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Dubai property owners still doubling money even after market softening
Despite a slowdown in growth, Dubai's property market continues to deliver exceptional returns for long-term investors, according to industry executives
- PUBLISHED: Thu 7 May 2026, 6:00 AM
Dubai’s property market is now becoming a buyers’ market due to the softening of prices, as investors entering the market today can expect to double their returns over the next three to four years, according to industry executives.
The emirate’s red-hot property market has seen growth slowing after a five-year rally. Long-term and opportunistic investors have now become more active, aiming to take advantage of attractive deals before the next upcycle begins.
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Rohit Bachani, co-founder of Merlin Real Estate, said owners who bought during Covid-19 are still making 100 per cent profit on property sales.
“It’s a buyers’ market now. If we take Covid-19 as an example, people entering the market today can potentially double their returns over a three- to four-year period. People who bought during Covid are now selling at 100 per cent profit,” he said.
Property prices increased at a double-digit rate over the past five years, resulting in values doubling in key locations such as Downtown, Business Bay, Palm Jumeirah, Dubai Hills and others.
Price growth slowed last year, while regional conflict made it more attractive for foreign investors to enter the local property market.
Bachani added that many Chinese investors and long-term institutional buyers are currently acquiring buildings in areas such as Warsan and International City.
These communities are gaining traction due to new Dubai Metro lines planned for these areas, which will improve connectivity with other parts of the emirate.
“We are seeing the market correcting slightly after it had overheated. Buyers willing to enter now have loosened their purse strings,” he said.
“Opportunistic investors remain active, capitalising on attractive deals by motivated sellers. Buyers without an immediate timeline are likely adopting a wait-and-see approach, which is to be expected during periods of uncertainty,” said Ronan Arthur, director and head of residential valuations at Cavendish Maxwell.
He added that Dubai’s real estate market remains strong, with the off-plan sector once again dominating and posting an uptick in year-on-year sales.
Farooq Syed, CEO of Springfield Properties, said Dubai’s market performance through April once again reinforces the strength of the city’s long-term fundamentals.
“Despite broader geopolitical uncertainty, liquidity remained healthy, transaction activity held steady, and investor participation across key residential corridors continued to reflect confidence in Dubai’s long-term growth trajectory,” he said.
Syed added that the market is increasingly being shaped by buyers taking a longer-term view of Dubai’s evolution.
“Decisions today are being driven less by short-term market sentiment and more by infrastructure quality, community planning, connectivity, and confidence in the city’s long-term direction,” he added.
Strong four-month performance
According to data released by real estate advisory and property consultancy Cavendish Maxwell, Dubai’s residential real estate market recorded more than 57,300 sales between January and April 2026, with transactions in the off-plan sector rising 3.3 per cent year-on-year.
Almost 42,500 off-plan properties were purchased in the first four months of the year, including 10,231 in April. The off-plan sector continues to dominate the market, representing 74 per cent of all sales.
Latest figures from Cavendish Maxwell also show that April 2026 total transactions — covering both off-plan and ready homes — reached 13,082, a slight increase from March’s 12,889.
Total sales in the first four months of the year declined 2.5 per cent compared to the same period in 2025, with the ready property market down 16 per cent.
Overall transactions for April 2026 were around 20 per cent lower than April last year, with off-plan down by 14 per cent and ready homes by 39 per cent.
“Dubai’s structural fundamentals remain intact, as do the factors that have always supported its long-term market attractiveness. The city’s real estate market has navigated challenges before and consistently bounced back,” Arthur added.
