Real Estate
Dubai Residential Market Q1 2026: AED 137.3 Billion in Sales Despite 23% Transaction Volume Decline — Palm Jumeirah Prices Up 18%, Downtown Dubai Rises 22%
Dubai's residential market closes Q1 with 45,221 transactions worth AED 137.3 billion; prime locations outperform with double-digit growth while average prices remain above December 2025 levels despite March easing
By 19Network Editorial Team · Jun 2, 2026 · 5 min read
Dubai's residential property market closed Q1 2026 with AED 137.3 billion in sales across 45,221 transactions, demonstrating resilient growth despite a 23 percent year-on-year decline in transaction volumes as prime locations outperformed with double-digit price increases.
Dubai's residential property market closed Q1 2026 with AED 137.3 billion in sales across 45,221 transactions, representing a robust start to the year despite transaction volumes declining 23 percent year-on-year. The market remains driven heavily by off-plan sales, with secondary transactions showing signs of cooling as tenants seek flexibility in uncertain economic conditions. Digital Dubai's real estate index underscores sustainable, balanced market growth with strong performance in the residential sector during 2025 continuing into 2026. Prime locations significantly outperformed broader market averages, with Palm Jumeirah prices rising 18 percent year-on-year and Downtown Dubai increasing 22 percent. These premium locations attracted high-net-worth buyers seeking long-term value preservation and rental income potential. The luxury segment's strong performance demonstrates continued demand for Dubai's most prestigious addresses, with international investors viewing Dubai real estate as stable investment amid global economic uncertainty. Off-plan sales grew by 9.5 percent even as secondary transactions dipped, indicating buyers remain confident in Dubai's property market…