More UAE Residents Planning Property Purchases

UAE Real Estate 2026: Increasing Plans to Purchase in Next Six Months

The real estate market in the United Arab Emirates remains highly active and stable, as indicated by two-thirds of residents planning to purchase real estate within the next six months. This reflects not only a vibrant demand but also a long-term faith in the real estate market, especially in an environment where rental prices are continually rising while mortgage costs show a tendency to ease.

Reasons Behind the Demand

In recent years, the markets in Dubai, Abu Dhabi, and the northern emirates have undergone significant transformations. More new projects are being launched, providing a broader range of options for buyers. Real estate developers are targeting not just the luxury category but have also made mid-range and investment-focused properties more accessible. The increase in choices clearly stimulates the appetite for purchasing.

Concurrently, there has been a favorable turn in the mortgage market. Thanks to interest rate cuts, borrowing has become more accessible again, which is particularly important for those who have been renting so far. The more favorable conditions for mortgage loans are also drawing institutional investors back to the market, who previously postponed their decisions.

Findings of the Surveys

Research conducted by Property Finder shows that in September, 70% of respondents, and in October, 68% indicated they plan to purchase a home within six months. This demonstrates incredibly strong market confidence, especially in light of diverse opinions regarding property price movements.

According to the survey, 40% of residents expect prices to fall, 32% expect a rise, and 29% anticipate stability. This relatively balanced approach suggests that purchasing decisions are based on conscious financial planning rather than speculative motives.

Record-Breaking Transaction Activity in Dubai

Dubai's real estate market showed particularly outstanding activity in the first ten months of the year: from January to October 2025, nearly 178,000 transactions occurred, already surpassing 98% of the previous year's total turnover. This clearly shows that the intent to purchase does not remain just an intention, but results in actual market movements.

The transaction data not only involves local residents but also foreign investors, who choose Dubai and other UAE properties due to long-term stability and high returns. The country's incentive through various visa programs and tax advantages also increases demand.

Conscious Buyer Behavior

Residents of the UAE, whether locals or foreign workers, are increasingly approaching the real estate market with awareness. They are not just seeking properties to meet housing needs but are also considering them for investment purposes. Due to rising rents, many believe that in the long run, they are better off living in owned homes than paying significant amounts monthly for rent.

The allure of long-term returns, the potential for value increase, and tax-free rental income all contribute to more people viewing real estate purchases as a financial tool.

What Can the Coming Period Bring?

Based on current trends, another significant wave of transactions is expected in the next six months, especially if mortgage rates continue to decline. The ease of borrowing may encourage even more buyers to make decisions, while real estate developers strive to meet demand by launching new projects.

It is also noteworthy that the sense of market stability is increasing. Buyers are no longer speculating on dramatic price decreases or increases but rather deciding based on timing and availability. This could result in a more balanced and sustainable market in the long term.

Summary

As 2026 approaches, the UAE real estate market remains on a strong growth trajectory. Two-thirds of residents show an intention to buy, with transaction data and mortgage market developments supporting this dynamic. The market not only shows strength in the short term but is also moving toward long-term stability. This is good news for all seeking a home or safe investment in a region where economic growth and real estate developments go hand in hand.

(Source based on a communiqué from the Property Finder real estate portal.)