Dubai Short-Term Rental Market Report H1 2026: Occupancy, ADR, and Demand by Area

Dubai Short-Term Rental Market Report H1 2026: Occupancy, ADR, and Demand by Area

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 min read

Dubai's holiday-home market showed substantial monthly variation during the first half of 2026. According to PriceLabs market data for Dubai, read on 4 September 2026, occupancy declined from 78 per cent in January to a low of 39 per cent in April before partially recovering to 55 per cent in June. This report presents those monthly results and distinguishes the half-year trading pattern from the longer periods used for property benchmarks.

Whether you are reviewing an operator's results or assessing an apartment's potential, a useful comparison requires matching periods, a relevant property sample, and consideration of the costs that determine the income retained.

The Main Findings

The first three findings relate to the January-to-June period named in the title. The remaining period figures cover January to August, reflecting the window available in the underlying data.

  • Dubai Airbnb market occupancy fell to 42 per cent in March 2026 and 39 per cent in April 2026, according to PriceLabs market data for Dubai, January 2025 to August 2026, read 4 September 2026.
  • Dubai Airbnb market occupancy was 78 per cent in January 2026, according to PriceLabs market data for Dubai, January 2025 to August 2026, read 4 September 2026.
  • Dubai Airbnb market occupancy recovered to 55 per cent in June 2026, according to PriceLabs market data for Dubai, January 2025 to August 2026, read 4 September 2026.
  • For January to August 2026, Dubai Airbnb market occupancy averaged approximately 56 per cent against approximately 69 per cent a year earlier, according to PriceLabs market data for Dubai, January 2025 to August 2026, read 4 September 2026.
  • For January to August 2026, Dubai Airbnb market ADR rose approximately 6 per cent year on year, according to PriceLabs market data for Dubai, January 2025 to August 2026, read 4 September 2026. Over the same period, market RevPAR fell approximately 14 per cent year on year in that PriceLabs series.
  • Across the managed portfolio, occupancy averaged approximately 85 per cent across an average of around 532 active units, according to First Class Property Management portfolio data for January to August 2026.
  • Across the Dubai portfolio, studios achieved approximately 90 per cent occupancy with an ADR of around AED 240, while four-bedroom homes achieved approximately 80 per cent occupancy with an ADR of around AED 960.

What Does This Report Cover?

The headline window is January to June 2026, while later monthly results appear under "Since the Half-Year" and portfolio, community, and unit-type period benchmarks retain their January-to-August labels.

The market source is the PriceLabs Market Dashboard for the Dubai Airbnb market as a whole, covering studios through ten bedrooms and excluding rooms. Its period occupancy uses day weighting, while ADR uses booked-night weighting. The partial September observation is excluded.

The managed source is a monthly extract from the property management system. Period figures weight months by active units and days, with ADR additionally weighted by occupancy as a proxy for booked nights. RevPAR is calculated monthly by multiplying ADR by occupancy before the results are averaged, so the table values are quoted as calculated rather than recombined.

Community and unit-type figures require at least five active units in a month; period figures are published only where a community or unit type met that threshold in at least six of the eight months. These tables cover Dubai only.

Abu Dhabi, Ras Al Khaimah, and Mina Al Arab units sit within portfolio totals, accounting for roughly 4 to 5 per cent of active units in 2026 (First Class Property Management portfolio data, January to August 2026).

The property management records contain no columns for nights or revenue, so the weighted figures are approximate. The source does not state how owner blocks, commission, and cleaning are treated. August 2026 remains provisional pending confirmation that the month has closed. This provisional status also applies to period figures incorporating August.

First-Half Market Performance, Month by Month

The first-half comparison places occupancy, ADR, and RevPAR beside one another. Reading them together helps you distinguish booking activity from pricing performance before considering operating costs and net income.

PriceLabs market data for Dubai, January 2025 to August 2026, read 4 September 2026; the Dubai Airbnb market as a whole, January to June comparisons.

  • January: Occupancy 2025 (%): 69; Occupancy 2026 (%): 78; ADR 2025 (AED): 648; ADR 2026 (AED): 787; RevPAR 2025 (AED): 448; RevPAR 2026 (AED): 617
  • February: Occupancy 2025 (%): 78; Occupancy 2026 (%): 76; ADR 2025 (AED): 609; ADR 2026 (AED): 679; RevPAR 2025 (AED): 477; RevPAR 2026 (AED): 517
  • March: Occupancy 2025 (%): 66; Occupancy 2026 (%): 42; ADR 2025 (AED): 506; ADR 2026 (AED): 513; RevPAR 2025 (AED): 333; RevPAR 2026 (AED): 214
  • April: Occupancy 2025 (%): 85; Occupancy 2026 (%): 39; ADR 2025 (AED): 541; ADR 2026 (AED): 400; RevPAR 2025 (AED): 460; RevPAR 2026 (AED): 157
  • May: Occupancy 2025 (%): 71; Occupancy 2026 (%): 54; ADR 2025 (AED): 428; ADR 2026 (AED): 372; RevPAR 2025 (AED): 302; RevPAR 2026 (AED): 203
  • June: Occupancy 2025 (%): 63; Occupancy 2026 (%): 55; ADR 2025 (AED): 360; ADR 2026 (AED): 350; RevPAR 2025 (AED): 226; RevPAR 2026 (AED): 192

