The Dubai real estate market had a strong start to 2026. The Dubai Land Department reports that real estate transactions totaled AED 111 billion ($30.22 billion) in January 2026, an 88 percent increase over January 2025.
Strong demand throughout the market was confirmed by the 22,108 total real estate transactions, which represented a 24 percent year-over-year increase. This impressive start highlights the increasing trust of investors and solidifies Dubai’s standing as one of the top real estate investment locations globally.
Increasing Market Participation and Investor Activity
By early 2026, investor participation continued to rise. In January alone, 10,427 new investors entered Dubai’s real estate market, which is a 35% increase compared to the same period last year.
This expansion highlights the growing number of investors and growing confidence in Dubai’s real estate market, which is driven by well-defined rules and disciplined market practices.
Strong Momentum Built on a Record-Breaking 2025
The performance in January 2026 builds on an exceptional year for Dubai real estate in 2025. Over 270,000 real estate transactions of AED 917 billion ($249.69 billion) were registered during the year, indicating a 20% increase from the previous year.
In 2025, sales, leases, and real estate services were recorded for 3.11 million of all real estate transactions. This was a 7% rise over 2024, indicating growing demand and the sector’s expanding contribution to Dubai’s economy.
Performance of Luxury Properties and Important Transaction Areas
Investments in luxury Dubai real estate reached AED 3.98 billion, representing a 5% increase. The statistics also revealed that it took an average of 4.8 years for a renter to become an investor in real estate, highlighting the growing appeal of property ownership in Dubai.
Al Barsha South Fourth, Business Bay, Wadi Al Safa 5, Dubai Airport City, Dubai Marina, Jebel Ali First, Al Yelayiss 1, Wadi Al Safa 3, Dubai Investment Park Second, and Al Thanyah Fifth were the areas with the highest transaction volume.
Business Bay, Dubai Marina, Palm Jumeirah, Burj Khalifa, Al Barsha South Fourth, Mohammed Bin Rashid Gardens, Dubai Airport City, Wadi Al Safa 5, Wadi Al Safa 3, and Al Yelayiss 1 were the best-performing areas by transaction value.
Dubai Real Estate Outlook for 2026
The Dubai real estate market is making steady progress toward the objectives of the Dubai Real Estate Sector Strategy 2033, which seeks to increase transaction volumes to AED 1 trillion, as seen by the strong start to 2026. The Dubai Economic Agenda D33, which aims to improve Dubai’s standing in the world economy, is also supported by this expansion.
As 2026 progresses, Dubai’s real estate market continues to show stability, scalability, and long-term potential with expanding transaction values, increasing investor engagement, and steady performance across key areas.