Dubai’s real estate boom, one of the strongest globally over the past five years, is showing signs of strain. Prices in many districts are still hitting record highs, but investors who entered the market hoping to make quick profits on unfinished homes are beginning to retreat. Properties once resold within days are now taking longer to move, with some owners lowering expectations to find buyers. A major factor is the sheer volume of new homes scheduled for delivery. Market analysts warn that tens of thousands of units are due to be handed over between 2025 and 2027. That wave of completions could shift the balance from undersupply to surplus in certain neighborhoods, particularly in the mid-range apartment segment. The possibility of a correction has already prompted a more cautious stance among investors who previously relied on rapid turnover of off-plan contracts. At the same time, the top end of the market remains robust. Large villas and luxury properties continue to attract international capital, and the overall price indices still reflect double-digit gains year on year. But this strength masks a split: well-located family homes remain competitive, while smaller apartments—the typical target for speculative buying—face more pressure from both rising supply and stricter financing conditions. Commentary from brokers and industry writers over the past few months highlights this shift in mood. Earlier in the summer, much of the discussion was still focused on flexible developer payment plans and high rental yields. More recent commentary stresses the risks of oversupply, shrinking unit sizes, and the importance of buying for long-term use rather than fast turnover. For end-users and long-term landlords, Dubai remains attractive, supported by population growth, new infrastructure, and rental demand. For flippers who hoped to exit quickly before completion, the calculus is less certain. With more projects due in the next two years, the market appears to be rewarding those who focus on stable rental income and solid locations rather than speculative assignments. Source: comp.