Dubai property price index, August 2026 (ValuStrat): villas post their first annual fall since 2021

The ValuStrat Price Index (VPI) for Dubai homes stood at 218.8 points in August 2026: down 0.2% on the month and 3.1% on the year. Villa values fell 1.7% from August 2025 — the segment's first annual decline since 2021. Apartments lost 5.3% over the year.

How much have villas and apartments fallen?

Both segments slipped 0.2% on the month. The annual picture differs: the villa index is at 292 points, down 1.7% on the year; the apartment index is at 168.3 points, down 5.3%.

Measure	July 2026	August 2026
Citywide VPI	219.2	218.8
Annual change	−1.6%	−3.1%
Villas, annual	0%	−1.7%
Apartments, annual	−4.2%	−5.3%

The July column comes from our note on the ValuStrat index for July. In one month the annual decline almost doubled, and villas lost their status as the segment that does not fall.

Is this a crash or a plateau?

A plateau with a downward tilt. In August values were unchanged in 73% of freehold villa communities and 61% of apartment communities. The decline comes from a minority of districts where a lot of new stock is completing at once.

A monthly 0.2% is statistical noise. Together with the annual minus it is a change of regime: a market that grew at double-digit rates for three years has stopped.

How many homes sold in August?

About 11 000. Ready-home sales came to 3 038 — down 14.3% from July and 20.6% from August 2025. Off-plan registrations totalled 8 016: down 15.4% on the month and 40.4% on the year.

Off-plan made up 73% of all sales and ready homes 27%. The drop is sharpest where the frenzy was: purchases from developers are down by two-fifths in a year.

Who is selling the most

Azizi led developer sales in August with a 22.6% share. Emaar followed with 10%, Damac with 7.6% and Binghatti with 5.6%.

• Azizi Venice — 19.8% of all off-plan sales;
• City of Arabia — about 10%;
• Jebel Ali Downtown — 7.7%;
• Jumeirah Village Circle — 4.7%.

One in five off-plan purchases was a single project in Dubai South. Citywide statistics now lean heavily on the mass-market south.

What should a buyer do with these numbers?

On resale apartments, negotiation is back: at minus 5.3% a year, a seller who needs cash gives ground. Villas are harder — the decline has only begun and owners have not adjusted to it.

Off-plan discounts still come through the payment plan rather than the price. Compare total cost of ownership: the instalment schedule, the handover date and the rent the unit will earn after keys.

Frequently asked questions

Are Dubai property prices falling in 2026?

Yes. ValuStrat's index shows prices 3.1% lower in August 2026 than a year earlier: apartments −5.3%, villas −1.7%.

When did Dubai villa values last fall year on year?

In 2021. August 2026 is the first annual decline in the villa index in five years.

Which developer sells the most homes in Dubai?

In August 2026 it was Azizi with 22.6% of developer sales, ahead of Emaar on 10% and Damac on 7.6%.

How many ready homes sold in Dubai in August 2026?

3 038 — down 20.6% from August 2025.

Want the real value of a specific building rather than "the market on average"? Start with Azizi Venice, the project behind a fifth of off-plan sales.