This is due to the form of supply, which can reduce pressure on prices, especially if demand remains at the same level. It is also important to consider that demand can be influenced by factors such as the economic situation, income levels and mortgage rates. If the age of demand is not significant, then stabilization of prices is quite possible.
The Dubai property market is expected to stabilize in 2025, with rental growth slowing down. The main factors for this are an increase in the supply of new properties and the introduction of the Smart Rental Index, which provides more transparent pricing mechanisms. This will allow tenants and landlords to decode market information and make more informed decisions.
According to forecasts, a record number of 72,365 new residential units are expected on the market in 2025, which is an increase of 171% compared to the same years. Betterhomes also reported a slowdown in rent growth in 2024 compared to last year, indicating a stable market. The real estate sectors continue to reduce interest due to roads and strategic investments in infrastructure.
Among the key predictions for the future, it is expected that real estate prices will remain stable by 2026 as the market absorbs around 163,000 new housing units, which is also necessary to balance demand. Analysts are confident that the steady demand as a result of the decline in demand and end users will strengthen Dubai's position as a major real estate hub.
It was also reported that measures are planned to prevent the market from overheating, including a recommendation for banks not to charge commissions on real estate transactions, focusing on the value of the property itself. Thus, experts are inclined to believe that the real estate market in Dubai is moving towards a more balanced and sustainable environment, which creates favorable conditions for both renters and the economic downturn.
The Dubai property market is expected to stabilize in 2025, with rental growth slowing down. The main factors for this are an increase in the supply of new properties and the introduction of the Smart Rental Index, which provides more transparent pricing mechanisms. This will allow tenants and landlords to decode market information and make more informed decisions.
According to forecasts, a record number of 72,365 new residential units are expected on the market in 2025, which is an increase of 171% compared to the same years. Betterhomes also reported a slowdown in rent growth in 2024 compared to last year, indicating a stable market. The real estate sectors continue to reduce interest due to roads and strategic investments in infrastructure.
Among the key predictions for the future, it is expected that real estate prices will remain stable by 2026 as the market absorbs around 163,000 new housing units, which is also necessary to balance demand. Analysts are confident that the steady demand as a result of the decline in demand and end users will strengthen Dubai's position as a major real estate hub.
It was also reported that measures are planned to prevent the market from overheating, including a recommendation for banks not to charge commissions on real estate transactions, focusing on the value of the property itself. Thus, experts are inclined to believe that the real estate market in Dubai is moving towards a more balanced and sustainable environment, which creates favorable conditions for both renters and the economic downturn.
