Dubai Stays on Course for Record Year in Property Rentals in 2026

DUBAI, UAE – Dubai's residential rental market remains on course to record its strongest year on record, with the total number of tenancy contracts continuing to climb in 2026, while the emirate's sales market maintained robust activity led by sustained off-plan demand and strong performance in Dubai South.

According to a market analysis by fäm Properties, 38,197 rental contracts were registered in July, comprising 18,431 new agreements and 19,766 renewals. This brought the total number of rental contracts recorded during the first seven months of 2026 to 214,445, representing a 1.9% increase compared with the same period in 2025, which went on to record an all-time annual high of 377,660 contracts.

The data highlights continued demand for apartments, with one-bedroom units accounting for 88,327 tenancy contracts, representing 41% of all rental agreements recorded so far this year. Two-bedroom apartments followed with 49,894 contracts (23%), ahead of studios with 48,186 (22%), while three-bedroom and four-bedroom homes accounted for 10% and 3%, respectively.

Sales Market Remains Active

Dubai's residential sales market recorded 13,872 transactions worth AED34.5 billion (US$9.39 billion) during July, with off-plan properties continuing to dominate activity.

Off-plan transactions reached 9,585 deals valued at AED20.5 billion (US$5.58 billion), compared with 4,287 resale transactions worth AED14.0 billion (US$3.81 billion).

According to DXBinteract data cited in the report, Dubai South ranked as the emirate's top-performing location by sales volume for the fifth consecutive month, recording 2,351 transactions worth AED2.6 billion (US$708 million). Of these, 2,231 were off-plan sales valued at AED2.3 billion (US$626 million).

Firas Al Msaddi, CEO of fäm Properties, said:

"The level of rental activity overall is a good sign of market resilience. The volume of renewals alone shows that, regardless of regional uncertainty over the last few months, people still see Dubai as one of the best places in the world to live and work."

Apartments Continue to Lead Transactions

Apartment sales dominated the market during July, with 11,759 transactions worth AED17.8 billion (US$4.85 billion). Villas recorded 1,322 sales valued at AED7.8 billion (US$2.12 billion), while 268 plot transactions generated AED6.9 billion (US$1.88 billion). Commercial property activity totalled 515 transactions worth AED1.9 billion (US$517 million).

The month's most expensive apartment sold for AED166 million (US$45.2 million) at Aman Residences Tower 2 in Jumeirah Second, while the highest-priced villa transaction reached AED73 million (US$19.9 million) at The Oasis – Lavita.

Properties priced below AED1 million (US$272,000) represented 43.4% of all transactions, while homes valued between AED1 million and AED2 million (US$272,000–US$544,000) accounted for 30.3%. Properties priced above AED5 million (US$1.36 million) represented 7% of total sales.