Dubai Rental Contracts Near Record as 257,000 Leases Registered in 2026

Dubai’s rental market is on track to set a new annual record in 2026, with more than 257,000 tenancy contracts registered across the emirate’s freehold areas during the first eight months of the year.

According to a market analysis by fäm Properties, Dubai recorded 257,284 rental contracts between January and August, marking a 5.5 per cent increase compared with the same period in 2025.

Dubai’s rental market recorded a full-year high of 377,944 registered contracts in 2025.

Rental activity gained further momentum in August, with 39,645 contracts registered across Dubai’s freehold areas, up 3.79 per cent from the previous month.

New tenancy contracts rose 19.4 per cent year on year to 20,611, while renewal agreements increased 4.4 per cent to 19,034.

Dubai’s Most Popular Rental Areas

Firas Al Msaddi, CEO of fäm Properties, said the rental market remains an important measure of people’s commitment to living and working in Dubai, despite regional uncertainties in recent months.

He added that the rise in new contracts partly reflects tenants relocating to benefit from lower rents in certain areas, describing the trend as a natural response to current market conditions.

Al Warsan First recorded the highest number of rental contracts across Dubai’s freehold areas during the first eight months of 2026, with 23,894 agreements. Jebel Ali First followed with 21,687 contracts, while Al Barsha South Fourth recorded 20,607.

Business Bay registered 16,637 rental contracts, followed by Nadd Hessa with 13,871 and Marsa Dubai with 13,692.

One-bedroom properties represented the largest share of rental agreements, with 105,880 contracts accounting for 41 per cent of the total. Two-bedroom properties followed with 59,420 contracts, representing 23 per cent, while studios accounted for 55,336 contracts, or 22 per cent. Three-bedroom properties recorded 25,507 agreements, equivalent to 10 per cent, while four-bedroom homes accounted for 8,625 contracts, or 3 per cent.

Dubai Property Sales Reach $7.8bn In August

The rental market data comes as Dubai recorded 12,018 property sales worth AED28.6bn ($7.79bn) in August, according to DXBinteract data.

Off-plan transactions continued to lead the market, with 8,359 deals worth AED16.3bn ($4.44bn), compared with 3,659 resale transactions valued at AED12.4bn ($3.38bn).

Dubai South remained the emirate’s leading area for primary-market sales by volume for the sixth consecutive month, recording 1,908 off-plan transactions worth AED2.3bn ($626m).

Apartment sales reached 9,974 in August, with a combined value of AED15.7bn ($4.28bn), while villa transactions totalled 1,354 and were valued at AED7.9bn ($2.15bn).

The market also recorded 183 plot sales worth AED2.6bn ($708m), alongside 420 commercial transactions covering offices and shops, with a combined value of AED1.5bn ($408m).

Properties priced below AED1m ($272,000) accounted for 42.8 per cent of Dubai’s property sales in August, while homes valued between AED1m ($272,000) and AED2m ($545,000) represented 33.2 per cent.

Properties priced between AED2m ($545,000) and AED3m ($817,000) made up 10.9 per cent of sales, while those valued between AED3m ($817,000) and AED5m ($1.36m) accounted for 7.25 per cent. Properties priced above AED5m ($1.36m) represented 5.7 per cent of transactions.

The highest-value apartment transaction in August was recorded at AED86m ($23.4m) for a unit at The Address, Jumeirah Gate Tower 2 in Jumeirah Beach.

The most expensive villa sold during the month changed hands for AED110m ($30m) at Signature Villas.