Dubai’s $10 million-plus home market contracted in Q3 2026, while Hong Kong outpaced it in total deal value despite fewer sales, marking Hong Kong’s first value lead since Q2 2022, Knight Frank reported.
Dubai logged 86 transactions at or above the $10 million threshold, worth $1.571 billion. Hong Kong’s 78 sales reached $1.577 billion, a $6 million edge. The property consultancy’s index covers 12 international markets and counts residential sales of at least $10 million.
Dubai’s deal count dropped 34% from Q2 and 16% from a year earlier. The total value fell 28% quarter on quarter and 21% year on year. The 86 sales marked the emirate’s smallest quarterly tally since Q3 2024.
The quarterly decline came as Dubai retained its longer-term lead. In the 12 months through September 2026, the city recorded 525 qualifying sales worth $9.253 billion, more than any other market in the index.
Across all 12 markets, Knight Frank counted 470 sales in Q3, 19% below the revised Q2 total and 2% lower than a year earlier. Their combined value was $8.7 billion, down 18% from Q2 but 1% above the year-earlier period. Sydney had 57 sales, its highest quarterly total in the consultancy’s series. London recorded 42 sales worth $722 million, while its average sale value fell to $17.2 million from $31.7 million in Q2.
Faisal Durrani, Knight Frank UAE’s head of research, said ongoing regional conflict was weighing on activity in Dubai. The firm also reported that prices across the city’s 10 prime neighborhoods declined 5% between Q2 and Q3.
Liam Bailey, Knight Frank’s global head of research, said: “Super-prime activity slowed in the third quarter, but the more significant story is a shift in leadership.” The firm said the depth of Hong Kong’s recovery would be a key theme to watch in 2027.
