Dubai Real Estate Market Report Q2 2026: AED 169bn, 51,170 Deals
Dubai closed the second quarter of 2026 with AED 169.04 billion in real estate transactions across 51,170 deals between April and June, per the Dubai Land Department's published half-year figures. Mortgages contributed AED 42.6 billion through 10,522 transactions and gifts AED 16 billion through 2,449. Off-plan held roughly 74 percent of residential sales, and the first half as a whole reached 86,005 sales worth AED 286.43 billion — the second-highest half-year in the emirate's history. This is Early Bird Properties' broker-side read of the quarter: what the official record shows, where villas and townhouses sit, and what it means if you are buying now.
This is a data report with our interpretation labelled throughout, not a forecast. Every aggregate is a published figure from the DLD's quarterly and half-year releases as carried by named outlets; where a figure covers Q1 or H1 rather than Q2, it is labelled.
Q2 2026 headline numbers
The quarter in numbers - value, volume, mortgages, gifts
The quarter's totals, with first-quarter context:
| Metric | Q2 2026 (Apr-Jun) | Q1 2026 (Jan-Mar) |
|---|---|---|
| Total transaction value | AED 169.04bn | AED 252bn |
| Transactions | 51,170 | 60,303 |
| Mortgages | AED 42.6bn / 10,522 deals | - |
| Gifts | AED 16bn / 2,449 deals | - |
What this means: Q2 came in below Q1 on both value and volume. Our read, labelled as opinion: this is a launch-calendar effect, not distress — new project launches were concentrated into January and February and paused from March, so the off-plan pipeline had less fresh inventory to sell through the spring. The full quarter-on-quarter breakdown is in our Q1 vs Q2 2026 transaction comparison.
Off-plan vs ready: the 74/26 market
Off-plan held 74% of residential sales through the quarter
Off-plan accounted for roughly 74 percent of residential sales through the first five months of 2026, leaving the ready market around 26 percent. Within off-plan value, apartments contributed 81 percent and villas 11.3 percent. Earlier in the year Cavendish Maxwell measured off-plan volumes up 9.4 percent while ready-market transactions declined 8 percent — and May's slowdown hit the ready segment hardest.
The buyer read, labelled as opinion: three out of four buyers are choosing payment plans and delivery timelines over keys-in-hand. For an end user that means the widest genuine choice is in off-plan; for a seller of ready stock it means pricing realistically against a thinner buyer pool. We covered why off-plan dominates new villa demand in Dubai's off-plan villa demand data.
Villas and townhouses: the strongest segment
Villas and townhouses remained the market's outperformers. In the most recent full quarterly reading, villa transaction volume rose 20 percent year on year — the sharpest volume increase of any segment — while townhouses posted the strongest value growth at 15.6 percent (Q1 2026 figures, labelled). Villa and townhouse prices are growing 12-18 percent annually against 5-10 percent for mid-market apartments, and villas citywide average around AED 2,376 per sq ft.
Supply is the story: established villa communities — Arabian Ranches, Dubai Hills Estate, Tilal Al Ghaf — are not delivering enough new family product, and five-bedroom homes saw the strongest demand tier. For off-plan villa and townhouse activity, DAMAC Islands 2, The Valley, The Oasis and DAMAC Hills 2 led. One honest caveat for investors: villa gross yields run about 4.9 percent against 7.1 percent for apartments — villas in this market are a capital-growth position, not a yield play. Area-level villa liquidity is mapped in our villa transaction volume by area report.
Land and buildings
Across the full first half, the DLD record shows 7,134 land parcel transactions and 7,301 building deals alongside 71,570 residential unit sales — together roughly 17 percent of all H1 activity. A Q2-only split for land and buildings has not yet been published; DLD's official quarterly release, due later in July, carries that granularity. We flag that rather than estimate it.
Where the deals happened
Five communities carried the volume
Jumeirah Village Circle led with 2,270+ transactions (Jan-Apr count, labelled), followed by Dubai South (2,021), Business Bay (1,778), Dubai Islands (1,285) and Dubai Creek Harbour (1,040) — and the same five stayed at the front of activity through Q2. Among apartment buyers, Dubai Marina, JVC, JLT and Downtown ranked most active. Q2 completions concentrated in Business Bay, JVC, Dubai South, Dubai Science Park and Dubai Hills Estate.
What Q2 means if you are buying
End user: the launch pause means less shiny new supply competing for your attention — the projects still transacting at volume (JVC, Dubai South, Dubai Islands) are the ones with real absorption behind them. Investor: the 74 percent off-plan share is where exit liquidity lives at entry tiers, but the villa yield math above matters before you commit. Seller of ready stock: Q2's ready-market softness is real; price to the comparable evidence, not to 2025's headlines. Context on why the wider market keeps holding: why Dubai real estate didn't crash in 2026.
Frequently asked questions
How big was Dubai's real estate market in Q2 2026?
Q2 2026 recorded AED 169.04 billion in total transaction value across 51,170 transactions between April and June, per DLD published figures. That includes AED 42.6 billion in mortgages and AED 16 billion in gifts, and follows a Q1 that logged AED 252 billion across 60,303 transactions.
What share of Dubai property sales were off-plan in Q2 2026?
Off-plan held roughly 74 percent of residential sales through 2026's first five months, with ready stock at about 26 percent. Within off-plan value, apartments contributed 81 percent and villas 11.3 percent. Off-plan cooled through Q2 as launches paused, but never lost the lead.
Which Dubai areas had the most transactions in Q2 2026?
Jumeirah Village Circle led with 2,270+ deals on the Jan-Apr count, followed by Dubai South (2,021), Business Bay (1,778), Dubai Islands (1,285) and Dubai Creek Harbour (1,040). The same five communities stayed in front of market activity through the second quarter.
Are Dubai villa prices still rising in 2026?
Yes. Villa and townhouse prices are growing 12-18 percent annually versus 5-10 percent for mid-market apartments, with villa transaction volume up 20 percent year on year in the latest quarterly reading. Supply shortage in Arabian Ranches, Dubai Hills Estate and Tilal Al Ghaf keeps driving it.
Is Dubai's ready property market slowing down?
The ready segment softened through Q2 2026 — earlier readings showed ready transactions down 8 percent while off-plan rose 9.4 percent, and May's slowdown hit ready stock hardest. Sellers should price against current comparable evidence; buyers gain some negotiating room in the secondary market.
Talk to us about the Q2 data - WhatsApp
Muhammad Zohaib Saleem — Founder, Early Bird Properties (RERA / DLD ORN 37167). In Dubai real estate since 2013.
Methodology & disclosure: market aggregates are Dubai Land Department figures as carried in published Q2 and H1 2026 releases (DLD half-year statement as reported by Economy Middle East and Arabian Business; Cavendish Maxwell; Savills; Dubai Chronicle). Figures covering a different period (Q1 or H1 2026) are labelled as such; derived figures are flagged as derived. The exact per-segment off-plan/ready count table for Q2 is not yet published by DLD and is therefore not claimed here. No developer marketing fees influence this analysis; recommendations are based solely on alignment with buyer and seller interest. This is data reporting, not investment advice.