Introduction
Looking beyond the short-term boom, Dubai’s real estate market is entering a phase where supply, regulation, and global economic forces will play larger roles. Here’s what we at Gursaya see on the horizon for 2026–2027.
Forecasts & Leading Indicators
- Modest Price Correction Likely
- With tens of thousands of units expected to hit the market, especially in off-plan and mid-income segments, price growth is expected to slow. Some segments might even see slight dips.
- Villas in premium areas may still appreciate, but at slower rates than in 2023-2025.
- Rental Growth Stabilization
- As supply increases, rents may ease, especially for older stock or less upgraded properties.
- Tenants will benefit from better terms and more choice.
- Shift Toward Quality & Lifestyle
- Communities with strong amenities, green spaces, connectivity, schools, retail will outperform.
- Sustainable & ESG-friendly developments will gain traction.
- Foreign Investment This Time More Strategic
- Investors will be more selective; developments with clear value, good developer reputation and strong infrastructure will attract capital.
- Currency advantages, visa/regulation policies will continue to matter.
- Regulation & Government Role More Prominent
- Ensuring that off-plan projects are delivered on time, protecting buyer funds, maintaining quality will be essential.
- Policy changes may emerge to prevent bubbles or speculative excess.
Risks to Watch
- Overbuilding in mid-market could weaken prices.
- Global economic shocks (interest rates, inflation, currency volatility) could affect foreign investment and cost of financing.
- Rising costs (construction, materials, labor) could eat into margins.
Strategic Takeaways for Gursaya Real Estate & Stakeholders
- Developers: Focus on premium, luxury and lifestyle-oriented projects; ensure delivery capacity; avoid projects in saturated mid-market zones without strong differentiation.
- Buyers: If buying now, consider locking in in high growth areas; if postponing, watch for opportunities in 2026 when more supply may give negotiating room.
- Investors/Renters: Look for properties likely to hold value: good location, strong amenities, sustainable design. For rentals, low-risk is in well-managed, newer units.
