Dubai Real Estate Market Soars to Record New Heights in January 2026

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Dubai’s real estate sector has shattered all previous benchmarks, opening 2026 with a historic surge that nearly doubled the market's value compared to the previous year. According to the latest official data from the Dubai Land Department (DLD), January 2026 was the strongest start to any year in the city's history.

Record-Breaking Numbers: A January Like No Other

The sheer scale of activity in January 2026 highlights a market operating at peak performance. Total transaction values reached AED 107.96 billion, an 86.5% jump from the AED 57.89 billion recorded in January 2025 (Gulf News).

  • Sales Volume: 21,884 transactions were recorded, up 17.3% year-on-year.

  • Total Sales Value: AED 70.05 billion—the highest monthly sales figure ever recorded in Dubai.

  • Mortgages & Gifts: Mortgage deals remained robust at AED 32.04 billion, while property gifts contributed another AED 5.87 billion (Dubai Land Department).

"Dubai is no longer a temporary stop... it has become a city of long-term residence," says Ahmed Al Dawla, Chairman of On Plan Real Estate. He notes that the market is now on a fast track to hit the AED 1 trillion annual benchmark much sooner than the original 2033 target.

Top Performing Hubs in January 2026

While demand is spread across the city, three specific areas led the charge in sales value:

District

Sales Value (AED)

Key Driver

Al Rowaiyah 1

6.31 Billion

Major residential land & villa sales

Meydan 2

6.04 Billion

Luxury family-oriented developments

Al Yalayis 1

4.60 Billion

High-demand affordable and mid-range housing

Other significant contributors included Business Bay (AED 3.51 billion) and Sheikh Mohammed bin Rashid Gardens (AED 3.26 billion), alongside ultra-luxury activity in Palm Jebel Ali and Umm Suqeim First (Gulf News/DLD).

Market Momentum: 2025 vs. 2026

The current boom is an acceleration of the record-breaking 2025 cycle. In 2025, Dubai saw total transactions hit AED 917 billion, driven by over 129,000 new investors entering the market—a 23% increase in fresh capital (DLD Annual Report).

January Growth Comparison

The chart below illustrates the dramatic leap in market value over just 12 months:

Key Takeaways for Investors

  1. Shift to Long-Term Stay: Experts point to the "Golden Visa" ecosystem and high quality of life as primary reasons buyers are choosing Dubai for permanent residency rather than short-term speculation.

  2. Infrastructure Gains: Areas near the upcoming Blue Line Metro (like Dubai Creek Harbour) and newer hubs like Dubai South are seeing a resurgence in investor interest due to improved connectivity.

  3. Digital Ease: The DLD’s "Dubai REST" app now handles over 100 services, allowing valuations and transfers to happen in seconds, further boosting global buyer confidence 


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