January recorded the highest market occupancy, ADR, and RevPAR of the first half. By June, occupancy had recovered from April's low, although RevPAR remained below the corresponding month a year earlier.

March and April 2026: What the Figures Show

In March 2026, market occupancy was 42 per cent against 66 per cent in March 2025 (PriceLabs market data for Dubai, January 2025 to August 2026, read 4 September 2026). The annual comparison establishes the size of the occupancy difference without identifying its cause.

In April 2026, market occupancy was 39 per cent against 85 per cent in April 2025 (PriceLabs market data for Dubai, January 2025 to August 2026, read 4 September 2026). Neither source explains the spring dip, so the report assigns no cause to it.

Since the Half-Year: July and August

The later observations extend the trading picture, while market and portfolio columns retain separate scopes, with booking lead time shown for the portfolio only.

First Class Property Management portfolio data, January to August 2026, across the portfolio; PriceLabs market data for Dubai, January 2025 to August 2026, read 4 September 2026, the Dubai Airbnb market as a whole. July and August observations only; August 2026 is provisional.

  • July 2026: Market Occupancy (%): 52; Market ADR (AED): 355; Market RevPAR (AED): 186; Portfolio Occupancy (%): 88.1; Portfolio Lead Time (Days): 10.0
  • August 2026, Provisional: Market Occupancy (%): 55; Market ADR (AED): 368; Market RevPAR (AED): 201; Portfolio Occupancy (%): 93.8; Portfolio Lead Time (Days): 6.5

Market occupancy and RevPAR increased between July and August. Portfolio occupancy also rose in August, while booking lead time shortened. However, the provisional status of the August figures limits further conclusions.

January to August: The Available Period Comparison

The period summary includes the later months, so its change row belongs to January to August and cannot be used as a half-year result.

PriceLabs market data for Dubai, January 2025 to August 2026, read 4 September 2026; the Dubai Airbnb market as a whole, January to August period figures and year-on-year changes. August 2026 is provisional.

  • January to August 2025: Occupancy (%; Change in pp): 69.4; ADR (AED; Change in %): 477; RevPAR (AED; Change in %): 331
  • January to August 2026: Occupancy (%; Change in pp): 56.2; ADR (AED; Change in %): 505; RevPAR (AED; Change in %): 284
  • Year-on-Year Change: Occupancy (%; Change in pp): −13.2; ADR (AED; Change in %): +5.9; RevPAR (AED; Change in %): −14.2

The period combines higher market ADR with lower occupancy and RevPAR. Owners checking Dubai occupancy benchmarks can compare monthly, unit-type, and selected community results before interpreting their own calendar.

The Managed Portfolio Against the Market

For January to August 2026, occupancy across the First Class Property Management portfolio averaged approximately 85 per cent against approximately 56 per cent for the Dubai Airbnb market as a whole, a gap of approximately 29 percentage points (First Class Property Management portfolio data, January to August 2026; PriceLabs market data for Dubai, January 2025 to August 2026, read 4 September 2026).

The managed portfolio spans booking channels and includes non-Dubai units, while the market series covers Airbnb in Dubai across operators and property standards, so the gap describes different samples and does not isolate management's contribution.

For January to August 2026, portfolio RevPAR averaged approximately AED 400 against market RevPAR around AED 285 (First Class Property Management portfolio data, January to August 2026; PriceLabs market data for Dubai, January 2025 to August 2026, read 4 September 2026). That revenue comparison still requires a separate assessment of costs.

Portfolio ADR fell from approximately AED 615 to approximately AED 470 between the comparison periods. Average active units grew from around 226 to around 532, with growth concentrated in mid-market communities (First Class Property Management portfolio data, January to August 2025 and 2026). This changing mix partly shapes the comparison. Market ADR moved the other way over the same months, rising approximately 6 per cent (PriceLabs market data for Dubai, January 2025 to August 2026, read 4 September 2026).

Demand by Area: Occupancy Rankings

The community table ranks the Dubai communities that met the five-unit threshold, by occupancy, with tied values shown together. It describes managed properties across booking channels, and each community combines different unit types.

