The brokers now have to fight for survival as more property buyers in Dubai start seeking quality information

Industry experts predict that emerging sentiments and tougher client queries will further distinguish professional brokers from opportunistic ones. As a result, the real estate broker industry in Dubai is facing one of its biggest challenges in recent years due to increasing competition, weakening buyer sentiment, and increasingly discerning clients.

The market’s next move may be a tougher one to make following years of development through foreign investments and unprecedented levels of transactions.

Many thousands of agencies entered this market, but some of them may face problems if prices drop or client behaviour changes, as some people in this business have pointed out.

Salman Bin Ali, CEO of CBA Real Estate, argued that the problem does not lie in the continuing attractiveness of Dubai real estate for investment, but rather in the professionalism of every intermediary company working in Dubai under challenging conditions.

Dubai “is not getting weaker, Dubai is getting more mature; the market is finding out who knows what they’re doing, has real systems in place, and real accountability to their customers,” he stated.

In the boom years, small operators enjoyed increased prices, quick commissions, and good off-plan sales. However, as purchasers have begun inquiring about the risks involved, price levels, financing and exit options, the distinction between experienced planners and simple salespeople becomes more difficult to conceal.

“Everybody looks like a star in an ever-increasing market. But when clients start asking the right questions, those incompetent brokers are out of luck in a flash,” he said.

A seller will waste months of their time if the advice they receive is bad. A buyer may end up investing in the wrong venture because of bad advice.

The changing role of the broker involves not only access to the transactions but also advising that requires all the necessary information, bargaining skills, the history of pricing, knowledge of the rental market, and the psychology of the client.

Boom-era agencies most vulnerable

Dubai’s brokers continue to see growth amid a record market. Residential transactions totalled Dh176.7 billion through around 48,000 transactions in Q1 2026, reflecting an increase of 23.4 per cent in value and 5.5 per cent in volume from the previous year, with January posting an all-time high of Dh72.4 billion.

Off-plan transactions accounted for roughly 70 per cent of volume and 71 per cent of value, forcing agents to gravitate towards developer relationships and payment plan advice rather than resale.

According to Bin Ali, technology will be one of the biggest distinguishing factors separating the agencies that evolve from those that fail to survive.

“AI is not going to replace good agents, but it will identify the bad ones,” he noted.

The pressure is anticipated to fall hardest on single-person or dual-person agencies that started their operations during the period of growth, especially where they rely heavily on speculative sales before the construction phase or commission-based sales drive. While larger agencies will have branding advantages, size does not necessarily safeguard against poor advice.

The ensuing shake-out might be good for both buyers and sellers. A competitive market will force agencies to improve training, invest in technology, fix their data issues, and be more responsible towards their clients.

The message that Bin Ali wants to convey is simple. The real estate market of Dubai is not about to undergo a collapse but a filtering process.

“Survival in the Dubai real estate market might not be the province of the talkative broker but of the knowledgeable one,” he explained.