Dubai property buyers are spending more per deal even as overall prices soften, according to new market data and developers active in the mid-market segment.
Dubai Land Department figures for August show the average value per transaction across combined apartment and villa sales rose 7 percent month-on-month, while average apartment prices climbed 4 percent. Fewer buyers transacted during the month, but those who did paid higher average values.
Why deal sizes are climbing
Prices have softened through 2025, and further in recent months amid regional tensions, yet developers have responded with aggressive payment plans that are drawing buyers who were previously hesitant. Mid-market buyers have increased their average spending from Dh600,000 to Dh950,000, with many now crossing the Dh1-2 million mark.
Yousuf Fakhruddin, CEO and managing partner of Fakhruddin Properties, said the flexible offers are removing the hesitation that had kept some buyers on the sidelines. "People who were on the fence know that it's a good time to invest, but they wanted a push. They now believe it's time to invest because the offers currently available from developers are unlike anything we've seen before. It's the right time to buy," he said.
Fakhruddin also pointed to brokers themselves entering the market as purchasers. "A lot of brokers themselves are buying units too because the products are good and they want to put money in. This is the most innovative thing we are seeing now. Also, brokers know each and every segment of the market," he said.
Bigger units, not just bigger budgets
Alongside larger budgets, buyer preferences are shifting in terms of unit size. Tauseef Khan, founder and chairman of Dugasta Properties, said demand is moving away from compact studios toward one-bedroom and larger configurations. "The buyer preference has shifted from compact studio apartments to one-bedroom and larger configurations for higher yield potential. Indian investors make up the majority of the diaspora purchasing in Dubai's real estate market," Khan said.
A market of micro-markets
Not every corner of Dubai's property market is moving the same way, according to Richard Waind, CEO of Betterhomes. "Dubai is increasingly behaving as a collection of distinct micro-markets rather than one market moving in a single direction," Waind said.
He added that softer headline figures do not tell the whole story. "The headline numbers are softer, but there are still clear pockets of strength. What we're seeing is a more considered market, where buyers are scrutinising value more closely, and stronger properties continue to transact," Waind said.
Taken together, the data and the developers' accounts point to a Dubai property market where buyers are more selective, spending more per transaction, and choosing larger homes, even as the total number of deals and headline prices show signs of cooling.
