Abu Dhabi's residential property market is set for a major supply boost in 2026, with nearly 15,900 Abu Dhabi new homes scheduled for delivery after a record-breaking 2025. Total property sales in the UAE capital hit AED 73.2 billion last year, as sustained demand from investors and end-users pushed the market to historic highs.
According to analysis by real estate consultancy Cavendish Maxwell, residential transactions in the emirate surged 55 percent year-on-year, reaching approximately 22,400 deals in 2025 — reflecting increasing investor confidence and broad appetite for both off-plan and ready residential developments.
Off-Plan Properties Drive Abu Dhabi Market Growth
Off-plan projects were the primary engine of the market's 2025 expansion, accounting for the majority of transactions.
These developments represented 71 percent of all residential deals, with off-plan sales rising 68 percent to around 15,900 transactions, compared with approximately 9,400 deals in 2024.
The ready property segment also held firm, with transactions increasing by 31 percent year-on-year.
Property analysts say the strong performance across both segments highlights a balanced real estate market supported by multiple buyer groups, including investors, end-users, and international buyers seeking opportunities in the UAE capital.
Thousands of New Homes Delivered — and More Coming
Developers completed approximately 7,000 new residential units in Abu Dhabi during 2025, bringing the emirate's total housing supply to around 315,000 homes.
The development pipeline will expand further in the coming years:
- Around 15,900 homes are scheduled for completion in 2026 - Developers are planning an additional 16,800 units for delivery in 2027 - A further 22,300 homes are targeted for 2028
If completed as projected, Abu Dhabi's total residential inventory could reach nearly 371,800 units by end of 2028.
However, industry experts caution that actual handovers may fall short of projections based on previous construction timelines, with estimates suggesting between 6,500 and 9,000 homes may ultimately be delivered in 2026.
Strong Demand Supports Abu Dhabi Real Estate
Market analysts say the surge in Abu Dhabi's real estate sector reflects expanding buyer demand and growing investor confidence.
Andrew Laver, Director at Cavendish Maxwell Abu Dhabi, said the capital's residential market achieved historic highs in 2025:
> "The UAE capital's residential real estate market reached historic highs in 2025, reflecting strong buyer demand and increased investor confidence."
Laver added that parallel growth in off-plan and ready transactions underscores a durable market foundation:
> "The strength of off-plan and ready transactions in parallel indicates a broad market base. This balance shows that growth is sustainable across both segments rather than being concentrated in a single area."
Property Prices and Rents Continue to Rise
Strong demand has pushed property values higher across Abu Dhabi. Average apartment prices increased by more than 15 percent in 2025, up from a 10.9 percent growth rate the previous year. Villa prices recorded notable gains as well, rising 12.2 percent on average.
Certain districts saw particularly sharp increases. Apartment prices rose approximately:
- 18 percent on Yas Island - 17 percent on Al Reem Island
Villa values also climbed significantly:
- 17 percent on Yas Island - 13 percent on Saadiyat Island
Rental prices followed suit. Average apartment rents increased 12.5 percent across the capital, with Yas Island recording the largest rise at 23 percent, followed by Al Reef and Al Reem Island at around 15 percent. Al Raha Beach saw a more moderate increase of about 10 percent.
Villa rents rose 5.5 percent on average, with Al Reef recording the largest gain at nearly 10 percent.
Apartments Dominate Residential Transactions
Apartments continued to account for the majority of property deals in Abu Dhabi during 2025.
Approximately two-thirds of all residential transactions involved apartment units, reflecting the large volume of new apartment launches across the emirate. A total of 14,800 apartment sales were recorded, representing a 58 percent increase compared with 2024.
Off-plan apartments accounted for the largest share — around 10,100 deals — while ready apartment sales increased nearly 36 percent to around 4,700 transactions.
Villas and townhouses also saw strong growth, with approximately 7,600 units sold in 2025, marking a near 50 percent increase year-on-year. Off-plan villa transactions rose 63 percent to about 5,800 deals, while ready villa sales increased 19 percent to around 1,800 transactions.
Key Property Hotspots in Abu Dhabi
Several districts emerged as the leading locations for property transactions across the capital.
Al Reem Island remained the top area for apartment sales, recording around 5,100 transactions in 2025 — a 75 percent increase compared with the previous year. Other popular locations included:
- Yas Island with around 1,000 apartment transactions - Fahid Island, which emerged as a new development hotspot with 725 sales - Saadiyat Island, known for its luxury residential projects
Together, these four districts accounted for more than 75 percent of all apartment transactions in the emirate.
For villas and townhouses, leading locations included Al Bahyah, Al Hidayriyyat, Yas Island, Al Reem Island and Zayed City, which collectively represented nearly half of all villa and townhouse sales.
Aldar Leads Abu Dhabi Developers in Sales
Among developers, Aldar Properties retained the top position in Abu Dhabi's property market for the second consecutive year, completing more than 5,300 transactions and capturing approximately 32 percent market share.
Other developers also recorded strong growth. Modon saw the fastest expansion, increasing sales from 485 transactions in 2024 to about 2,700 deals in 2025. Reportage Properties expanded significantly with transactions rising to around 1,300 sales, while Bloom Holding and Radiant Real Estate maintained market shares of 4.8 percent and 4.5 percent respectively.
Property analysts believe that continued population growth, major infrastructure projects and strong economic performance in the UAE will help sustain demand for residential properties in Abu Dhabi, supporting further growth in the capital's housing market in the years ahead.
