Abu Dhabi records Dh21.5 billion in residential property sales in Q3 2026 across 6,085 transactions

Abu Dhabi’s residential property market recorded sales worth Dh21.5 billion in the third quarter of 2026, across 6,085 transactions, as demand continued to grow for luxury properties and off-plan units, according to a recent report by Savills Middle East.

Although the number of transactions declined by 19% quarter on quarter and 7% year on year, the total value of sales rose by 32% compared with the same period last year, reflecting sustained demand for higher-value properties.

Off-plan properties accounted for 81% of all residential transactions during the third quarter, with the average transaction value in this segment reaching Dh5 million, up 15% quarter on quarter and 40% year on year. By comparison, the average transaction value for ready properties stood at Dh2.8 million.

Luxury properties

Abu Dhabi’s luxury property market recorded significant growth, with 582 transactions valued at more than Dh10 million each during the third quarter. This represented an increase of 35% compared with the previous quarter and 104% year on year.

Off-plan properties accounted for 95% of these transactions, highlighting continued buyer interest in premium residential developments before completion.

Rachel Kerr, Head of Research at Savills Middle East, said Abu Dhabi’s property market continued to demonstrate resilience, with a notable shift towards higher-value purchases, particularly in the off-plan and luxury segments, where demand remained strong.

She added that buyers were increasingly prioritising location, quality and long-term value. The diversity of lifestyle options, continued investment in infrastructure and Abu Dhabi’s growing international profile were also supporting interest from both domestic and international buyers.

Apartments and villas

Residential property prices recorded annual growth during the third quarter, with the average price of apartments reaching Dh22,700 per square metre, an increase of 9%. The average price of villas and townhouses reached Dh18,200 per square metre, up 8%.

In the rental market, the number of transactions rose to 50,500 during the third quarter, an increase of 29% compared with the second quarter. The growth was driven primarily by lease renewals, which accounted for 68% of total rental activity.

Foreign investors

International investors continued to support Abu Dhabi’s property market. Foreign buyers, including expatriate residents and non-resident investors, accounted for 70% of the value of residential property sales during the first half of 2026, compared with 64% in the same period of 2024.

Around 68,000 additional residential units are expected to enter the market by 2030, with much of the new supply concentrated in key locations, including Saadiyat Island, Al Reem Island, Yas Island and Zayed City.

Savills expects demand to remain supported by Abu Dhabi’s economic fundamentals, continued infrastructure investment and growing interest in luxury residential developments. However, the volume of new supply will remain an important factor influencing market performance in the coming years.

Abu Dhabi attracts celebrities, sports stars and the world’s wealthiest investors

Abu Dhabi has successfully positioned itself as a destination for celebrities, professional athletes and high-net-worth individuals seeking to invest in and live in the emirate’s distinctive residential developments, real estate executives and experts have said.

They noted that the launch of landmark projects associated with global brands, including Manchester City and Disneyland, has helped stimulate property purchases and ownership, contributing to a notable rise in prices across Abu Dhabi.

Saadiyat, Hudayriyat, Yas and Jubail islands are among the preferred destinations for celebrities and wealthy investors, thanks to their distinctive developments, premium amenities and services, and emphasis on privacy.

The experts stressed that Abu Dhabi continues to offer promising opportunities in the real estate sector, particularly through residential projects that combine genuine investment value, a high quality of life and the preservation of privacy and independence.

A stable and sophisticated lifestyle

Dr Khalifa Saif Al Mehairbi, Chairman of the Board of Gulf Arabian Investment Group, said: “We view this interest very positively, as it reflects growing confidence in Abu Dhabi’s property market and its standing as a global destination for investment and living.

“The entry of major investors and celebrities into the market goes beyond property purchases. It also enhances the emirate’s international appeal, supports growth in the real estate sector and increases demand for premium residential developments.

“I believe this trend reflects Abu Dhabi’s transformation into a long-term destination for investment and for establishing a stable and sophisticated lifestyle.”

