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Dubai South recorded 12,428 residential property transactions in the first eight months of 2026, surpassing the 9,788 transactions registered throughout 2025 by 27 per cent, as demand for smaller apartments and off-plan properties continues to drive activity in the area
According to the Anarock Dubai South Residential Micro-Market Report, residential sales value reached Dh15.9 billion between January and August, equivalent to 81 per cent of the Dh19.6 billion recorded during the whole of last year.
The figures mark the highest residential transaction volume recorded in any full year covered by the report, which tracks the market from 2020 to August 2026.
The longer-term growth has also been significant. Annual residential sales value increased from Dh720 million in 2020 to Dh19.6 billion in 2025, while transaction volumes rose from 672 to 9,788 over the same period.
Smaller homes drive deman
The report found a shift in buyer preferences, with studios and one-bedroom apartments now accounting for around three-quarters of residential transactions.
Studios represented 45 per cent of sales between January and August 2026, more than double their 19.5 per cent share in 2025. One-bedroom homes accounted for another 31 per cent, bringing the combined share to approximately 76 per cent
Apartments overall made up 94.5 per cent of residential sales volume, compared with 31 per cent in 2020.
Aayush Puri, CEO – Residential, Middle East and CEO of Anarock Channel Partners, said the shift towards smaller homes is changing the market.
“Dubai South has already surpassed its full-year 2025 residential sales volume in just eight months. The important change is what buyers are purchasing: studios and one-bedroom homes now account for around three-quarters of transactions,” Puri said.
He added that smaller-ticket apartments are becoming the main driver of activity, broadening Dubai South’s residential appeal beyond the larger homes that supported its earlier growth.
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