Abu Dhabi’s Property Market Poised for Strong Growth
New Residential Units Boost Market Expansion
Abu Dhabi’s property market will expand with 38,700 new units by 2028, says developer. Developers will deliver 10,800 units this year and 6,000 more in 2026. By 2028, total residential inventory will reach 313,700 units.
Demand and Government Initiatives Drive Growth
Demand for residential properties continues rising, fueled by strategic government incentives and investor interest. Abu Dhabi’s property market saw 9,700 sales transactions in 2024, worth AED26 billion ($7.1 billion).
Major Deliveries and Key Areas
In 2024, developers delivered 5,200 homes, mainly in Al Raha Beach, Yas Island, and Saadiyat Island. Total residential units reached 275,000 by year-end, with steady increases expected in upcoming years.
Price Growth in Sales and Rentals
Apartment prices surged 11.5%, while villa prices climbed 12.5% in 2024. Yas Island led price growth with a 20% rise for apartments and 13% for villas. Rental rates increased 13% for apartments and 8% for villas. Yas Island again saw the highest increases at 16% and 10%, respectively.Demand for residential properties continues rising.
Sales Transactions and Mortgage Trends
The market recorded 7,300 apartment sales worth AED12.6 billion, showing a 63% annual increase. Villa and townhouse sales dropped 44% in volume and value due to limited new launches. Demand for completed villas surged 47%, reflecting growing investor confidence. Mortgage transactions grew 34%, with nearly 5,000 mortgages worth AED7.1 billion secured.
Off-Plan Market and Project Launches
Off-plan transactions declined 13%, driven by fewer new launches. In contrast, demand for ready properties jumped 50% year-on-year. Nearly 40 new residential projects launched in 2024, adding 11,000 units. Al Reem Island led with 2,000 units, followed by Saadiyat Island with 1,800.
Aldar Properties Leads Market Expansion
Aldar Properties launched 4,000 units across 12 projects, maintaining its dominance in Abu Dhabi’s property market. Sustainable development and innovative housing solutions will shape future growth, enhancing community infrastructure and investor confidence.
Note: The provided data may vary.