Bayut’s 2022 Abu Dhabi sales market report
- Top Neighbourhoods
- Affordable Apartment Sales
- Luxury Apartment Sales
- Affordable Villa Sales
- Luxury Villa Sales
- Off-Plan Projects
With 2022 wrapped up, it’s time to analyse the performance of the real estate market in the capital during the last year with Bayut’s Abu Dhabi annual sales market report for 2022.
Our report compares the average sales price-per-square-foot observed in the past year with those recorded in 2021 to offer you a better understanding of consumer behaviour, neighbourhood popularity and more.
Here is a quick overview of property trends observed in our Abu Dhabi market report for 2022:
- Prices for reasonably-priced properties decreased by up to 18% for villas, whereas the cost of apartments increased by 2.71%.
- Luxury properties generally performed well with price increases of up to 13%.
We have segmented popular areas into ‘Affordable’ and ‘Luxury’ sections to offer you a more tailored view of the sales trends in this Abu Dhabi annual sales market report for 2022.
ABU DHABI ANNUAL SALES MARKET REPORT FOR 2022: TOP NEIGHBOURHOODS IN ABU DHABI ACCORDING TO TRENDS ON BAYUT
In the wake of global inflation and uncertainty, Abu Dhabi with its clearly drafted policies and government-led initiatives remains a solid option for investment. Add to that the Golden Visa scheme and Aldar’s investment-friendly promotions, and it comes as no surpirise that Abu Dhabi has managed to attract a steady stream of both on-shore and off-shore investment in the real estate sector.
As per the trends observed by our data analysts at Bayut, investors favoured the following communities for affordable properties in 2022:
- Al Reef
- Al Ghadeer
- Khalifa City A
- Hydra Village
On the other hand, areas that garnered maximum consumer interest for upscale properties included:
- Al Reem Island
- Al Raha Beach
- Saadiyat Island
- Yas Island
For a more detailed analysis of the capital’s real estate sector, let’s take a look at the Abu Dhabi annual sales market report for 2022.
AL REEF IS THE MOST POPULAR AREA FOR AFFORDABLE APARTMENTS: ABU DHABI SALES MARKET REPORT 2022
2022 PROPERTY PRICES IN ABU DHABI TO BUY AFFORDABLE FLATS
POPULAR AREAS | ROI | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021 | STUDIO | 1-BED | 2-BED |
|---|---|---|---|---|---|
| Al Reef | ROI 7.77% | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021
| STUDIO
| 1-BED
| 2-BED
|
| Al Ghadeer | ROI 7.06% | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021
| STUDIO
| 1-BED
| 2-BED
|
| Baniyas | ROI 4.75% | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021
| STUDIO
| 1-BED
| 2-BED
|
| Masdar City | ROI 7.18% | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021
| STUDIO
| 1-BED
| 2-BED
|
As per the data extracted by Bayut, Al Reef emerged as the most searched-for area for purchasing affordable apartments in Abu Dhabi:
- The price-per-square-foot for apartments in Al Reef increased by 2.71% to average at AED 686 in 2022.
- The asking price for sale studios in Al Reef averaged at AED 479k, whereas 1 and 2-bedroom flats in Al Reef were priced at AED 600k and AED 771k, respectively.
Al Ghadeer continued to be another popular choice for affordable apartments in Abu Dhabi:
- The price-per-square-foot for flats in Al Ghadeer averaged at AED 703 in 2022, following a 0.02% increase from 2021.
- The average cost of studios for sale in Al Ghadeer was AED 350k, whereas 1 and 2-bed apartments in Al Ghadeer were available for AED 501k and AED 686k, respectively.
Home-seekers were also interested in the older community of Baniyas to buy reasonably-priced apartments in Abu Dhabi:
- The average price-per-square-foot for flats in Baniyas stood at AED 746 in 2022, after decreasing by 2.95% from 2021.
- Investors paid around AED 469k for studios, AED 622k for 1-bed units and AED 1M for 2-bed apartments in Baniyas.
Besides these areas, potential buyers in the capital also continued to search for flats in Masdar City. The sales price-per-square-foot of apartments in Masdar City averaged at AED 1,196, following a minor uptick of 0.48% from 2021.
AL REEF OFFERS THE BEST RENTAL YIELDS IN ABU DHABI FOR AFFORDABLE APARTMENTS
As per our data, these areas offered healthy ROI for budget-friendly apartments in Abu Dhabi:
- Flats in Al Reef recorded the highest rental returns of 7.77%.
