Dubai’s property market entered a more measured phase in May, recording 10,225 transactions worth AED 28.53B. While activity moderated compared to April, the market continues to demonstrate resilience, supported by stable pricing, sustained buyer demand, and strong long-term fundamentals.
Off-plan properties remained the dominant force, accounting for 70% of all transactions and 53% of total sales value. Continued activity within major master developments highlights ongoing confidence in Dubai’s future growth and investment potential.
Within the residential sector, pricing remained resilient despite lower transaction volumes. Average villa and townhouse prices reached AED 1,750 per sq. ft., up 15% year-on-year, while apartment prices averaged AED 1,637 per sq. ft., an increase of 4% year-on-year. Established communities such as JVC, Downtown Dubai, Palm Jumeirah and The Views continued to record positive price growth.
The market is also becoming increasingly selective. Buyers are taking more time to assess opportunities, while many sellers remain under limited pressure to reduce prices. Espace recorded a 53% year-on-year decline in new property listings, while price reductions remained broadly stable, down just 2%, indicating continued seller confidence.
Commercial real estate remained an important contributor to overall market performance, generating AED 6.50B in transaction value during the month and reinforcing Dubai’s position as a leading business and investment destination.
Overall, May reflects a market that is adjusting rather than reversing. While transaction activity has moderated, pricing remains supported and demand continues to focus on quality assets, strong locations, and long-term value.
Read the full May 2026 Real Estate Report for deeper insight into the market here.
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