the better windows in recent years to secure a longer-term tenancy at a competitive rate. Landlords are motivated, choice is wide, and negotiating power sits firmly with tenants. The same applies to those considering apartments for rent in Abu Dhabi particularly given the new rental freeze now in effect there.
Abu Dhabi just changed the rules for landlords and tenants
Two regulatory developments from Abu Dhabi are worth noting. From 2 June 2026, the Abu Dhabi Real Estate Centre imposed a 0% cap on all rental increases, reduced from the previous 5% limit. This is enforced digitally through the Tawtheeq registration system across residential, commercial and industrial properties. No end date has been confirmed.
Separately, landlords can now initiate tenant credit checks directly through the UAE Pass app. Previously, tenants had to download their own credit report and submit it voluntarily. The new process sends the report directly from the credit bureau to the landlord once the tenant approves the request. A meaningful step toward greater transparency across the UAE rental market, whether you are renting an apartment in Dubai or an apartment in Abu Dhabi.
Why summer 2026 may be the last cheap entry point for a while
The message from betterhomes' leadership is consistent: the current period is a strategic window for buyers, and it will not stay open indefinitely.
Once regional certainty returns, whether through a peace agreement or simply the passage of time, seller sentiment will firm and the dynamics of negotiation will shift. Q4 of 2026 is widely expected to bring a seasonal uplift, with families returning, the school year resuming, and Dubai entering what is arguably its best time of the year to live and work.
As betterhomes CEO Louis Harding put it: "As a buyer, you might kick yourself if you don't make the most of what I think is a window now. The question that no one can answer is when it closes. But when it does, it is probably too late."
The market is quieter than it was. But the data suggests it is far from idle. For those ready to move, the conditions are there. Whether you are searching for property for sale or leasing, or exploring real estate agents in Dubai to guide your next move, betterhomes' specialists are here to help.
