September closed the third quarter with a softer headline number, but the underlying picture was considerably more positive than transaction volumes alone might suggest.
While overall residential sales fell compared with August, the decline was concentrated almost entirely within studios. At the same time, one, two, three and five-bedroom homes all recorded increased activity, the average transaction value rose, and the secondary market captured its largest share of sales since February.
Taken together, September points towards a Dubai property market that is becoming broader and increasingly balanced as we move into the autumn months.
September 2026 at a Glance
Dubai recorded 10,207 residential transactions during September, down 7.9% from August, with the total value of sales reaching AED 22.35B.
Off plan remained the largest part of the market with 7,129 transactions, representing 69.8% of total sales. However, off plan activity fell 9.8% month-on-month, compared with a much smaller 3.3% decline in secondary transactions.
As a result, the secondary market increased its share to 30.2% - its highest level since February.
Importantly, value once again held up better than volume. While transaction numbers declined 7.9%, total value fell by only 6.2%, lifting the average transaction value from AED 2.14M in August to AED 2.19M in September.
A Shift Towards Family Homes
Perhaps the most interesting story in September was not how many properties sold, but what buyers were choosing to buy.
Studio transactions fell 23.1%, from 3,484 in August to 2,678 in September. In fact, the reduction in studio sales was greater than the overall decline across the market.
Away from studios, the picture looked very different. One-bedroom sales increased 2.0%, two-bedroom sales rose 1.3%, three-bedroom transactions jumped 13.1%, and homes with five or more bedrooms increased 8.8%.
It suggests that as Dubai emerged from the summer months, family and end-user demand began returning to the market - particularly for larger homes.
What This Means for Buyers and Investors
September highlights just how important it is to look beyond Dubai's citywide averages.
More than half, 52.6%, of transactions took place between AED 500,000 and AED 1.5M, while 35.3% were below AED 1M. This demonstrates that affordability and efficient unit sizes continue to play an important role in maintaining market liquidity.
At the same time, completed properties are attracting a greater share of buyer attention. Secondary properties accounted for 30.2% of September transactions and 36.5% of total transaction value, with the average secondary deal reaching AED 2.65M, compared with AED 1.99M off plan.
For investors, this creates two distinct propositions: Off plan continues to offer a lower average entry point, while completed properties provide the potential for immediate occupation, rental income and finance from day one.
Community Trends
The geography of demand also continues to evolve.
Dubai South led September sales with 821 transactions, followed by Jumeirah Village Circle with 770. Majan, Downtown Jebel Ali and Dubai Creek Harbour completed the five most active areas.
The rental market, however, tells a different story. Business Bay recorded the highest number of rental contracts, followed by Jumeirah Village Circle, Dubai Marina, Downtown Dubai and Dubai South.
This distinction is important. New supply and development activity continue to drive sales towards emerging corridors, while rental demand remains strongly anchored within established, high-occupancy communities where residents want to live today.
The Q3 Picture
With September bringing the third quarter to a close, we can also begin to see a clearer picture of how the market is evolving.
Dubai recorded 34,410 residential transactions during Q3, just 2.8% below Q2. However, the total value transacted fell more significantly, reflecting buyers committing less capital per transaction rather than leaving the market altogether.
One of the most notable changes was the balance between off plan and secondary. Secondary transaction volumes increased 14.9% quarter-on-quarter, while off plan volumes declined 8.6%.
Off plan remains firmly at the centre of Dubai's residential market, but its share has gradually eased from 76.3% in April to 69.8% in September. Rather than signalling weakness in new development, this points towards completed property regaining a greater share of buyer demand following a spring market heavily influenced by new launches.
Our Perspective
September's headline numbers only tell part of the story.
Yes, transaction volumes were lower. But the decline was concentrated within one segment of the market, while family homes strengthened, average transaction values increased and secondary properties continued to regain ground.
Nine months into 2026, Dubai has recorded 114,344 residential transactions, averaging 12,705 per month. Q3 finished only 2.8% behind Q2 by transaction volume, suggesting that activity may be beginning to find its level following the exceptional market conditions seen previously.
What is becoming increasingly clear is that there is no longer one simple Dubai property story. Different communities, price points and property types are moving at different speeds - making local knowledge and evidence-led pricing increasingly important for buyers, sellers and investors alike.
As we move into the traditionally active autumn period, September leaves us with a market that remains liquid, but one where property selection, realistic pricing and understanding where genuine demand sits matter more than ever.
Download the Full September 2026 Report
This article provides just a snapshot of Dubai's residential property market during September and the wider Q3 picture.
Download the Full September 2026 Market Report for detailed analysis covering transaction volumes, off plan and secondary performance, buyer price points, property sizes, community trends, Q3 performance and what the latest data could mean for your next property decision.
👉 Download Full September Report
Source: Dubai Land Department & Property Monitor - Exclusive Links September 2026 Month in Review.
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