betterhomes: Dubai Market Stabilises as Rentals Rebound

Dubai Land Department figures show total transactions up just under 2% month-on-month, marking the first positive move since the conflict began in late February. Internally, betterhomes recorded an 11% increase in inbound sales enquiries between March and April, with activity improving consistently week on week.

Supply remains disciplined despite softer demand

What’s equally telling is what’s not happening. Despite enquiries running around 30% below year-ago levels, sales listing volumes have remained flat. Sellers are not flooding the market. Louis Harding, CEO of betterhomes, attributes this to a structural shift years in the making: a healthier ratio of end-user ownership versus speculative investment.

“We’re simply not seeing the supply response you’d expect if this were a market in genuine distress,” he said. “Every week the metrics improve. This is a disciplined pause, not a retreat.”

Mortgage brokers are meanwhile reporting a bottleneck of buyers seeking agreements in principle, with latent demand quietly positioning itself to move.

Leasing activity rebounds sharply

The leasing market is moving faster. Tenant enquiries rebounded 40% between March and April, the sharpest monthly recovery since the conflict began. Available rental inventory grew from just over 1,000 units at the start of March to nearly 2,200 by the end of April, while around 70% of listings recorded price adjustments averaging just under 10%.

The inquiry-to-listing ratio now sits at 6.6, down from 10 pre-conflict, but still reflective of active demand.Rupert Simmonds, Director of Leasing at betterhomes, said the market is moving towards a healthier balance.

“Rents have adjusted, choice has increased, and tenants are re-engaging,” he said. “Landlords who price realistically now will be well-positioned when demand fully recovers.”

Villas continue to outperform apartments

Performance across the rental market remains uneven. Villas and townhouses are holding firmer on price than apartments, while well-maintained properties are consistently outperforming on both leasing speed and achieved rents.

Long-term fundamentals remain intact

The broader direction across Dubai’s property market is one of gradual normalisation rather than disruption. Demand is rebuilding week on week, supply remains stable, and recent policy and infrastructure announcements are expected to support long-term confidence.

These include the removal of the minimum property value threshold for UAE investor visas, alongside the planned USD 9 billion Gold Line metro expansion connecting 15 districts across the city.