Dubai Buyers Keep Moving Despite Expectations of Falling Property Prices

Oct 10, 2026
News
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In the Dubai property industry, buying interest has increased, even though the buyers anticipate some price drops. According to the Market Pulse in August by Property Finder, the number of active property seekers intending to buy at least one property in six months rose from 68% in July to 71%. In the last two months, out of 4,113 respondents, around 69% of them said they are going to buy a property in the near future, meaning in around six months.

For the real estate followers, the survey shows what is happening in the minds of people researching Dubai properties and the current market trends. The study gives out insights on everyone keeping track of Dubai real estate, where the decisions work based on financing options, budget, location, and needs when looking for a property.

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Increase in Buying Intent Indicates Rising Property Prices

Purchasing intentions increased in line with the increase in average sale prices of property per square foot. Property Finder provided the following details:

Buy Intention in July: 68%
Buy Intention in August: 71%
Combined figures for July and August surveys show that around 69% of a total of 4,113 respondents intend to make a purchase within six months.
Average price in July: AED1,271
Average price in August: AED1,301

This indicates that average prices have now moved up, by around AED30 per square foot, or around 2.4%, from July to August. This is an overall median movement; specific communities and types of properties may vary. For those interested in property investment in Dubai, these numbers highlight the need for comparing specific properties and recent sales. Dubai real estate market has a wide range of locations and types of properties, so one must carry out location-specific research.

Most Potential Buyers Still Anticipating a Drop

More than half (53%) of those intending to buy were expecting prices to decrease in July and August. While this represents a majority, it is still a fall from the 73% in March. The shift indicates that fewer people expect prices to fall, even though buyers still hope for a drop in prices.

March: 73% anticipated price declines.
July and August: About 53% of prospective buyers anticipating price drops.

For those who are thinking about about an off plan townhouse for sale in Dubai, it is important to note that survey findings cannot determine property prices. When searching for a 3 bedroom apartment for sale in Dubai, buyers should look at price expectations, payment plans, competitive listings, and affordability rather than assume a price drop.

Regional Tensions Did Not Affect Buying Plans

According to Property Finder, buying activity increased in August despite increased regional tensions. It said that caution had returned to the market as the month came to an end but intentions to buy were still strong. Sleiman remarks: “August was the true test. Regional tensions returned to the news and had an effect on expectations while demand remained.” He points out that buying activity was as high as 71%, while the average price per square foot increased to AED 1,301. Sleiman believes that sustained activity during unrest can be viewed as real demand rather than speculation.

The survey measures intentions only but not actual sales. It is understood that plans may change due to financing, personal situation or prices. Anyone considering luxury villas for rent or buying a home should assess their housing needs and actual costs of ownership. The survey on real estate investment Dubai is one indicator and not a proof of the price rise.

Things Buyers Must Think about prior to Buying

Many buyers are not waiting for the drop in property prices, as they originally intended. Therefore, they should:

Make a budget: Calculate the total purchase amount and transaction costs.
Measure up the likeness of houses: Price out comparable sales and properties in the area.
Check on affordability: Get financing commitments.
See the house: Look at property condition, progress, location and cost of holding it.
Avoid making assumptions: An expectation of price drops does not mean that the property will become cheaper.

For people planning to buy ready properties in Dubai, they may visit the property to check if it is being sold now. While those interested in properties for sale in Dubai should compare similar properties and check prices and documents.

The Importance of Location and Property Type

The findings of the survey offer insights into buyer motivation, but each decision will vary based on the financial means, property needs and features of buyers. Furthermore, variations in prices and activity can occur within locations such as Dubai Marina, Downtown Dubai, Business Bay, Dubai Hills Estate and Palm Jumeirah, therefore buyers should consider local developments instead of using generalized estimates of price increase/decrease.

People comparing a property for rent in Dubai and a home purchase should judge the rental obligations in comparison with the ownership expenses and their expected stay duration. Seeking advice from experts can also help buyers to better evaluate the listings they are interested in, ensuring that everything regarding documents and processes has been laid out clearly when choosing real estate brokers in Dubai.

What we learn from the results of August

According to Property Finder, Market Pulse is defined as a survey that is conducted on a bi-monthly basis among property seekers. It is aimed at assessing purchase intentions over the duration of six months with prediction of property pricing.

The main findings:

Intention to buy increased from 68% in July to 71% in August.
The median price went up starting from AED 1,271 per square foot to AED 1,301.
The number of people expecting prices drop fell from 73% in March to approximately 53% for July and August.

The reports show that there are strong buying intentions among people but it does not guarantee that they will really buy and predicts concrete prices. Those who are considering the option of buying villa for sale in Dubai should consider the comparable sales. Moreover, any buyer searching for beachfront apartments for sale in Dubai needs to think about the development, pricing rather than simply believe that the general sentiments can lead to forecasting. Overall conclusion is that a good number of buyers have intention to buy an apartment, but whether they will do it or not will depend upon prices and affordability.

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