- Apartments in Masdar City offered projected rental yields of 7.18%.
- Al Ghadeer offered an average ROI of 7.06% based on the expected rental yield.
AL REEM ISLAND GAINS THE MOST TRACTION FOR LUXURY APARTMENT SALES IN ABU DHABI
MOST POPULAR AREAS TO BUY LUXURY APARTMENTS: ABU DHABI SALES MARKET REPORT 2022
POPULAR AREAS | ROI | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021 | 1-BED | 2-BED | 3-BED |
|---|---|---|---|---|---|
| Al Reem Island | ROI 6.65% | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021
| 1-BED
| 2-BED
| 3-BED
|
| Al Raha Beach | ROI 5.88% | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021
| 1-BED
| 2-BED
| 3-BED
|
| Yas Island | ROI 6.36% | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021
| 1-BED
| 2-BED
| 3-BED
|
| Saadiyat Island | ROI 4.69% | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021
| 1-BED
| 2-BED
| 3-BED
|
On the luxury front, Al Reem Island remained the most attractive option for those looking for high-end apartments in Abu Dhabi:
- The average price-per-square-foot for upscale apartments in Al Reem Island increased by 1.99% to stand at AED 1,011 in 2022.
- The cost of 1-bed apartments in Al Reem Island averaged at AED 834k, whereas 2 and 3-bed apartments were priced at AED 1.3M and AED 1.9M, respectively.
The waterfront community of Al Raha Beach also remained popular with those searching for luxury villas in Abu Dhabi:
- The price-per-square-foot for flats in Al Raha Beach averaged at AED 1,226 in 2022, following an increase of 3.92% from 2021.
- Advertised prices averaged at AED 1.1M for 1-bed apartments, AED 1.6M for 2-bed flats and AED 2.6M for 3-bed apartments in Al Raha Beach.
High-Net-Worth (HNW) investors were also inclined towards Abu Dhabi’s entertainment hub, Yas Island to buy luxury apartments in the emirate:
- The average price-per-square-foot for flats in Yas Island stood at AED 1,278 in 2022, following a 4.18% increase from 2021.
- The cost of 1-bed apartments for sale in Yas Island averaged at AED 1M, whereas 2 and 3-bedroom flats reported average prices of AED 1.5M and AED 2.2M, respectively.
Apart from these areas, investors showed an inclination towards apartments in Saadiyat Island, which witnessed a 13.2% increase in their price-per-square-foot, averaging at AED 1,693 in 2022. This rise could be driven by a price shift subsequent to an overall increase in the inventory, particularly from Park View, Saadiyat Cultural District and Soho Square.
- 3 BEDS
- |
- 4 BATHS
- |
- 1736 SQFT
- 1 BED
- |
- 2 BATHS
- |
- 783 SQFT
- 1 BED
- |
- 2 BATHS
- |
- 970 SQFT
- 4 BEDS
- |
- 5 BATHS
- |
- 4269 SQFT
- 2 BEDS
- |
- 4 BATHS
- |
- 1435 SQFT
- 2 BEDS
- |
- 3 BATHS
- |
- 1218 SQFT
AL REEM ISLAND OFFERS THE BEST ROI IN ABU DHABI FOR LUXURY APARTMENTS
As per our data, here are the areas that offered the highest ROI for luxury apartments in Abu Dhabi:
- Al Reem Island offered the highest rental yields of up to 6.65% for expensive flats in Abu Dhabi.
- Offering 6.36% projected returns, Yas Island emerged as another investment-friendly area in Abu Dhabi.
- Al Raha Beach also recorded a favourable ROI of 5.88%.
AL REEF IS THE FIRST CHOICE FOR BUYING AFFORDABLE VILLAS: ABU DHABI SALES MARKET REPORT 2022
ABU DHABI 2022 PROPERTY PRICES FOR BUYING AFFORDABLE VILLAS
POPULAR AREAS | ROI | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021 | 3-BED | 4-BED | 5-BED |
|---|---|---|---|---|---|
| Al Reef | ROI 6.13% | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021
| 3-BED
| 4-BED
| 5-BED
|
| Khalifa City A | ROI 4.58% | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021
| 3-BED
| 4-BED
| 5-BED
|
| Hydra Village | ROI 6.71% | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021
| 3-BED
| 4-BED
| 5-BED
|
| Al Ghadeer | ROI 5.82% | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021
| 3-BED
| 4-BED
| 5-BED
|
| Baniyas | ROI 4.38% | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021
| 3-BED
| 4-BED
| 5-BED
|
Villa-buyers on a stricter budget searched for units in Al Reef to buy affordable houses in Abu Dhabi:
- The average price-per-square-foot for villas in Al Reef recorded a 4.67% increase to stand at AED 707 in 2022.
