United Arab Emirates Real Estate Market Trends and Insights
Golden Visa, Retirement Visa, and Foreign-Ownership Reforms Boost Property Demand
A February 2026 change allows an off-plan purchase to count toward the USD 0.5 million Golden Visa threshold from Oqood registration, Dubai’s system for registering off-plan property sales. The rule removes the previous 50% off-plan equity requirement and broadens the pool of eligible buyers. Dubai also removed the minimum property value requirement for its standard Property Visa and introduced a first-time homebuyer program in 2026. These measures give foreign purchasers a clearer route to long-term residency through property ownership. Developers can align off-plan releases with buyers seeking both a home and visa eligibility.Population Growth and High-Net-Worth Expatriate Migration Increase Housing Demand
Dubai surpassed 4 million residents in 2025 and added more than 208,000 residents during the year. The United Arab Emirates also received a net inflow of 9.80 billionaires in 2025, strengthening demand for premium homes. Resident expatriates and nonresident foreign buyers represented 62% of Abu Dhabi residential unit sales in 2025. Resident foreign buyers accounted for 69% of the growth in Abu Dhabi residential sales from 2022 to 2025. This buyer base supports demand from households making longer-term residence decisions.Mortgage Rates and Affordability Pressures Limit Buyer Demand
The Central Bank of the United Arab Emirates's base rate remained at 3.7% through April 2026. The 3-month Emirates Interbank Offered Rate was 3.9% in June 2026. Fixed mortgage rates ranged from 3.8% for 1-year products to 5% for longer fixed terms. Overseas buyers faced rates of 4.5% to 5.5% and loan-to-value caps of 50%. Higher borrowing costs can redirect affordability-sensitive demand toward lower-priced communities.Other drivers and restraints analyzed in the detailed report include:
- Tourism, Hospitality, and Corporate Relocation Support Real Estate Growth
- Infrastructure Investment and Economic Diversification Drive Property Development
- Oversupply Risks in High-Rise and Mid-Market Apartments Pressure Absorption
Segment Analysis
The sales model held 62.7% of the United Arab Emirates real estate market share in 2025. The result reflected a strong preference among investors and residents for ownership, including off-plan ownership. Off-plan transactions represented 73% of Dubai residential deals in 2025. Off-plan property represented 89% of Abu Dhabi residential sales value in the first half of 2026. The rental model is the faster-growing business model, with a forecast CAGR of 8.15% through 2031. This growth reflects the expanding stock of investor-owned completed homes that can be offered to tenants.More than 271,000 tenancy contracts were registered in Dubai during the first half of 2026. Average gross rental yields reached 6.6% during the period. As projects due for delivery from 2026 to 2028 are completed, some off-plan stock will enter the rental pool. This may improve tenant choice in high-pipeline apartment communities. It may also moderate rental yield pressure in these locations. Purpose-built rental housing remains limited, leaving a gap for developers that can provide professionally managed communities for corporate tenants.
Complete Report Scope:
- By Business Model
- Sales
- Rental
List of Companies Covered in this Report:
- Emaar Properties PJSC
- Aldar Properties PJSC
- DAMAC Properties
- Nakheel
- Azizi Developments
- Dubai Holding
- Deyaar Development PJSC
- Sobha Realty
- Arada Developments
- Binghatti Developers
- Meraas
- Dubai Properties
- Modon Holding
- Union Properties PJSC
- Bloom Holding
- Ellington Properties
- MAG Group Holding
- Seven Tides
- Tiger Properties
- Meydan Group
Additional Benefits:
- The market estimate (ME) sheet in Excel format
- 3 months of analyst support
Table of Contents
Companies Mentioned (Partial List)
A selection of companies mentioned in this report includes, but is not limited to:
- Emaar Properties PJSC
- Aldar Properties PJSC
- DAMAC Properties
- Nakheel
- Azizi Developments
- Dubai Holding
- Deyaar Development PJSC
- Sobha Realty
- Arada Developments
- Binghatti Developers
- Meraas
- Dubai Properties
- Modon Holding
- Union Properties PJSC
- Bloom Holding
- Ellington Properties
- MAG Group Holding
- Seven Tides
- Tiger Properties
- Meydan Group

