Dubai and Abu Dhabi Off-Plan Market Report: August 2026

Dubai off-plan transaction volume and value both fell by approximately 40% between August 2025 and August 2026. On its own, that decline looks significant. Looked at more closely, it reflects a shift in where demand is coming from rather than a collapse in demand itself.

Developer activity was considerably more conservative this August. In August 2025, 45 new projects brought more than 9,000 residential units to market. This year, just 22 new projects launched, down 51.1%. New launches naturally generate attention, urgency, and a fresh pool of buyers, so fewer launches mean less of that manufactured momentum.

Despite far less support from brand new inventory, the market still recorded approximately AED 15.3 billion in off-plan transactions. A larger share of that activity came from buyers purchasing within existing project inventory, rather than being pulled in by newly launched stock.

At Atlas, we're increasingly advising end users to get onto the property ladder and upsize through off-plan. As rental prices have eased and landlords offer more flexible payment terms, buyers have more room to stay in their current rental while securing a brand new property off-plan, often at a more accessible entry price than comparable ready homes they may already be priced out of.

Average rents fell 6% quarter on quarter in Q2 2026, while the Dubai Land Department's Flexi Rent initiative introduced monthly, quarterly, and semi-annual payment options through participating landlords. This gives tenants room to stay in their current home while securing their ideal property, with developer payment plans spreading the cost across construction.

Dubai's population reached 4.78 million at the end of August 2026, adding approximately 203,000 residents in just eight months. That leaves the city only 1.02 million residents below the 5.8 million envisaged under the Dubai 2040 Urban Master Plan, which requires average annual growth of just over 70,000 residents. Despite this year's geopolitical disruption, Dubai added almost three times that required annual pace in only eight months. Population growth remains one of the clearest long term drivers of housing demand.

Perhaps the most significant development this month was Emaar's return to the market, announcing new launches on 30 August. Through the period of greatest uncertainty, Emaar stayed disciplined: it did not discount, restructure payment plans, or rush new projects to market. With a revenue backlog of AED 164.9 billion as of 30 June 2026 and a debt to equity ratio of 0.10, Emaar is under little pressure to release inventory purely to generate cash flow.

Few developers see more of the Dubai market than Emaar, so its read on buyer behaviour carries weight. Its decision to begin releasing new stock again can be read as an early indication of improving confidence and a return to more normal trading conditions.

Preferential payment structures from other Tier 1 developers, including Aldar, Ellington, and Sobha, remain available, with several approaching their deadlines. This may create a narrow window for informed investors: confidence is returning while incentives from the quieter period are still on the table.

This shift reflects a wider trend that was already underway before recent geopolitical events, with developers responding to buyer demand and government infrastructure commitments by building more villas and townhouses. It strengthens the city's long term growth outlook, reinforces investor confidence, and aligns with the Dubai 2040 Urban Master Plan.

Top 10 developers by sales value, August 2026

Sobha, DAMAC, and Emaar occupied the top three positions for transactional volume of villas and townhouses in August 2026. Their track record of delivering at scale, along with their emerging master-planned communities, allows them to generate volume throughout the year rather than relying on individual launches.

Sobha and DAMAC also offered targeted incentives during August, creating an opportune entry window for investors who understood timing and were able to secure more favourable purchase terms on assets they had already evaluated. This is an important distinction: an incentive should improve the entry into a strong acquisition, rather than become the reason for making it.

Eltiera Views brings together the fundamentals Atlas looks for in a premium off-plan investment: a prime Jumeirah Islands location, limited comparable supply, strong demand from JLT, Uptown, and DMCC, and Ellington's proven design led product. With entry pricing below nearby premium benchmarks such as Uptown Tower, there is a compelling case for capital appreciation, supported by strong rental fundamentals and long term end-user demand.

Lunaya combines Zaya's proven Al Barari development philosophy with early entry into Dubai's southern growth corridor. With 65% of the community dedicated to greenery and open space, 900,000 sq ft of swimmable lagoons, and only around 500 villas, the product has genuine scarcity and differentiation. Strong absorption across the initial collections, combined with pricing below mature villa communities and long term growth around Palm Jebel Ali, Expo City, and Al Maktoum Airport, creates a compelling medium to long term capital appreciation case.

