ValuStrat: Dubai Property Prices Near Stability One Year After Adjustment

Dubai residential property prices neared stabilization in September, as the emirate-wide monthly decline narrowed to 0.1%, with prices in approximately 80% of registered villa communities and 77% of apartment communities remaining month-on-month unchanged, compared to 73% and 61% in August.

The ValuStrat Price Index recorded 218.6 points in September compared to 218.8 in August, reinforcing indications that prices are reaching a plateau following the market adjustment earlier in the year, with prices remaining 4.5% below September 2025 levels and 10.3% below February.

The weighted average capital value for residential property reached AED 3.354 million, or AED 1,511 per square foot, while the villa index stabilized at 291.8 points and the apartment index at 168.1 points. Long-term, villa prices in established communities remain around 186% above post-pandemic levels and 75% above the 2014 peak, while apartments are up 68% post-pandemic but remain 9% below their 2014 peak.

At the top end of the market, ValuStrat recorded 15 ready property transactions worth over AED 30 million during the month, ten of which exceeded AED 50 million. A total of 6,884 Oqood off-plan registrations were recorded, representing 70.3% of residential sales, along with 2,907 ready homes, bringing total transactions to 9,791.

What do these terms mean?

ValuStrat Price Index (VPI): An index that measures monthly changes in Dubai residential property prices, with a base of 100 points in January 2021.

Oqood Registration: A record documenting the sale of an off-plan unit at the Land Department prior to completion of construction.

Capital Value: The estimated market value of the property, distinct from the rental price paid by a tenant.

Primary and Secondary Market: The primary market refers to sales directly from the developer, while the secondary market refers to resales between owners.