Navigating Market Realities: A Candid Guide for Offplan Sellers in Today's Dubai Market

Let's Talk Reality

We've built our reputation on straight talk. When you reach out to Shosty about selling your offplan property, you're not just getting another broker—you're getting advisors who've seen every cycle Dubai's thrown at us. And right now? We're seeing a dangerous gap between what sellers think their properties are worth and what buyers are actually willing to pay.

The 15-20% gains of recent years have created a natural assumption: "If my property appreciated 20% last year, I should price in another 20% this year." We understand the logic. But the market doesn't care about your math—it cares about supply, demand, and sentiment. And all three are showing signs of change.

What the Data Shows Right Now

Rental Volume Declines - The Leading Indicator: Rental volumes typically decline before prices do, and we're seeing this pattern across Dubai

• Business Bay: New rentals down 10.1%, renewed rentals down 52% year-on-year
• Palm Jumeirah: New rentals down 35.34% and renewed rentals down 52.6% from their respective peaks
• Downtown Dubai: New rentals down 39.6% from October 2024 peak levels
• Dubai Marina: New rentals down 28% and renewed rentals down 25.6% from October peaks

Price Movements Following Volume Trends: Where volumes have declined significantly, we're now seeing price adjustments

• The Views: Down 4.57% from its April peak
• The Lakes: Dropped from 125 AED/sqft to below 110 in just four months
• Green Community: Decline after March, falling from ~69 to just above 60 AED/sqft

The Supply Context: This rental market softening is occurring before hundreds of thousands of scheduled units begin delivery over the coming years. International analysts are noting this timing as a key concern in their bubble risk assessments (Source: UBS Global Real Estate Bubble Index 2025).

Real Stories from Our Conversations

The Optimistic Seller: We recently spoke with someone who's paid 50% of his purchase price while construction sits at 5%. He's behind on payments, facing potential forfeiture, and there have been zero secondary sales in his project. Yet he still believes he should profit. The disconnect between expectation and current market activity is significant.

The Experienced Investor's Challenge: Another seller owns multiple properties across India—clearly understands real estate. But she's struggling with payments on four Dubai offplan units and seems surprised by the potential impact of market volatility on her portfolio. Experience in one market doesn't always translate to another.

The Seasoned Flippers: Our most experienced contacts—the ones who made significant profits in recent years—are now saying: "If we don't address this now, the consequences later could be much worse." When experienced players are reassessing their positions, it reflects changing market dynamics.

Your Circumstances Drive Your Strategy

There's no universal approach in the current environment.

If you're well-funded and patient: You may be positioned to navigate market volatility. Dubai's fundamentals remain strong, and financial flexibility creates options.

If you're already stretched: Current warning signs deserve serious attention. Market corrections don't just mean lower prices—they can mean significant capital loss. If you're struggling with payments now, consider the implications if your property loses value while still years from delivery.

This is why individual circumstances matter more than general market commentary.

The Offplan Reality

Offplan properties face unique challenges in changing markets:

• Liquidity becomes scarce when sentiment shifts
• Payment obligations continue regardless of market conditions
• Delivery timelines can extend as developers manage various pressures
• Market preferences evolve over multi-year construction periods

Current Market Behavior

Buyer Sentiment: The buyers we're engaging with today are more cautious and analytical than those of 2022-2023. International media coverage and rating agency warnings have created hesitation among many potential purchasers (Source: Financial Times, "Dubai property boom shows strain as flippers get buyer's remorse," September 2025).

Pricing Reality: Properties priced with built-in appreciation based on historical performance often sit unsold, while those priced at or below current market comparables attract the buyers who remain active.

What We're Observing

Dubai's long-term fundamentals remain compelling. The city continues attracting investment and residents. However, current market dynamics show clear signs of change from the rapid appreciation period of recent years.

Every seller's circumstances are different. Every property presents unique considerations. Every timeline creates different pressures. That's why one-size-fits-all advice falls short, and why you need advisors who understand both current market dynamics and individual situations.

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Want an honest assessment of your position? Let's discuss where you stand, what your options are, and how to navigate the current environment.

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