Marsa Al Saadiyat represents Aldar's next ultra-prime chapter on Saadiyat Island, combining waterfront living with one of Abu Dhabi's most established luxury destinations. With the Louvre Abu Dhabi, Guggenheim Abu Dhabi, and Zayed National Museum forming a globally significant cultural district nearby, the location has enduring international appeal. Against record Abu Dhabi transaction volumes and increasing demand for prime assets, Atlas expects this to be one of Aldar's most significant luxury launches of the year.

All figures below are sourced from ADREC and cover all asset classes across the first half of 2026.

Six districts carry 77% of that supply: Saadiyat, Al Reem, Yas, Zayed City, Khalifa City, and Al Hudayriyat. Nine developers hold 76% of the pipeline.

Abu Dhabi is entering a compelling stage of its real estate cycle as its economic transformation creates multiple new sources of property demand simultaneously.

ADGM is increasingly competing as a global financial centre, Yas Island continues to develop as a major tourism and entertainment destination, and Saadiyat Island is positioning itself among the world's leading cultural districts. Abu Dhabi's property market is now being supported by finance, tourism, culture, population growth, and international wealth migration, rather than a single demand driver.

With foreign freehold ownership only introduced in 2019, and future supply still concentrated across a handful of investment zones, the 309% increase in foreign property investment is evidence of a market becoming globally investable at scale, with significant room for that internationalisation to continue.

Abu Dhabi figures in this report are sourced from ADREC and cover all asset classes across H1 2026. Dubai figures elsewhere in this report are sourced from Property Monitor and reflect monthly off-plan Oqood registrations. As transactions can take time to be officially recorded and published, the latest reported figures may continue to update, so the two datasets should not be directly compared.

At Atlas Advisory, our role is twofold: to ensure each acquisition aligns with an investor's true goals and expectations, and to identify the assets best positioned to capture long term demand while providing the smoothest possible route to exit.

If you'd like to discuss the payment terms available on Eltiera Views, Lunaya, or Marsa Al Saadiyat, or want a broader view of where Dubai and Abu Dhabi off-plan pricing sits today, reach out to the Atlas Advisory team.

How much did Dubai off-plan property sales fall in August 2026?

Dubai off-plan transaction value fell 40.5% year on year to approximately AED 15.3 billion in August 2026, down from AED 25.7 billion in August 2025. Transaction volume fell 38.7%, from 12,885 units to 7,903 units, largely driven by a 51.1% drop in new project launches.

Which segment of the Dubai off-plan market grew in August 2026?

Villas and townhouses were the standout performer, with sales value up 204.3% year on year to AED 4.2 billion and volume up 80.2% to 730 units. This segment now represents 27.3% of total off-plan sales value, up from just 5.3% a year earlier.

Which developer sold the most off-plan property by value in Dubai in August 2026?

Azizi led by units sold and value, with 2,279 units and AED 1.78 billion in sales. Emaar ranked second with AED 1.74 billion across 559 units, followed by Sobha Group with AED 1.28 billion across 350 units.

Why did Emaar return to new launches in August 2026?

Emaar had remained disciplined through the period of greatest market uncertainty, avoiding discounts or restructured payment plans. With a revenue backlog of AED 164.9 billion and a debt to equity ratio of 0.10, it was under little pressure to release inventory, so its decision to launch new stock on 30 August is viewed as an early signal of improving market confidence.

How is the Abu Dhabi property market performing in 2026?

Abu Dhabi recorded AED 117 billion in total ADREC transactions across all asset classes in H1 2026, up 112% in value and 61.7% in volume year on year. Foreign direct investment into Abu Dhabi property reached AED 13.8 billion, up 309%, from investors across 99 nationalities. Price growth stands at 7% to 11% year on year, with gross rental yields between 6% and 8%.

Is now a good time to invest in Dubai or Abu Dhabi off-plan real estate?

Softer transaction volumes and continued preferential payment terms from Tier 1 developers such as Aldar, Ellington, and Sobha have created a window where buyers have more choice, time, and leverage than in recent years, while confidence in the market is starting to return, based on signals such as Emaar's decision to resume new launches.