Market Trends

Market Trends

2018_مستجدات السوق العقاري بأبوظي_2015

The market report for third quarter 2018 is now released, delivering some interesting figures for investors, buyers, landlords, and tenants.

The leasing trends by Area where Al Reem Island stays stealing the show with the highest demand among the other areas have slightly decreased as compared to Q2 2018.

Hydra Village and Yas Island have slightly increased in demand. Abu Dhabi Main Island, Al Raha Beach, Al Raha Gardens and Al Reef remained exactly on the same trend as the previous quarter. Areas such as Al Ghadeer and Al Saadiyat show a tiny decrease of 1% in Q3 2018.

Abu Dhabi’s population is looking for affordable properties where facilities and amenities are provided in addition to an island living and City proximity.

Tenants are becoming more aware of the real estate lifecycle, they safely calculate and secure the 5% top up on the yearly rental amount by opting for a less expensive property which allows a safe margin that fits in the home allowance budget.

The figures issued for the leasing trends by apartment type reflect an overall increase, mostly noticed for the Studios and 1 bedroom. However, a small decrease in demand is being noticed for the 2 bedrooms and 3 Bedroom Apartments. The 4+ bedrooms remained on the same level of demand.

The leasing trend by apartment type has faced this interesting move due to the rental prices continuous drop in the market. First, this allows the population to afford and move to bigger properties; second, tenants became conscious of the fact that owning a property is much profitable on the medium and long-term – than paying rentals to the landlord.

The demand of the apartments remains high for the 1 bedroom type, followed by the 5 bedrooms, then the studios and 3 bedrooms with 12% demand only. The demand for the 4+ bedrooms remains low as the rent amount is high and for the same price, the user can afford to rent a villa or even prefer to acquire a property than pay rentals.


The leasing demand of the 2 and 5 bedroom villas has a noticeable and stable increase in demand compared to Q2 of 2018, however, the 3, 4 and the bigger units of 6+ bedroom villas faced a drop towards the 2 and 5 bedrooms.

The rent increase in demand for the 2 bedrooms can be explained by the shift from a two bedroom apartment towards a two bedroom villa. The three and four bedroom villas either towards the 5 bedrooms or cutting cost on rentals and allocate the amount for the purchase of a property. The 6+ bedroom villas’ move is definitely towards a property acquisition.

The highest demand is seen for equally the 2 and 3 bedroom villas, then comes the bigger units with a logical and steady decrease in demand proportional to the property size.

Moving to the sales demand by area – even with the drop and market slowdown – Al Reem Island continuously occupies the biggest chunk of the market in terms of sales along with Al Ghadeer through the launch of its phase 2.

Al Raha Gardens, Hydra Village, Saadiyat, Yas Island, as well as Khalifa City areas are turning back to the same level of demand as they were in the last quarters of 2017.

By the looks of the latest figures, Al Reem Island is seeing an important increase. Al Ghadeer is reaching the highest trend in demand since even the launch of the first phase.

Meanwhile, Abu Dhabi mainland and Al Raha Beach are the only areas showing some decrease in sales.

From these figures, we can understand that the buyers’ population is mixed as some of them are looking at luxury and others are looking at affordability. Some of the buyers are end users and some of the others are Investors in off-plan projects offered at affordable prices.


 The sales real estate market trends by apartment type reveal a considerable demand for the one bedroom apartment even though it has dropped drastically compared to the previous quarter, and it remains one of the most demanded apartment type. The 2 bedrooms have also seen an increase.

The trend shows signs of decrease among the 1 and 3 bedroom apartments in Q3 of 2018 with a stable demand of the 4+ bedrooms. The demand of the 2 bedrooms is facing a noticeable increase which reached the levels seen back in Q4 2015 and Q4 2016.

The property purchasers can have two different behaviors towards the unit size, depending on the purchase purpose. The end users are keener to purchase 2, 3 and 4 bedroom apartments. Investors, however, their investment preference is respectively for the 1 bedrooms, 2 bedrooms then, studio apartments.

The overall highest demand goes towards the 2 bedrooms, then respectively the 1, studios and 3 bedroom apartments. The demand on the 4+ bedrooms is very little.

Moving on to the sales trends by villa type, the statistics show drastic differences among the properties of 2, 3 and 6+ bedroom villas.

The smaller villas of 2 bedrooms show a fatal drop in Q3 being compared to the previous quarter, towards the 3 bedroom villas and the 6+ bedrooms towards the 4 and 5 bedroom villas.

For the end users who are looking at purchasing a villa, we can see two different behaviors. The expatriates respectively prefer the 3 and 2 bedrooms, however, the UAE Nationals prefer 5+, 4 then 3 bedroom villas.

The figures for the Investors behavior are different, where the UAE Nationals have an ascendant preference towards the 2, then 4, 3 and 5+ bedroom villas. The Expatriates, however, are keener to invest in the 3, 2, and then 4 and 5+ bedrooms.

The bigger portion of the total demand of the villas is granted to the 4 bedroom type, then the 3, followed by the 2 then 5 bedrooms. The 6+ bedroom villas remain the least demanded type.

The overall results show a drastic drop in Sales trend almost reaching back the statistics released through the quarters of 2016. The Rent demand, however, recorded a pick up as compared to Q2 2018.

It’s obvious that the estate market has been facing a slump since HY2 2016; however, great investment opportunities are being injected out there, in the Abu Dhabi Real Estate Market.

A number of well-priced and affordable properties are being injected into the market targeting both investors and end users, also relatively low prices are being offered for the existing properties.

The relative decrease in property prices – caused by the increasing number of available units on the market – allowed investors to acquire properties with relatively low prices.

This type of recession is the perfect period to invest in real estate where the acquisition cost is relatively low against a good rental income, for the existing projects.

The property prices are forecasted to increase back in HY2, 2019. Now is the perfect time to invest in off-plan projects as the property value will automatically increase once the projects are handed over.

A batch of interesting off-plan projects are listed with Nationwide Middle East Properties with different handover timelines starting May 2018 for Marina Sunset Bay Villas, Faya in Bloom Gardens, January 2019 for Mamsha Al Saadiyat, Jawaher, Fairmont Marina Residences in October 2018, June 2020 for Al Raha Lofts, April 2020 for the latest phase launched of Alghadeer, and much more that you can discover on

The UAE in general and Abu Dhabi Property Market, in particular, is favorable for real estate Buyers and Investors – despite the small fluctuations, the market represents an attractive opportunity for investors seeking great returns, making Abu Dhabi property market more accessible for buyers than ever before.

Through the latest quarters, we’ve noticed that the market is mostly for UAE Nationals where they occupy the bigger part in Real Estate Investment. Being conscious that Real Estate in one of the best Investment solutions that generate the bigger portion of return among other kinds of investments. UAE Nationals choose the best and safest option through the attractive property offerings injected in the market.

For more details and inquiries, please feel free to call 80014444 or 0509138969.



2018_مستجدات السوق العقاري بأبوظي_2015

Click here to download PDF file of the Real Estate Market Trend Q4 2016_Q3 2018

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2018_مستجدات السوق العقاري بأبوظي_2016

Click here to download PDF file of the Real Estate Market Trend 2016_2018

2018_مستجدات السوق العقاري بأبوظبي الربع 4_2016 – الربع 1
Click here to download PDF file of the Real Estate Market Trends Q4_2016 – Q1_2018
Click here to download PDF file of the Real Estate Market Trends 2016_2017
Click here to download PDF file of the Real Estate Market Overview 2016
Click here to download PDF version of Market Overview_2015
Abu Dhabi Real Estate Market Overview_2014