Dubai’s off-plan property market is showing signs of moderation, with buyers becoming more selective while overall long-term confidence remains stable, according to property brokerage Betterhomes.
The company said off-plan transactions have made up around 70 per cent of total property deals over the past year. However, recent data indicates a slowdown in momentum following a period of strong growth.
Transaction activity declined in March compared to February, with figures from the Dubai Land Department showing deals worth about Dhs 40 billion, down from roughly Dhs 60 billion the previous month. Despite the drop, overall activity remains at healthy levels.
Prices have adjusted by about 13 per cent, reflecting a shift towards more cautious buyer behaviour. The market is becoming increasingly price-sensitive, with investors focusing on value rather than rapid gains.
“We are not at record pricing, but we are also not seeing widespread distress or massive discounts. Reality sits somewhere in the middle,” said Harry Martin, Director of Off-Plan & Capital Markets at Betterhomes.
The brokerage noted that construction activity continues across Dubai, with developers maintaining project timelines. Around 90 per cent of units expected to be delivered within the next 12 months have already been sold.
“We are seeing a shift towards longer-term investors. People are now thinking five to ten years rather than short-term gains,” Martin said.
tanvir@dubainewsweek.com