First Class Property Management portfolio data, January to August 2026; across the portfolio in Dubai, weighted by active units and days, with ADR additionally weighted by occupancy. August is provisional and Dubai Harbour excludes August.

  • Meydan: Average Active Units: 21; Occupancy (%): 90.2; ADR (AED): 323; RevPAR (AED): 292
  • Dubai Creek Harbour: Average Active Units: 27; Occupancy (%): 89.2; ADR (AED): 453; RevPAR (AED): 404
  • Arjan: Average Active Units: 9; Occupancy (%): 88.6; ADR (AED): 272; RevPAR (AED): 241
  • Sobha Hartland: Average Active Units: 8; Occupancy (%): 88.1; ADR (AED): 546; RevPAR (AED): 481
  • Al Furjan: Average Active Units: 6; Occupancy (%): 87.4; ADR (AED): 333; RevPAR (AED): 291
  • Business Bay: Average Active Units: 52; Occupancy (%): 86.8; ADR (AED): 379; RevPAR (AED): 329
  • Jumeirah Village Circle (JVC): Average Active Units: 60; Occupancy (%): 86.8; ADR (AED): 273; RevPAR (AED): 237
  • Jumeirah Village Triangle (JVT): Average Active Units: 5; Occupancy (%): 86.3; ADR (AED): 282; RevPAR (AED): 243
  • Downtown Dubai: Average Active Units: 140; Occupancy (%): 84.8; ADR (AED): 573; RevPAR (AED): 486
  • Dubai Hills: Average Active Units: 8; Occupancy (%): 84.2; ADR (AED): 724; RevPAR (AED): 610
  • Dubai Marina: Average Active Units: 64; Occupancy (%): 83.3; ADR (AED): 478; RevPAR (AED): 398
  • Palm Jumeirah: Average Active Units: 12; Occupancy (%): 83.2; ADR (AED): 801; RevPAR (AED): 666
  • Jumeirah Beach Residence (JBR): Average Active Units: 28; Occupancy (%): 82.9; ADR (AED): 638; RevPAR (AED): 529
  • Dubai Harbour: Average Active Units: 10; Occupancy (%): 82.2; ADR (AED): 619; RevPAR (AED): 508
  • DIFC: Average Active Units: 10; Occupancy (%): 81.2; ADR (AED): 558; RevPAR (AED): 454
  • DAMAC Hills: Average Active Units: 8; Occupancy (%): 79.6; ADR (AED): 370; RevPAR (AED): 295
  • Jumeirah Lake Towers (JLT): Average Active Units: 9; Occupancy (%): 77.2; ADR (AED): 417; RevPAR (AED): 322

Meydan leads occupancy, while Palm Jumeirah leads RevPAR within this sample, which illustrates why occupancy rankings need rates alongside them.

The mid-market and family group, comprising JVC, JVT, Arjan, Al Furjan, JLT, and DAMAC Hills, shows the widest occupancy range in the table. Occupancy extends from 77.2 per cent in JLT to 88.6 per cent in Arjan, with ADRs ranging from AED 272 to AED 417.

The beach and landmark group, comprising JBR, Palm Jumeirah, Dubai Marina, Dubai Harbour, and Downtown Dubai, includes several of the higher ADRs in the sample and is led by Palm Jumeirah at AED 801. Occupancy across the group ranges from 82.2 to 84.8 per cent.

The central and business group, comprising Business Bay, DIFC, Dubai Creek Harbour, Meydan, Sobha Hartland, and Dubai Hills, records occupancy ranging from 81.2 per cent in DIFC to 90.2 per cent in Meydan. ADR ranges from AED 323 in Meydan to AED 724 in Dubai Hills, showing that the grouping describes location rather than a shared performance pattern.

The one-bedroom rows within community occupancy benchmarks narrow the quarterly comparison further. Owners assessing Dubai investment neighbourhoods can also weigh property characteristics and operating requirements alongside location.

Which Unit Types Led Each Metric?

The Dubai unit-type comparison shows lower occupancy alongside higher ADR and RevPAR as bedroom count increases, while community mix and individual property differences remain part of this sample pattern.

First Class Property Management portfolio data, January to August 2026; across the portfolio in Dubai, weighted by active units and days, with ADR additionally weighted by occupancy. August is provisional.

