The Abu Dhabi real estate market clocked a record-breaking AED87.1 billion ($23.7 billion) in real estate transactions in 2023, it was revealed on Tuesday.
The value of buying and selling activities surged by 159.5 percent compared to 2022, reaching AED61 billion, the Abu Dhabi Real Estate Centre (ADREC), an affiliate of the Department of Municipalities and Transport (DMT), revealed.
ADREC reported this increase based on 15,653 transactions, representing a 73.7 percent rise from 2022. The overall buying, selling and mortgage activities across the sector increased by 12.2 per cent compared to 2022. The results are based on a total of 22,751 transactions, which rose by 19.5 per cent from the previous year.
New investors enter the market
ADREC also noted an increase in resident and non-resident individual investors during 2023. The emirate saw 9,448 newly registered investors and 1,098 non-resident investors, marking significant increases of 71 percent and 175 percent, respectively, compared to 2022.
The significant growth in 2023 compared to 2022 highlights the ongoing achievements and solidifies the emirate’s alluring position, continuous progress and future expansion.
The results also reflect ADREC’s strategic mission to position Abu Dhabi as a global real estate destination and lead the growth of its entire real estate ecosystem. They also demonstrate the strength and potential of the emirate’s real estate sector, which continues to attract both local and international investors, making it a sought-after destination for real estate investment on a global scale.
ADREC is tasked with ensuring that Abu Dhabi’s real estate market is the destination of choice for regional and international capital investment, further solidifying its position in the global real estate landscape.
Strong Q4 growth
The Abu Dhabi property grew strongly in the last quarter of 2023, with all segments showing a steady increase in value.
The ValuStrat Price Index (VPI) for Abu Dhabi’s residential market observed an annual increase of 4.2 percent and a quarterly rise of 1 percent. The villa market saw 1.7 percent quarterly and 5.7 percent annual growth, while apartments saw a steady annual increase of 2.7 percent.
Overall, the UAE’s construction market continued to flourish in 2023, with a reported size of $94 billion, according to a recent report by GlobalData. The sector is projected to achieve an average annual growth rate of over 3 percent between 2025 and 2028.
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