UAE Real Estate Sector Maintains Its Momentum, Driven by Strong Demand, Economic Resilience

Dubai: The UAE's real estate sector continued to strengthen its position during the first half of this year as one of the world's most dynamic and attractive economic sectors for investment. This performance was driven by the strength of the national economy, business-friendly government policies, and the continued inflow of investors and capital, with expectations that this momentum will continue through the second half of the year.

According to Emirates News Agency, officials and experts indicated that the market's strong performance reflects its transition to a more mature and sustainable phase following years of rapid growth, supported by solid economic fundamentals. A report issued last April by CBRE highlighted the UAE's strong economic foundations, backed by robust financial reserves and a stable sovereign credit rating, while forecasting a strong rebound in GDP growth by 2027.

Knight Frank confirmed that Dubai has further strengthened its position as a leading destination for wealth migration and real estate investment. Meanwhile, the UAE maintained its rank among the fastest-growing countries in terms of ultra-high-net-worth individuals. The combined value of apartment and villa sales increased significantly, surpassing AED 84.4 billion, with the number of transactions reaching 16,585 deals compared to the same period last year, as per an analysis by the ADXinteract platform.

In Dubai, research by W Capital Real Estate Broker showed that market sales exceeded AED 286 billion during the first half of the year, marking the second-highest half-year sales volume in the emirate's history. The value of newly announced real estate projects launched since the beginning of 2026 exceeded AED 275 billion, reflecting continued market momentum.

Farhad Azizi, Group CEO of Azizi Developments, emphasized the real estate sector's role as a key driver of the national economy, supported by genuine housing demand and foreign investment inflows. He noted the UAE's stable economic environment and flexible regulations have enhanced its appeal to global capital, expecting continued positive performance in the second half of the year.

Hussein Salem, CEO of Ohana Development, remarked on the market's maturity, with growth now driven by long-term demand. Both Abu Dhabi and Dubai have recorded robust real estate transactions, showcasing the market's strength and ability to attract investment. He anticipates a balanced pace of growth with sustained demand for well-planned residential communities and waterfront projects.

Thomas Wan, Founder and CEO of Refine, highlighted the sector's resilience, noting that buyers are increasingly focused on project quality, location, and developer reputation. He stressed the importance of delivering projects that meet market needs and adopting well-considered pricing strategies.

Syed Mahrooz, CEO and Chief Financial Officer of Albagh Group, remarked on the sector's strong performance throughout 2026, driven by robust demand, economic diversification, and progressive residency policies. He expects the market to remain active, with sustained demand for premium residential communities and high-quality commercial assets, as investors prioritize long-term value and asset sustainability.