DUBAI, UNITED ARAB EMIRATES: Property Finder, the MENA region’s leading property portal, reveals key trends shaping both Dubai and Abu Dhabi's residential property market as we move into 2026.

Top Trends Dubai:

  • Home-seekers are choosing buying over renting

Property Finder data reveals a clear shift from renting to buying. According to Property Finder’s PF Market Pulse, a bi-monthly consumer sentiment poll, 70% of respondents plan to buy within the next six months, reflecting sustained buyer intent. Sales listing impressions on Property Finder’s platforms increased to 49% in 2025, while rental impressions declined, reflecting the rising commitment to home ownership.

First-time buyers played a significant role, supported by long-term residency policies, ownership-linked visas, and initiatives like Dubai’s First-Time Home Buyer programme, which enabled over 2,000 residents to purchase their first homes, generating more than AED 3.25 billion in residential property sales in the last six months.

  1. Buyers are opting for larger and premium homes

Entry-level properties under AED 1,000 per square foot made up 8% of the market in 2025, down from 14% from the previous year (2024), as home-seekers show a clear preference for higher-value options. Mortgage Finder data shows buyers committed a larger share of their income to mortgage payments, rising from 23% in 2024 to 31% in 2025, reflecting confidence in the market and a strong desire to secure their own homes.

Premium and luxury homes above AED 2,500 per square foot accounted for 20% of the market in 2025, up from 15% in 2024. Listings rose 27%, keeping pace with demand fueled by high-net-worth inflows and USD 63 billion in incoming wealth.

  • Apartments dominate volumes, villas lead price growth

Apartments made up for 93% of residential transactions in 2025, reflecting healthier supply and wider choice across layouts and developers. In contrast, villas declined from 10% to 7% the same year, due to limited supply, yet its prices rose by 14% in 2025, outpacing apartments at 6% year-on-year. Around 72% of villa transactions in 2025 were mid-market, between AED 1,000 and 1,800 per square foot, highlighting home-seeker preference for space, privacy, and long-term living.

  • Studios outperform larger apartments in growth and yield

Studios account for 25% of apartment transactions in 2025, up from 22% in 2024. Prices grew 14% annually over three years, outperforming larger apartments, while delivering rental yields of 6%, compared with 4–5% for bigger units, reinforcing their appeal as the most return-efficient residential format in Dubai.

  • Established communities remain popular even though new projects gain traction

Top ready secondary communities, including Downtown Dubai, Dubai Marina, Palm Jumeirah, Business Bay, JVC, JBR, and Dubai Hills Estate, remain popular in 2025, showing that buyers value stability and established infrastructure. At the same time, off-plan developments like Dubai Islands and Maritime City attracted strong interest, particularly for luxury and waterfront homes, as buyers and investors look for new opportunities without compromising demand in established areas.

Top Trends Abu Dhabi

  • Strong tilt toward homeownership

Property Finder data points to a strong tilt towards homeownership, with sales listings accounting for 39% of platform impressions in 2025, up from 26% the year before, reflecting growing intent to settle long term.

  • Apartments gaining share of demand

Demand continues to concentrate around apartments, which represent 72% of residential transactions as per 2025 data, driven by a healthy apartment supply and wider choice across locations, formats, and price points, reinforcing apartments as the preferred residential format in Abu Dhabi.

  • Villa buyers upsizing toward larger homes

Within the villa segment, there is an upgrade towards larger formats, with 4+ bedroom homes making up 62% of all villa transactions of 2025, up from 38% three years ago. This shift highlights a growing share of family-led and lifestyle-driven demand as buyers increasingly move to Abu Dhabi with long-term settlement plans, rather than short-term investment intent.

For more trends and data insights shaping the Dubai and Abu Dhabi real estate market visit Property Finder’s Market Watch - A Year In Review 2025.

About Property Finder

Property Finder is a pioneering property portal in the Middle East and North Africa (MENA) region, dedicated to shaping an inclusive future for real estate while spearheading the region’s growing tech ecosystem. At its core is a clear and powerful purpose: To change living for good in the region.  Founded on the value of great ambitions, Property Finder connects millions of property seekers with thousands of real estate professionals every day. The platform offers a seamless and enriching experience, empowering buyers, investors and renters to make informed decisions.

Since its inception in 2007, Property Finder has evolved into a trusted partner for developers, brokers, and home seekers. As a lighthouse tech company, it continues to create an environment where people can thrive and contribute meaningfully to the transformation of real estate in MENA.

To discover more and begin your property journey, visit www.propertyfinder.ae or download the Property Finder app.

For more information, please contact:
Tony Sidgwick
Gambit PR & Communications
propertyfinder@gambit.ae