Dubai Property Market Sees Monthly Uptick in July 2026, Luxury Sales Surge

Dubai's residential real estate market showed signs of a modest recovery in July 2026, with sales transactions increasing by 2% and the aggregate value of deals rising 3% compared to June. This uptick follows an earlier sluggish period, with apartment sales being the primary driver of this monthly improvement.

Market Performance Details

While monthly figures indicated a rebound, the year-on-year comparison remained subdued. Transaction volumes in July 2026 were 32% lower than July 2025 levels, and the total value of deals saw a 49% decrease over the same period. The average transaction price was also 26% lower compared to July 2025, suggesting a market stabilising after previous shocks but not yet regaining peak volumes.

Apartment transactions specifically advanced by 5% month-on-month, leading the market's recovery. In contrast, sales for villas and townhouses declined by 12% during the same period, highlighting a divergent trend across property types.

Luxury Segment and Rental Market Trends

The high-end segment, particularly deals exceeding AED 15 million, performed strongly, rising by 22% month-on-month. The secondary luxury market spearheaded this growth, with transactions climbing 31% from June, outperforming a 17% gain in off-plan luxury sales. Despite a 46% year-on-year drop in the overall luxury segment, off-plan luxury transactions remained 13% above their July 2025 levels.

Key locations for completed secondary market luxury deals included Palm Jumeirah, Jumeirah Golf Estates, and Dubai Hills Estate. For off-plan activity, Jumeirah Golf Estates 2 and Dubai Peninsula were top performers.

In the rental market, enquiries increased by 21% year-on-year, indicating sustained tenant interest despite a slight 4% dip from June. Apartment rentals saw the strongest demand, with enquiries up 25% year-on-year, while villa and townhouse enquiries decreased by 20% over the same period.

Richard Waind, CEO of betterhomes, noted that July's figures reflect a market stabilising, with transactions, values, and luxury deals all accelerating from June, offering an optimistic outlook for the latter half of the year.

Popular communities for apartment rentals included Dubai Marina, Jumeirah Beach Residence, Downtown Dubai, Dubai Hills Estate, and Jumeirah Village Circle. For villas and townhouses, Arabian Ranches, The Springs, Al Furjan, Tilal Al Ghaf, and The Villa were most sought after.