Is 2025 the Right Time to Buy Property in Dubai? Or Should You Wait Until 2026?
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Dubai’s property market is known for its rhythm: quick rises, short pauses, and the occasional correction that resets the stage for the next growth cycle.
So naturally, if you’re planning to invest, the big question is: should you buy in 2025 or wait for 2026?
The answer depends on your investment strategy, your appetite for risk, and how you see the next 18 months unfolding.
Let’s break it down in simple terms.
What does 2025 look like? What 2026 might bring? And how smart investors can time their move.
Why 2025 Might Be the Smart Entry Point
If you’re the kind of investor who likes momentum, 2025 could be your window to catch the tail-end of Dubai’s current growth wave.
1. Capitalise on Peak Appreciation
Prices are still growing, especially in premium locations like Palm Jumeirah, Dubai Hills Estate, and Business Bay. But experts expect them to start stabilising by late 2025.
Buying early in the year means you can still ride the final stretch of the post-pandemic boom before the market cools.
Pro Tip: Focus on prime or luxury segments that hold value even when the market corrects.
2. Lock in Attractive Off-Plan Deals
Developers are becoming more aggressive with payment plans in 2025, offering 10% down and 50/50 post-handover options to attract buyers before next year’s expected supply surge.
That means better pricing and more flexibility for you.
Pro Tip: Stick with established names to avoid project delays or cancellations.
3. Enjoy High Rental Yields, While They Last
Average rental yields are around 7.4% right now. But with more properties set to hit the market in 2026, rents could dip slightly next year.
Buying now means locking in strong returns before supply puts downward pressure.
Hotspot Watch: JVC, DIP, and Arjan still offer great yields and tenant demand.
4. Get Residency Stability
Investing AED 2 million or more in 2025 makes you eligible for the 10-year Golden Visa, securing long-term residency while policies and property prices are still favourable.
It’s more than just an investment, it’s peace of mind.
5. Ride Future Growth Zones Early
Areas like Dubai South and Creek Harbour are buzzing with new infrastructure. Buying in 2025 positions you ahead of the curve for long-term capital growth once these zones mature.
Why Some Investors Are Waiting for 2026
If you’re more cautious or value-driven, there’s a strong argument for waiting until 2026, when supply, pricing, and buyer leverage could swing in your favour.
6. A Massive Supply Spike Is Coming
Dubai is set to deliver over 120,000 new units in 2026, while population growth remains at roughly 5%.
That’s a lot of new apartments, and when supply outpaces demand, prices tend to cool off.
7. Forecasted Price Correction
Both Fitch Ratings and Moody’s predict a 10–15% price correction between late 2025 and early 2026.
If that plays out, patient investors could enter the market at a discount.
8. A Buyer’s Market Returns
With more inventory, developers and sellers will start negotiating better prices, flexible plans, or even waived fees.
If you love a good deal, 2026 could be your time to shine.
9. Rental Rates May Ease
After years of growth, rents in mid-market areas are expected to flatten or slightly decline in 2026.
That could push some investors to offload properties, creating below-market buying opportunities.
10. Stabilised Market, Healthier Long-Term Growth
When the hype settles, speculation fades, leaving behind serious, long-term investors.
That’s when true value emerges, based on fundamentals like location, infrastructure, and community.
Market Factors That Will Influence Your Timing
Here’s what else to keep an eye on before you decide which year is your best bet:
11. Not All Areas Are Equal
Mid-range apartments far from central Dubai will likely see the sharpest corrections, while prime and villa communities will stay relatively stable.
✅ 2025: Safer for luxury and villas
✅ 2026: Better for affordable apartments
12. Delays Could Smooth Out the Correction
Historically, only about 60% of projected units are delivered on schedule.
If that trend continues, the 2026 supply wave could spread out, softening the correction.
Translation? If you wait too long, the “dip” might never be as deep as expected.
13. Global Interest Rates Matter
Rising rates affect mortgages and investor sentiment. If borrowing costs stay high, prices might correct faster.
But if rates drop, pent-up demand could quickly lift prices again.
14. Dubai’s Government Support
With RERA regulations, escrow requirements, and the D33 economic plan, Dubai’s market remains well-regulated.
Even during a correction, it’s unlikely to “crash.” Expect moderation, not meltdown.
15. Long-Term Demand Remains Strong
Dubai’s 3%+ non-oil GDP growth and consistent job creation keep fueling real demand.
By 2027, the new inventory will likely be absorbed, supporting the next growth cycle.
16. Off-Plan Caution
Buying off-plan in 2025 carries a risk; if the market dips, your property value at handover (2026–2027) could be lower than expected.
Mitigate it by focusing on Tier 1 developers with solid track records.
17. Villa Stability
Villas remain undersupplied and continue to attract high-net-worth investors.
They’re less volatile, making 2025 an ideal year for villa buyers looking for long-term appreciation.
18. Foreign Capital Keeps Flowing
Investors from Europe and Asia are still actively entering Dubai’s real estate market.
Geopolitical or economic shifts could either accelerate or delay the correction; keep an eye on global sentiment.
19. Infrastructure Game-Changers
Projects like the Al Maktoum International Airport expansion and Dubai 2040 vision developments will have ripple effects on property values, especially in Dubai South.
If you’re investing for the next 5–10 years, buying in 2025 gives you a first-mover advantage.
What’s the Final Verdict?
There’s no one-size-fits-all answer.
It comes down to your investment style:
- Buy in 2025 if you’re after prime locations, off-plan payment benefits, or long-term capital appreciation.
- Wait for 2026 if you’re value-focused, prefer ready properties, and want to capitalise on potential price dips.
Either way, Dubai remains a long-term growth story- backed by strong fundamentals, global appeal, and unmatched infrastructure momentum.
If you found this article insightful, you’ll love Beyond Bricks & Mortar by Hitesh Bagmar. A definitive guide that dives deeper into Dubai’s real estate landscape.
The book helps you see beyond the hype and make smarter, data-backed investment decisions.
Whether you’re buying in 2025 or waiting for 2026, this read will help you invest with clarity, confidence, and purpose.
Beyond Bricks & Mortar, now available for forward-thinking investors.
Here are verified and credible references used for the market data and forecasts in this blog:
🔗 economymiddleeast.com
🔗 internationalinvestment.net
🔗 deloitte.com