Dubai’s property market remains resilient despite rising geopolitical tensions and global uncertainty, according to Mohamed Alabbar, founder of Emaar Properties.
Alabbar says investor confidence in Dubai real estate continues to strengthen due to long-term government policy, economic stability, and the emirate’s growing role as a global business hub. The continued flow of international capital into the UAE property sector reflects confidence built over decades of regulatory consistency and economic growth.
Dubai’s property market has expanded significantly in recent years. According to Alabbar, the sector recorded approximately 70% growth in 2023, followed by 40% growth in 2024 and 2025, demonstrating sustained global demand for Dubai real estate assets.
This article explains why Dubai’s property market remains strong, what new supply means for prices, and what investors should expect from the UAE’s real estate sector in 2026.
Why Mohamed Alabbar says Dubai’s property market remains resilient
Dubai’s property market remains resilient primarily because of strong investor confidence in the emirate’s economic stability and governance.
According to Alabbar, the UAE’s leadership has spent decades building a system designed to deliver stability, economic opportunity, and global competitiveness.
He highlighted that Dubai’s consistent policy environment has created long-term trust among global investors.
Investor confidence despite geopolitical tensions
Geopolitical tensions often create uncertainty in global markets, but Dubai has historically benefited during periods of global instability.
Investors frequently view Dubai as a safe destination for capital due to its:
- political stability
- strong infrastructure
- international connectivity
- business-friendly regulation
These factors allow the emirate to attract international capital even when other markets experience volatility.
Dubai’s long-term economic strategy
Dubai’s economic growth has been driven by long-term planning rather than short-term market cycles.
Over the past four decades, the emirate has invested heavily in infrastructure, tourism, finance, and global trade.
This diversification has strengthened the real estate sector by supporting consistent demand from residents, businesses, and international investors.
Why global capital continues flowing into Dubai real estate
International capital flows remain one of the strongest drivers of Dubai’s property market.
Alabbar pointed to strong growth in real estate transactions over the past several years as evidence that investor demand remains robust.
Investment growth in recent years
According to Alabbar, Dubai’s property market experienced significant expansion:
| Year | Market Growth |
|---|---|
| 2023 | 70% |
| 2024 | 40% |
| 2025 | 40% |
These figures illustrate sustained global interest in Dubai real estate investments.
Stability and regulatory confidence
Dubai’s regulatory framework also contributes to investor trust.
Strong banking discipline, transparent property laws, and investor-friendly policies have made Dubai one of the most attractive real estate markets globally.
International investors increasingly view the UAE as a long-term capital destination rather than a speculative opportunity.
Supply growth expected in 2026–2027
Dubai is preparing for a wave of new property supply expected to enter the market during 2026 and 2027.
According to Alabbar, this additional inventory could benefit the market rather than weaken it.
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Contact us via WhatsAppWhy additional supply could stabilize prices
Increasing supply can prevent excessive price inflation.
Alabbar believes that gradual price growth creates a healthier market environment for both investors and residents.
A balanced market encourages long-term sustainability rather than speculative price spikes.
Impact on housing affordability
Housing costs represent a significant component of inflation.
Alabbar noted that real estate prices contribute to roughly 50% of inflation, making price stability an important economic objective.
A controlled increase in housing supply could therefore support broader economic stability in Dubai.
Why Dubai property prices are unlikely to see major corrections
Some analysts have suggested Dubai property prices could face corrections as new supply enters the market.
However, Alabbar considers a significant market downturn unlikely.
Market fundamentals
Dubai’s real estate market is supported by several structural factors:
- strong population growth
- international investment demand
- economic diversification
- global connectivity
These fundamentals continue to support demand across both residential and commercial property segments.
Demand drivers
Demand for Dubai real estate is driven by multiple global trends:
- migration of international professionals
- rising interest from global investors
- expansion of Dubai’s tourism sector
- growth in technology and financial services industries
These demand drivers reinforce Dubai’s position as a global real estate hub.
Dubai real estate growth compared with global markets
Dubai’s real estate sector has outperformed many global property markets in recent years.
| Market | Growth Trend |
|---|---|
| Dubai | Strong multi-year growth |
| Europe | Slower growth |
| United States | Mixed regional performance |
| Asia | Uneven recovery |
Dubai’s combination of economic stability, infrastructure investment, and investor-friendly policies continues to attract international capital.
What investors should expect from Dubai real estate in 2026
Looking ahead to 2026, Dubai’s property market is expected to maintain steady growth rather than rapid price increases.
Alabbar said he prefers a market environment where prices rise gradually by 5–6% annually, rather than experiencing extreme fluctuations.
Moderate growth supports long-term investor confidence while maintaining affordability for residents and businesses.
FAQ — Dubai Property Market Outlook
Yes. According to Emaar founder Mohamed Alabbar, investor confidence remains strong due to the UAE’s stable policies, economic diversification, and global reputation as a business hub.
Some analysts predict modest corrections as new supply enters the market. However, many developers believe strong demand and population growth will limit major price declines.
Dubai offers political stability, strong infrastructure, transparent property regulations, and global connectivity, making it attractive for international investors.
Additional supply in 2026–2027 could actually stabilize prices by preventing excessive price growth.
According to Alabbar, sustainable growth of around 5–6% annually would create a balanced and healthy market.