Staff Report
Dubai continues to set the pace for property in the region. According to Windmills Group’s Q3 2026 report, the market recorded around AED 141 billion in combined sales and mortgage transactions, showing how much activity and financing confidence the city still attracts.
Rental returns that stand out
Yields remain one of Dubai’s biggest draws. Apartments are yielding around 7.7% and villas around 7.0%, both higher than last year. Commercial assets perform even better, with shops at about 8.5% and offices at about 8.2%, giving investors attractive income across property types.
“With apartment yields at 7.7% and commercial yields above 8%, Dubai continues to offer income returns that few global cities can match. For investors, the conversation is shifting from quick gains to sustainable, long-term income, and that is a sign of a maturing market,” said Bilal Moti, Chairman and CEO of Windmills Group.
Healthy mortgage activity
Mortgage sales value held at roughly AED 49 billion, matching the same quarter last year. Steady lending shows that buyers and banks remain confident in the market.
Ready and off-plan both thrive
Ready properties made up nearly two-thirds of transactions, reflecting demand for immediate occupancy and rental income. Off-plan remains popular thanks to flexible payment plans and long-term potential. Ready property prices have also risen strongly since past years, narrowing the gap with off-plan and giving buyers more balanced choices.
Liquidity at every level
Properties under AED 3 million account for the large majority of cash sales, which means strong liquidity and easy resale. At the other end of the market, ultra-luxury deals above AED 30 million contribute a significant share of total value, underlining Dubai’s appeal to high-net-worth investors.
Communities in demand
Dubai South led Q3 activity, followed by Business Bay, Wadi Al Safa 4, Al Barsha South Fourth and Palm Jumeirah. Together they show demand across emerging, established and premium locations.
Growth beyond residential
Land and commercial transaction volume both grew quarter-on-quarter. Industrial rental values stayed above 2025 levels in every quarter this year, supported by logistics and e-commerce demand and a shortage of modern warehousing.
Hospitality on the rebound
Hotel occupancy climbed from 36% in March to 66% in August, with nearly seven million international overnight visitors between January and August. Rising air connectivity and a stronger events calendar point to further momentum heading into winter.
The takeaway
Dubai offers high yields, deep liquidity and options for every budget. Prime locations, established communities, rental-driven areas and quality developers remain the strongest focus for investors.
About Windmills Group
Windmills Group is a UAE valuation and building surveying firm founded in 2016. With offices in Dubai, Abu Dhabi and Ajman, it has completed more than 30,000 property valuations representing over AED 175 billion in value, and currently delivers 500 to 600 valuations a month for banks, financial institutions, corporates, family groups, developers and owners associations. Its in-house platform, Maxima, supports fast turnaround, with every report reviewed and signed off by MRICS-qualified valuers. For more information, visit www.windmillsgroup.com.
