Dubai Villa Owners ‘Sitting on a Goldmine’ as Market Heads into 2026

Monday, 22 December 2025

Strong family demand and limited villa supply are set to drive Dubai villa prices higher than apartments in 2026, offering homeowners substantial value growth, experts say.

Key Highlights:

Villa owners in Dubai are expected to benefit most in 2026 as demand from families continues to outpace limited supply.
Allsopp & Allsopp reports 22% year-on-year growth in villa sales prices and an 18% rise in rental rates in 2025.
High-profile rental examples: Palm Jumeirah villa at AED 1.5 million annually, Tilal Al Ghaf property at AED 900,000.
Apartments entering a phase of stabilisation as new units come to market, while studios and one-bedroom units see slower absorption.
Dubai’s residential transaction values reached approximately AED 512 billion in 2025, with off-plan sales representing around two-thirds of activity.
Experts predict steady growth into 2026, driven by population expansion, high-net-worth inflows, and strong end-user demand.
Long-term residency initiatives, including the Golden Visa, support demand for family homes and established communities.
Prime international buyer interest remains robust, with significant demand from the UK, India, Europe, GCC, and North America.
The affordable luxury segment (AED 1 million–AED 3 million) expected to see strongest activity, while top-end properties attract selective buyers.