The Q3 2023 Market Watch Report revealed record transaction values in Abu Dhabi as demand for property was found to be a preferred investment with great potential for long term value as a result of emerging trends that are reshaping the narrative for real estate in the UAE.
Buy/sell, rent/lease residential &
commercials real estate properties.
Data from the Department of Municipalities and Transport (DMT), shows Abu Dhabi experienced a significant surge in total sales transactions (both residential and commercial) during Q3 2023.
Abu Dhabi real estate
The number of residential transactions reached a record high for a quarter, with 3,718 transactions compared to 1,569 transactions in Q3 2022.
This reflected a substantial increase of 137 per cent to represent around 92 per cent of the total transaction and 90 per cent of the overall value.
Abu Dhabi recorded 2,954 off-plan sales transactions compared to 1,041 transactions in Q3 2022 to represent 79 per cent of the total transactions as opposed to 66 per cent of the total transactions in Q3 2022.
The market saw a significant year-on-year surge by 184 per cent in terms of volume and 367 per cent increase for the same period in terms of value.
The off-plan sales transaction value in Q3 2023 contributed to 87 per cent of the total sales transactions value compared to 64 per cent in Q3 2022 by reaching AED12.713bn ($3.5bn) compared to AED2.72bn ($740.6m).
The off-plan market witnessed an increase of 184 per cent compared to Q2 2023.
With a strong economic framework and increased foreign confidence, Abu Dhabi’s real estate sector has been thriving with support from both the public and private sector.
Existing/ready market sales in Abu Dhabi registered 764 ready properties compared to 528 in Q3 2022, to represent around 21 per cent of the total transactions compared to 34 per cent in Q3 2022; marking a notable growth of 45 per cent compared to Q3 2022.
The existing/ready transaction value in Q3 2023 contributed to 13 per cent of the total sales transactions value compared to 36 per cent in Q3 2022, by reaching AED1.873bn ($510m), while transaction values witnessed a notable increase of 25 per cent compared to AED1.502bn ($409m) in Q3 2022.
In Abu Dhabi, Al Reem Island, Yas Island, Al Raha Beach, Saadiyat Island and Masdar City remained a focus for those who want to own an apartment for investment or residence purposes in Q3 2023.
Al Raha Beach, Khalifa City, Corniche Road, Al Khalidiya, Mohamed Bin Zayed City, Yas Island, Al Reef, and Saadiyat Island were preferred choices for apartment and villa rentals.
Despite the global economic changes, the luxury real estate market in Saadiyat Island demonstrated impressive durability.
Upscale properties persistently maintained their value, exhibiting a consistent rate of growth during the initial half of 2023.
Cherif Sleiman, Chief Revenue Officer, Property Finder said: “We closed Q3 with an increased uptake in off-plan properties, strong investor confidence and a rising demand for ownership.
“Q3 2023 has only taken that success a notch higher, revealing even more opportunities to grow in the months to come.
“In the coming months, we remain committed to monitoring all aspects of the market trends to enable better decisions for property seekers through data backed transparency and enhanced trust across our platform.”