Trend shift: Dubai real estate decisions are increasingly based on logic
A new market report by fäm Properties says that 2026 will be the year that rewards projects and communities that offer real connections, solid foundations, reliable execution, a clear way of life, value and real scarcity.
And while luxury is still a resilient sector, the report – based on statistics from DXBInteract, a market information source that uses verified data from the Dubai Land Ministry – the growing market will punish anything built on hype alone.
Firas Al Msaddi, CEO of fäm Properties, commented: “In 2025, the momentum was decisive, but 2026 will be the year when buyers and investors act more rationally and ethically.
“Instead of being influenced by product names alone, buyers will evaluate the full spectrum, price versus value, authenticity of the payment plan, consistency of construction, location, and reliability of the developer.
Some big trends, based on 2025 data…
Record-breaking transaction year: Sales hit a record high, with 197,263 deals worth AED624.1 billion (US$170 billion) made in the 11-month period from January to November, surpassing previous annual records by a month.
A momentum driven market: Buyer decisions were driven more by market momentum than by in-depth analysis of fundamentals, the developer’s track record, or long-term usability.
Elevation of the end user: End-user demand is strengthening, especially among families who prefer ownership over rent, adding stability to established and well-maintained communities.
Global financial inflows: Strong influx from UHNW individuals and families worldwide, with capital from Europe, UK, CIS, India, Africa, and North America.
Real estate expansion: Commercial real estate continued to grow, driven by increased demand from construction, transportation, technology services, and the broader expansion of the real economy.
The report then went on to make the following key predictions for 2026…
Switch to intuition-based shopping: The market will shift from momentum to full choice, where pricing, payment plans, build quality, developer credibility, and the mindset of the end user will dictate decisions.
Extreme comfort durability: Luxury villas, branded residences, and waterfront properties remain in short supply, thereby maintaining strong pricing, liquidity, and resale speed.
Polarized developer landscape: Tier-1 engineers, with proven delivery records, will dominate the off-plan demand. Small and new developers will increasingly align themselves with large, established brokerages and agencies to compensate for limited track record, transaction history, and consumer trust.
Global engineering competition is growing: Dubai’s development scene will become more competitive as international developers, particularly from the United States, enter the market. Groups like Discovery Land represent a new class of global capital, design standards, and job expectations.
The real estate boom will continue: Office, logistics, and mixed-use developments are benefiting from continued economic growth, infrastructure investment, and a growing business presence, bolstering long-term demand.
Dubai Metro fares: Communities connected to the upcoming Blue Line are getting disproportionately attractive, as connectivity, mobility, and infrastructure become increasingly expensive and unaffordable.
Areas to be aware of
By 2026, communities benefiting from new metro connections, such as Dubai Creek Harbour, Festival City, and key parts of Dubai Silicon Oasis and International City, are expected to see renewed interest demand and price stabilization.
The main villa districts will remain bulletproof. High-end areas such as Jumeirah Bay Island, Palm Jumeirah, Al Wasl, Dubai Hills Estate, and Mohammed Bin Rashid City continued to show high sales speed and bear very low discount.
Increasing interest in walkable, lifestyle-first communities, such as City Walk, Central Park at City Walk, Bluewaters Island, and the upcoming Meraas development, benefit from integrated marketing, design quality, and human scale planning.
Corridors influenced by Etihad Rail will emerge as long-term strategic plays. Dubai South and the southern logistics corridor will gain relevance as connectivity between the emirates and industrial demand matures.
“The winners in 2026 will not be defined by fame,” concluded Al Msaddi. “They will be defined by data, fundamentals, infrastructure, and brand loyalty. Mind-based shopping is back, and it will separate real assets from speculative noise.”