  • Studio: Average Active Units: 43; Occupancy (%): 90.5; ADR (AED): 240; RevPAR (AED): 217
  • One-Bedroom: Average Active Units: 229; Occupancy (%): 86.2; ADR (AED): 356; RevPAR (AED): 307
  • Two-Bedroom: Average Active Units: 160; Occupancy (%): 84.7; ADR (AED): 516; RevPAR (AED): 437
  • Three-Bedroom: Average Active Units: 49; Occupancy (%): 83.0; ADR (AED): 765; RevPAR (AED): 635
  • Four-Bedroom: Average Active Units: 28; Occupancy (%): 79.5; ADR (AED): 960; RevPAR (AED): 763

Four-bedroom homes recorded the highest ADR and RevPAR among the published unit types, although their purchase, furnishing, and operating costs require separate assessment. A property's layout and furnishing needs inform the comparison of holiday home property types.

Owners assessing Dubai holiday home earnings can consider available nights and costs alongside the unit-type evidence and specific annual property examples. The shorter benchmark window is not annualised here.

Booking Lead Time and Calendar Readiness

The first-half lead-time series shows when guests booked relative to arrival across the whole managed portfolio. Later observations remain in the "Since the Half-Year" table.

First Class Property Management portfolio data, January to August 2026; January to June booking lead times across the portfolio.

  • January 2026: 16.1
  • February 2026: 16.4
  • March 2026: 5.3
  • April 2026: 8.6
  • May 2026: 12.2
  • June 2026: 11.3

Guests arriving in the opening winter months booked further ahead than those arriving in spring. These averages can inform calendar reviews, but they do not set a deadline by which an individual property's dates should be booked.

Peak-Season Outlook: Preparation Before Prediction

From November 2025 to February 2026, the market recorded approximately 78 per cent occupancy and an ADR of around AED 775, compared with a summer 2025 ADR of around AED 340.

  • Dubai Airbnb market occupancy peaked at 87 per cent in November 2025, according to PriceLabs market data for Dubai, January 2025 to August 2026, read 4 September 2026.
  • Dubai Airbnb market ADR peaked at around AED 930 in December 2025, according to PriceLabs market data for Dubai, January 2025 to August 2026, read 4 September 2026.

Last winter's separate occupancy and rate peaks support reviewing availability and pricing throughout the season. They do not establish a target for the coming winter, and the portfolio records contain no autumn observations.

Owners planning Dubai peak-season preparation can coordinate maintenance, photographs, listing copy, and the pricing calendar. Guest welcome arrangements and turnover supplies also belong in that plan, with any rate reduction kept commercially viable.

Dubai Tourism in 2025

DET (Dubai Department of Economy and Tourism, formerly DTCM) reported 19.59 million international overnight visitors in 2025, approximately 5 per cent more than in 2024. Separately, Euromonitor International ranked Dubai sixth globally by international arrivals in 2025. These city-level figures provide context without establishing demand for an individual holiday home.

How to Use These Benchmarks

An owner can begin with the corresponding stay month before narrowing the comparison by community and unit type. Reporting definitions also deserve attention, particularly how personal stays and unavailable nights are treated in the property's statement.

The benchmark's practical relevance depends on the individual property and its costs. Layout, condition, presentation, and intended availability may affect performance, while fees, utilities, cleaning, and maintenance determine the income retained. A benchmark can frame that discussion without determining a purchase decision or promising an outcome.

FAQ

Can this report show what an apartment will earn this year?

This report can inform an earnings assessment, but it cannot establish an apartment's annual income because the benchmark window leaves part of the trading year unobserved. The property's available dates, features, actual booking position, and operating costs also need consideration before the figures can inform an income assessment.

Does the portfolio gap prove what a manager adds?

The portfolio gap does not isolate the effect of appointing a manager. The samples differ in geography, booking channels, property mix, and operating standards. You can use the comparison to ask informed questions about delivery and reporting, while assessing a proposal against evidence relevant to your own home.

Does an omitted area have weaker demand?

An omitted area did not meet the minimum active-unit threshold required for a published benchmark. This does not indicate weaker demand or determine whether a particular property is suitable for holiday-home use. Owners can request more relevant evidence and assess the home's characteristics before selecting a benchmark.

Can these figures identify a view premium?

These figures cannot identify a view premium because the records do not classify homes by view, while each community average combines properties with different layouts, presentation, and outlooks. Property-level comparisons may support such an assessment, but this dataset does not quantify any additional value associated with a particular view.

How should the provisional August figures be used?

The provisional August 2026 market occupancy figure is 55 per cent (PriceLabs market data for Dubai, January 2025 to August 2026, read 4 September 2026). It can serve as an initial reference, while conclusions about August and period averages incorporating it need further review once the month is confirmed as closed.

You can request a holiday home earnings estimate from First Class Property Management based on your property's community, layout, condition, and intended availability.

Dubai Short-Term Rental Market Report H1 2026: Occupancy, ADR, and Demand by Area

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