Dubai property prices could experience a 5 to 10 percent adjustment as more homes enter the market by 2027. However, Mohamed Alabbar expects the market to recover quickly if regional conditions stabilize. The founder of Emaar and Noon shared his outlook during AIM Congress 2026 in Dubai. He said developers expect substantial new supply over the coming years. Nevertheless, he believes the market can maintain a healthy balance despite the expected increase.
Alabbar said the projected adjustment reflects the unusual conditions affecting the property market. He expects the additional supply to create more choices for buyers and investors. At the same time, he believes Dubai could quickly regain momentum if uncertainty declines. Therefore, he urged investors to consider the market from a longer-term perspective. He also highlighted Dubai’s continued growth as an important factor supporting property demand.
The property market also showed signs of resilience during the recent regional conflict. According to Alabbar, Emaar Properties recorded a noticeable increase in unit cancellations during that period. The company’s average cancellations previously stood near 700 units. However, that figure increased to approximately 1,000 units during the period of heightened uncertainty. After the ceasefire announcement, cancellations fell sharply to around 550 units.
Alabbar said the change in cancellations provides an important indication of customer confidence. He also pointed to the company’s strong payment collection performance. Emaar continues to collect around 96 percent of payments that customers previously delayed. This performance surprised the company’s leadership, particularly given the uncertainty experienced during the period.
Furthermore, Alabbar said customers continue to show strong confidence in Dubai’s property market. He attributed that confidence to several factors, including trust in the UAE and its government. Customers also continue to rely on established developers and their long-term projects. Consequently, the strong collection rate has helped demonstrate resilience within the property sector.
Meanwhile, Alabbar expects substantial property supply to reach Dubai by 2027. He believes this increase could create a healthier balance between supply and demand. However, he also warned that market conditions could change quickly. If regional tensions ease, investor confidence could strengthen rapidly. As a result, demand could increase faster than many market observers currently expect.
The expected supply increase could also create opportunities for buyers. More available properties may provide investors with greater choice across different locations and price segments. Additionally, developers could face stronger competition as new projects reach completion. Therefore, buyers may gain more negotiating power in certain parts of the market. However, demand will remain an important factor in determining how prices respond.
Alabbar also encouraged investors to examine opportunities across the wider region. He particularly highlighted the UAE as an attractive destination for investors with sufficient liquidity. He advised investors with limited debt and available cash to consider current opportunities. According to his outlook, strong financial positions can help investors take advantage of changing market conditions.
Dubai continues to attract international investors through its expanding economy and large development pipeline. The city also maintains a strong position within the regional real estate market. Furthermore, infrastructure improvements and population growth continue to support long-term demand. These factors could help the market absorb additional housing supply over time.
At the same time, investors will continue monitoring prices as new developments enter the market. A moderate adjustment could create more affordable opportunities for some buyers. However, the overall impact will likely vary between communities and property segments. Prime locations could behave differently from areas with larger amounts of new inventory.
The latest outlook highlights the possibility of a changing market rather than a major downturn. Dubai property prices could face some pressure as supply increases. Nevertheless, strong demand and investor confidence could limit the size of any adjustment. The market could also regain momentum quickly if regional uncertainty continues to ease.
For investors, the next several months could provide important signals about future market conditions. Developers will monitor sales, cancellations, payment collections, and new project launches closely. Meanwhile, buyers will assess whether potential price adjustments create attractive opportunities. Overall, Dubai property prices remain closely linked to supply, demand, investor confidence, and broader economic conditions.
Dubai’s property sector therefore enters the coming period with both opportunities and challenges. New supply could encourage greater competition and potentially moderate prices. However, continued economic growth could support demand and improve market conditions. If confidence remains strong, the sector could absorb additional supply while maintaining long-term growth.
