Dubai Property Prices Edge Lower as Sales Volumes Stay Firm

Pricing Trends

The latest Dubai Land Department data puts the citywide median price at AED 1,687 per square foot, down 1.8% from the same period last year. The decline is modest in scale and suggests a market that is recalibrating rather than correcting sharply, with values broadly holding within recent ranges after a prolonged run-up in prior years.

Transaction Activity

Despite the softer pricing backdrop, deal flow remains robust. DLD recorded 33,004 sales transactions over the trailing 90 days, pointing to sustained buyer engagement across both ready and off-plan segments. This level of activity indicates that demand has not pulled back in step with price, which can be read as a sign of healthy absorption rather than hesitancy.

Market Balance

Taken together, the combination of a slight annual price dip and strong transaction counts points to a market finding a more sustainable equilibrium after years of rapid appreciation. Steady volumes alongside flat-to-lower pricing often reflect improved affordability drawing in a broader base of buyers, rather than a loss of confidence. For now, the data does not point to a demand problem, but rather a gradual normalisation in price growth.

Outlook

With sales volumes holding near multi-month highs, the key signal to watch will be whether the modest price softening persists or stabilises as new supply and buyer activity continue to move through the market in the weeks ahead.