Property sales in Dubai have plummeted since the outbreak of conflict in the Middle East, with transactions dropping 19% in May alone and falling to roughly half the levels seen before the war began, according to research firms ValuStrat and Reidin. The downturn was sharply accelerated after an Iranian missile struck a luxury hotel on Dubai's Palm Jumeirah in March, prompting wealthy international buyers to flee the market, with some high-end properties now selling at discounts of 20–25%. The crisis marks a dramatic reversal for Dubai (a tax-free emirate in the UAE that had ranked as the world's busiest luxury real estate market in 2024), with industry observers warning that many of the city's roughly 10,000 property brokers may be forced to close as affluent buyers redirect their attention to cities such as Milan, London, and Singapore.