- 3-bed houses for sale in Al Reef averaged at AED 1.5M, whereas 4-bed and 5-bed villas in the area were available for AED 2.2M and AED 2.5M, respectively.
Abu Dhabi’s sprawling residential hub, Khalifa City A emerged as the second most popular area for buying affordable houses in Abu Dhabi:
- The price-per-square-foot for houses in Khalifa City A averaged at AED 700 in 2022, following a 3.05% decline from 2021.
- The 3-bed villas in Khalifa City A were priced at AED 4.2M, whereas investors paid around AED 5.5M to buy 4-bed and AED 6.3M to buy 5-bed houses in the area.
Hydra Village also garnered interest from investors looking to grab a property bargain in 2022:
- Houses in Hydra Village experienced a 0.69% increase in their average price-per-square-foot to stand at AED 496 in 2022.
- The cost of 3-bedroom houses in Hydra Village stood at AED 945k in 2022.
Other areas that gained traction from investors for affordable villas included:
- Al Ghadeer
- Baniyas
The average price-per-square-foot for houses in Al Ghadeer decreased by up to 1%. However, homes in Baniyas witnessed a larger decrease of 18% in their average price-per-square-foot due to a price shift caused by an increase in lower-priced inventory properties, particularly in Bawabat Al Sharq.
HYDRA VILLAGE OFFERS THE HIGHEST ROI IN ABU DHABI FOR AFFORDABLE VILLAS
When it comes to ROI, here are some of the areas that offered favourable investment gains for affordable villas in Abu Dhabi:
- Offering 6.71% projected rental yields, villas in Hydra Village had the highest ROI in Abu Dhabi for affordable homes.
- Homes in Al Reef also yielded good rental returns of 6.13%.
- With a 5.82% ROI, homes in Al Ghadeer also promised a solid return on investment in Abu Dhabi.
SAADIYAT ISLAND IS THE MOST POPULAR AREA TO BUY LUXURY VILLAS IN ABU DHABI
PROPERTY PRICES FOR LUXURY VILLAS: ABU DHABI SALES MARKET REPORT 2022
POPULAR AREAS | ROI | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021 | 4-BED | 5-BED | 6-BED |
|---|---|---|---|---|---|
| Saadiyat Island | ROI 4.62% | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021
| 4-BED
| 5-BED
| 6-BED
|
| Yas Island | ROI 5.04% | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021
| 4-BED
| 5-BED
| 6-BED
|
| Al Raha Gardens | ROI 6.04% | PRICE PER SQ.FT Avg. Price/sq.ftChange from 2021
| 4-BED
| 5-BED
| 6-BED
|
Saadiyat Island retained its standing as the most popular area to buy luxury villas in Abu Dhabi:
- The price-per-square-foot of houses in Saadiyat Island averaged at AED 1,620 in 2022, following a 12.67% increase from 2021. This appreciation could be due to landlords listing their properties at higher prices to benefit from increasing demand, particularly in Jawaher Saadiyat and Saadiyat Beach districts.
- The asking sales price of 4-bed houses in Saadiyat Island averaged at AED 7.8M, whereas 5-bed and 6-bed villas in the area were advertised for AED 16.1M and AED 18.3M, respectively.
Yas Island remained the second-most attractive choice for luxury villa buyers in Abu Dhabi:
- The average price-per-square-foot of villas in Yas Island increased by 6.06% to stand at AED 1,144 in 2022.
- Houses in Yas Island were available for average prices of AED 5.8M for 4-bed villas, AED 6.3M for 5-bed homes and AED 9.8M for 6-bed units.
Buyers also preferred Al Raha Gardens for luxury houses in Abu Dhabi:
- Following a 0.49% decrease from 2021, the price-per-square-foot for houses in Al Raha Gardens averaged at AED 834 in 2022.
- Investors thinking to buy villas in Al Raha Gardens could expect to pay AED 2.8M for 4-bed villas, AED 4.2M for 5-bed houses and AED 4.7M for 6-bed homes in the community.
