Will Dubai Become a Buyer’s Market in Late 2026? Expert Predictions

Tuesday, 23 December 2025

Dubai’s real estate market has experienced remarkable growth since 2021, with prices soaring in many prime areas. As 2026 approaches, analysts forecast a new phase—one that may bring more balance and fresh opportunities for buyers. Rather than a downturn, experts describe the upcoming shift as a healthy market recalibration driven by strong fundamentals and a significant boost in new supply.

Here’s a clear breakdown of what late 2026 may look like for buyers, sellers, and investors across Dubai.

Table of Contents

• Expert Predictions for Late 2026
• Key Factors Behind the Expected Market Shift
• What This Means for Buyers and Investors
• Frequently asked questions

Expert Predictions for Late 2026

1. A Shift Toward Buyer Advantage

After several years of a strong seller’s market, analysts anticipate a shift where buyers gain more negotiating power. This transition is expected due to a surge in upcoming project completions and increased inventory across several communities.

2. Price Corrections in Mid-Tier Apartments

A moderate 10–15% price correction is expected in the mid-market apartment segment. The primary reason is the record number of units set to be delivered in 2026—estimated at up to 120,000 new homes across various segments. More supply means more choice and better deal-making potential for buyers.

3. Luxury Properties Remain Strong

Luxury villas, waterfront homes, and branded residences are expected to remain stable or show slight appreciation of around 3–5%. Limited supply, combined with consistent demand from high-net-worth residents and global buyers, helps insulate this segment from downward pressure.

4. A Strategic “Golden Window” for Investors

Market experts are highlighting 2026 as an opportunity year. Instead of a crash, the upcoming adjustment is seen as a window where strategic buyers can enter at a more attractive price point. With long-term fundamentals strong, many predict renewed price growth by late 2027 or early 2028.

Key Factors Behind the Expected Market Shift

1. A Major Rise in New Supply

The largest factor reshaping the market is the wave of off-plan projects launched post-2020, many scheduled for handover in 2026. This surge will create more balance between supply and demand—especially in popular mid-income communities.

2. Strong Economic Growth

Dubai’s economy remains robust, with:

• Consistent GDP growth
• Expanding population
• Business-friendly policies
• Long-term residency programs

These elements support long-term market strength and prevent severe downturns.

3. Affordability Considerations

Property prices have risen faster than average wages in some areas. Combined with higher mortgage interest rates, affordability pressures may soften demand in certain segments—particularly resale apartments—leading to greater buyer leverage.

4. Greater Choice for Buyers

More homes entering the market means:

• More options
• More competitive pricing
• More negotiable terms

This is expected to impact the resale market most, where sellers may adjust pricing to remain competitive with new launches.

What This Means for Buyers and Investors

Late 2026 is shaping up to be a segmented buyer’s market, with standout opportunities in mid-tier apartments and select communities with heavy supply. On the other hand, luxury and waterfront real estate should remain solid, making them attractive for long-term investors seeking stable growth.

For well-prepared buyers, 2026 could be one of the best entry points in years—before the market stabilizes and trends upward again.