An integrated ecosystem of security, stability and luxury

Dr Al Mehairbi added: “Abu Dhabi has successfully built an integrated ecosystem that brings together security and stability, quality of life, advanced infrastructure and an attractive investment environment, alongside its global standing and distinctive developments.

“The emirate’s strategic vision, the evolution of real estate regulations and the diversity of residential options — ranging from luxury villas and mansions to apartments overlooking the waterfront — all strengthen its appeal.”

He continued: “In my view, Abu Dhabi’s greatest advantage is that it offers more than just luxury property. It provides an integrated lifestyle combining privacy, comfort, stability and sustainable investment opportunities.

“These are precisely the factors that major investors and high-net-worth families look for when choosing a destination for long-term residence and investment.”

Asked which destinations and developments were most attractive to celebrities and wealthy individuals, he said preferences varied according to individual needs.

“However, destinations offering privacy, exceptional views, high construction standards and premium services attract considerable interest. In Abu Dhabi, Saadiyat Island, Yas Island and Al Reem Island stand out, alongside luxury residential developments and standalone villas offering high levels of privacy and comfort.”

Assessing property value

Dr Al Mehairbi said property valuations should not be based solely on the purchase price. Buyers should also consider location, development quality, the developer’s reputation, service standards, future demand and expected investment returns.

He noted that a premium property in a strategically important location could represent genuine long-term investment value, even if its price exceeded the market average.

Dr Al Mehairbi said he believed Abu Dhabi continued to offer promising real estate opportunities, particularly in residential developments that combine intrinsic value, quality of life and the ability to maintain their appeal over time.

“The objective is not simply to buy a luxury property, but to select a strong investment asset that combines an exceptional lifestyle, returns and sustainability,” he said.

A global destination for the wealthy

Dr Ali Al Ameri, Chairman of the Board of Al Shomoukh Group, said: “Abu Dhabi has transformed from a quiet oil capital into a global destination competing to attract the world’s leading celebrities and wealthiest individuals.

“From Manchester City star Erling Haaland, who has acquired a luxury villa on Yas Island, to international celebrities rushing to secure residential units before they sell out, the emirate is witnessing a fundamental transformation in its property market.

“The figures tell a compelling story: residential property sales reached Dh73.2 billion ($20 billion) in 2025 alone, while the number of transactions increased by 55% compared with 2024.”

Dr Al Ameri added that in October 2026, Norwegian striker Erling Haaland officially joined the ranks of Abu Dhabi property owners after purchasing a five-bedroom villa in Ohana’s Manchester City Yas Residences development.

His father, Alfie Haaland, also purchased a unit in the same complex, making the development a notable example of the relationship between global sports brands and luxury real estate.

The project spans 1.67 million square metres, with announced investments of Dh15 billion, and comprises more than 2,000 residential units. Manchester City manager Pep Guardiola has been appointed its official ambassador.

A system of investment incentives

Dr Al Ameri continued: “The secret behind Abu Dhabi’s irresistible appeal lies in its comprehensive system of incentives, starting with the Golden Visa.

“An investor who owns property worth Dh2 million (approximately $545,000) can qualify for a renewable 10-year residency visa without the need for a local sponsor. The visa also allows the holder to sponsor their spouse, children regardless of age, and parents.”

Yas Island, Abu Dhabi

Dr Al Ameri said the announcement of the planned Disneyland Abu Dhabi project on Yas Island had been a major catalyst for property demand on the island.

In the summer of 2025 alone, the value of property transactions on Yas Island doubled compared with the previous year, reaching Dh11.8 billion. Foreign buyers accounted for 70% of purchasers, led by Indian, Chinese and British nationals.

He described Saadiyat Island as more than just an island, calling it a distinct real estate market with its own investment dynamics.

The average apartment sale price on Saadiyat reached Dh43,100 per square metre, an annual increase of 21%, while villa prices averaged Dh26,500 per square metre.

On Yas Island, apartment prices per square metre rose by 17.69% in 2025, while villa prices increased by 22%.