AL RAHA GARDENS HAS THE HIGHEST RENTAL RETURNS FOR LUXURY VILLAS IN ABU DHABI
As per the data accumulated by Bayut, here are the areas that yielded good returns for lavish villas in Abu Dhabi:
- Al Raha Gardens offered the highest rental yields of 6.04%.
- The ROI for houses in Yas Island averaged at 5.04%.
- Saadiyat Island recorded impressive rental returns of 4.62%.
KEY OFF-PLAN PROJECTS IN ABU DHABI
MOST POPULAR OFF-PLAN APARTMENTS IN ABU DHABI
PROJECT | LOCATION | CATEGORY |
|---|---|---|
PROJECT Oasis Residences | LOCATION Masdar City | CATEGORY Affordable |
PROJECT Diva | LOCATION Yas Island | CATEGORY Affordable |
PROJECT Al Ghadeer Phase II | LOCATION Al Ghadeer | CATEGORY Affordable |
PROJECT Yas Bay | LOCATION Yas Island | CATEGORY Luxury |
PROJECT Makers District | LOCATION Al Reem Island | CATEGORY Luxury |
PROJECT Saadiyat Cultural District | LOCATION Saadiyat Island | CATEGORY Luxury |
Investors in search of off-plan apartments in Abu Dhabi expressed their interest in the upcoming projects in Masdar City, Yas Island, Al Ghadeer, Al Reem Island and Saadiyat Island:
- Oasis Residences in Masdar City remained the top choice for budget-conscious investors in Abu Dhabi.
- Potential investors also searched for other popular projects such as Diva in Yas Island and Al Ghadeer Phase II in Al Ghadeer in the affordable sector.
- Yas Bay in Yas Island captured the interest of most high-income investors in Abu Dhabi.
- Makers District in Al Reem Island and Saadiyat Cultural District also continued to be popular with investors in the luxury segment.
TOP OFF-PLAN VILLA PROJECTS IN ABU DHABI
PROJECT | LOCATION | CATEGORY |
|---|---|---|
PROJECT Noya | LOCATION Yas Island | CATEGORY Affordable |
PROJECT Al Ghadeer Phase II | LOCATION Al Ghadeer | CATEGORY Affordable |
PROJECT Yas Acres | LOCATION Yas Island | CATEGORY Luxury |
PROJECT Tamouh | LOCATION Al Reem Island | CATEGORY Luxury |
For villas, investors focused on off-plan projects in Yas Island, Al Ghadeer and Al Reem Island:
- Noya in Yas Island continued to draw investors in the affordable segment during 2022.
- Buyers were also seen exploring the houses in Al Ghadeer Phase II in Al Ghadeer.
- On the luxury front, Yas Acres in Yas Island continued to grab the attention of villa buyers in Abu Dhabi. The average price of villas in Yas Acres was AED 5.7M in 2022.
- Tamouh in Al Reem Island also gained traction among high net-worth investors in Abu Dhabi.
Please note that some of the off-plan areas listed above may have more than one project or phase, some of which may have been completed and handed over.
Commenting on the trends in Abu Dhabi, Haider Ali Khan, the CEO of Bayut & dubizzle and the Head of EMPG MENA said:
“The overall stability of the capital city’s economy has continued to make it a destination of choice among property buyers interested in the region. In the last two quarters of 2022, there was a significant increase in both volume and value of sales transactions based on the data released by DARI. The value of transactions in Abu Dhabi increased by well over 60% in Q4 2022, which is a clear indication of the rising demand for real estate in the capital, and is also evident by the growing traffic of over 12M sessions on our portal over the course of the last year for listings in Abu Dhabi alone.
With the market firmly on a growth trajectory, we can expect more need for transparency and digitisation. The government in the capital is already proactively preparing for this and has taken the first steps with the launch of DARI in February 2022. As the leading portal in the region, we will continue to provide the necessary support to all stakeholders as we move towards a more transparent, regulated ecosystem.”
That brings an end to our Abu Dhabi annual sales market report for 2022. If you want to know how the rent trends fluctuated in the capital during 2022, take a look at our Abu Dhabi 2022 rental market report.
Want to know how Dubai’s property market fared during 2022? Check out Bayut’s Dubai annual sales market report for 2022.
Disclaimer: The above report (MKTT RPT YE 2022) is based on prices for ready properties advertised on Bayut.com by real estate agencies on behalf of their clients. These prices are not representative of actual real estate transactions conducted in Abu Dhabi.
