Property Finder analysis shows stronger secondary-market activity, improving buyer sentiment and stabilising pricing trends helped drive Dubai residential sales to AED34.9 billion in July.
August 18, 2026 | Tripti Mehta | UAE | Real Estate | 3 Min Read
Image Courtesy: Property Finder
Dubai’s residential market strengthened in July 2026, with total property sales reaching AED34.9 billion, as buyers returned to the ready market and transaction activity continued to gain momentum, according to the latest analysis from Property Finder and Mortgage Finder.
The report showed that transaction volumes rose from 8,877 in June to 9,217 in July, representing a 3.8% month-on-month increase, while transaction values climbed 5.2% from AED33.2 billion to AED34.9 billion.
Growth was driven primarily by the secondary market, where transaction volumes increased by approximately 18%, rising from around 4,100 transactions in June to 4,800 in July. Commercial activity also strengthened, with volumes increasing 24.8% to 397 transactions and total value reaching AED5.8 billion.
Buyer confidence continued to improve during the month. The share of home seekers planning to purchase within six months increased from 66% to 68%, while the proportion expecting further price declines fell from 56% to 52%. At the same time, the gap between asking prices and completed transaction prices narrowed, indicating that buyer and seller expectations are becoming more closely aligned.
Apartments gained market share during July, accounting for 62% of sale leads, up from 59.5% in June. Studios and one-bedroom units drove much of the activity, reflecting renewed investor interest in higher-yield and more liquid residential assets. Mortgage Finder data also showed investor participation increasing, with the investor share of mortgage transactions rising from 9% to 12.8% during the month.
According to Dubai Land Department data referenced in the report, 2,887 mortgages worth AED4.93 billion were registered in July. While apartments accounted for 81.9% of mortgage volumes, only 20.3% of apartment sales involved financing, compared with 67.8% of villa sales, highlighting the continued dominance of cash buyers in the apartment segment and owner-occupiers in the villa market.
Rental activity also remained resilient, with new leasing transactions running 2% above the pre-conflict baseline, while renewals returned to pre-conflict levels as tenants took advantage of softer rental conditions to secure larger homes and stronger community locations.
Cherif Sleiman, Chief Revenue Officer at Property Finder, said, “July confirms a market that has moved back into growth, with transaction volumes and values rising together and buyers returning with real intent. The more telling signal sits beneath that growth: sellers have paused further price cuts and the gap between asking and achieved prices is narrowing, which brings the two sides of a deal closer together and turns a single strong month into a lasting trend. We expect that momentum to carry through the second half of the year.”
For Dubai’s residential sector, the latest figures point to a market that is regaining confidence, supported by stronger ready-home demand, improving sentiment and greater alignment between buyers and sellers.
Source: Property Finder and Mortgage Finder Market Analysis, August 2026
