Dubai’s property market is beginning to display signs of stabilisation around 67 days after the onset of the regional conflict, according to Betterhomes’ latest monthly market webinar conducted on Thursday, May 7.
During the webinar, the company’s leadership team shared its first side-by-side assessment of market conditions before and after the conflict, while also discussing the impact of three newly introduced government policy measures.
Property transactions in April recorded a modest monthly increase of nearly 2%. Off-plan sales continued to dominate the market, representing 76% of total transactions and marking a 7% rise compared to March. Although activity in the secondary market remained relatively subdued, the supply of listings did not rise sharply, suggesting that property owners are not actively rushing to sell.
The leasing market also witnessed stronger momentum, with tenant enquiries climbing close to 40% in April. Rental values eased during the month, as nearly 70% of listed properties experienced price reductions averaging slightly below 10%. The decline could support improved affordability for residents, particularly as a large share of the population continues to rely on rental housing.
The webinar identified three policy changes that could influence future market activity. The removal of the AED750,000 minimum threshold for investor visas now allows eligibility through the purchase of any property. Another key development is the proposed Gold Line metro project, valued at USD9B, which is expected to connect 15 districts by 2032. Similar infrastructure announcements in other markets have historically contributed to property price increases of between 8% and 11% in surrounding areas. The UAE’s departure from OPEC was also highlighted as a strategic move that may offer the country greater flexibility in directing its economic agenda.
The discussion further explored the comparison between Dubai and London as investment destinations. Rising entry costs, higher taxation, and stricter landlord regulations in the UK have reduced London’s attractiveness compared to previous years, while the UAE is increasingly drawing attention from institutional investors across Europe.
For buyers reconsidering off-plan purchases, Betterhomes stressed that contracts remain legally enforceable. The company advised purchasers to seek guidance at an early stage and carefully review SPA long-stop date clauses to better assess their available options.
