The UAE real estate market continued to strengthen its position during the second quarter of 2026, supported by solid economic fundamentals, sustained investment, economic diversification initiatives, and continued expansion in infrastructure and new development projects.

According to a report by global professional services and investment management company Colliers, real estate markets across Dubai, Abu Dhabi, the Northern Emirates, and Al Ain maintained strong momentum. Dubai’s office sector emerged as one of the key beneficiaries of this activity, supported by steady corporate demand for high-quality office space.

Dubai Real Estate Market Maintains Strong Activity

Development activity in Dubai remained robust throughout the second quarter of 2026, with around 11,650 new residential units delivered, including approximately 9,200 apartments and 2,450 villas.

Colliers also expects around 56,600 additional residential units to be completed by the end of the year, reflecting continued momentum in the residential sector and the expansion of new projects across different parts of the emirate.

This activity is taking place alongside major ongoing investments in Dubai’s infrastructure, helping improve the appeal of emerging areas, support the growth of integrated communities, and further strengthen Dubai’s position as one of the region’s leading real estate markets.

The Dubai Land Department also launched the “Affordable Leasing” initiative, reflecting continued efforts to develop the rental market and expand housing options available to residents.

Dubai Property Sales Continue Their Strong Performance

Dubai’s property sales market continued to perform strongly during the second quarter of 2026, supported by notable demand for prime projects currently under development.

This demand helped support price growth across several submarkets, while buyers and investors continued to show strong interest in new developments offering strategic locations and high-quality specifications.

The office sector was among the clearest beneficiaries of this market activity. Prime off-plan office projects attracted strong demand, helping support price growth across several locations.

The sector’s positive performance is also being driven by strong corporate demand for office space, as Dubai continues to attract regional and international companies and strengthen its position as a major business and investment hub.

Abu Dhabi Real Estate Moves Into a More Balanced Phase

Abu Dhabi’s real estate market continued to see healthy activity during the second quarter of 2026, with new residential units added across a number of established and emerging communities.

According to Colliers, around 2,200 residential units were delivered during the quarter, while a further 3,200 units are expected to enter the market during the remainder of the year.

The continued pace of delivery and development reflects confidence among developers and investors in Abu Dhabi’s property market, supported by ongoing demand for new residential communities and high-quality developments.

Residential rents also maintained positive year-over-year performance, with apartment rents rising by 7% compared with the second quarter of 2025, while villa rents increased by 5%.

Abu Dhabi Property Prices Maintain Strong Annual Gains

Residential property prices in Abu Dhabi continued to post strong annual gains, reflecting sustained demand and buyer confidence in the market.

Apartment sale prices increased by 19% year over year compared with the second quarter of 2025, while villa prices rose by 10%.

The market also recorded around 7,200 residential transactions during the second quarter of 2026, representing strong annual growth of 83% compared with the same period a year earlier.

In the office sector, strong corporate demand continued to support market performance, particularly from companies looking to establish a presence within Abu Dhabi Global Market on Al Maryah Island, further reinforcing the capital’s position as a key business and investment destination.

Sharjah Leads New Project Activity in the Northern Emirates

Sharjah stood out as one of the most active markets for new residential project launches during the second quarter of 2026, with around 4,600 new units announced.

Colliers expects approximately 7,450 residential units to be delivered across the Northern Emirates during 2026, with Sharjah accounting for the largest share at around 5,450 units.

Ras Al Khaimah follows with approximately 1,400 units, while Ajman is expected to add around 600 units, highlighting continued development activity and a growing range of residential options across the Northern Emirates.

Ajman, Fujairah, and Umm Al Quwain also demonstrated healthy resilience, supported by steady demand linked to housing affordability and the variety of residential choices available to residents and investors.

The continued launch of new projects reflects confidence in the Northern Emirates’ real estate markets, particularly as residential communities expand, infrastructure improves, and the demand base continues to broaden.

Al Ain Real Estate Remains Stable as Rents Grow Annually

Al Ain’s real estate market remained stable during the second quarter of 2026, while several sectors continued to record positive year-over-year performance.

The residential sector was among the strongest performers, with average apartment rents rising by 7% compared with the second quarter of 2025, while villa rents increased by 4%.

The commercial sector also recorded annual growth, with office rents increasing by 3% and retail rents rising by 5%.

These results reflect continued demand for residential and commercial property in Al Ain, along with the market’s ability to maintain steady levels of activity.