The ongoing geopolitical tensions in West Asia could temporarily slow housing sales by Indian real estate companies operating in the UAE, particularly in Dubai, as many Indian HNIs and NRIs reassess investment decisions amid rising uncertainty. Industry experts say off-plan developments and mid-to-premium residential units targeted at Indian buyers may face the biggest impact, with investors delaying purchases and reviewing regional risks.

Manish Agarwal, Managing Director, Satya Group and President-CREDAI Haryana, says, “Middle East for the longest time has been known as a safe haven for Real Estate Investment. In a rather unfortunate turn of events, the West Asia conflict has dealt a big blow to this industry, UAE being no exception. Many potential buyers particularly Indian HNIs and NRIs have put purchase decisions on hold due to geopolitical instability. Even premium beachfront residential marvels are up for grabs under distress sale in Dubai and Abu Dhabi.”

Property Channel Partners in Dubai have reported a significant drop in sales inquiries and yet slower deal closures as investors reassess regional risks in the aftermath of the war that broke out on 28th February. Indian developers in Dubai may see slower booking rates and delayed payment milestones in the near term. The most affected real estate developments are off-plan units as buyers commit capital years ahead the ground is broken and mid to premium apartments targeted at Indian Investors.

“Indian Real Estate Sector owing to socio-political stability in the country may attract capital from NRIs who opt out of UAE. Indians remain the largest foreign investors in Dubai Real Estate. They accounted for roughly 10% of property sales in 2025, up from 6% in 2024. Indian luxury markets such as Mumbai, Gurugram, and Bengaluru could see incremental demand in the near term due to the ongoing conflict,” he says.