Bayut’s Abu Dhabi Sales Market Report Q3 2023
- Top Neighbourhoods
- Affordable Apartment Sales
- Luxury Apartment Sales
- Affordable Villa Sales
- Luxury Villa Sales
- Off-Plan Projects
As the third quarter of the year comes to a close, let’s evaluate how the Abu Dhabi real estate market has performed during the last three months. To offer you a better understanding of consumer behaviour, Bayut’s Abu Dhabi sales market report Q3 2023 compares the average sales price-per-square-foot recorded in the past three months with those observed in Q2 2023.
As per Bayut’s Abu Dhabi sales property market report for Q3 2023, prices generally increased across both the luxury and affordable sectors:
- The average sales price-per-square foot for affordable apartments and villas increased by up to 8% in Q3 2023.
- Properties in upscale areas generally recorded upticks of up to 5.14% in both the apartment and villa categories.
- Abu Dhabi’s digital real estate ecosystem, DARI, reported 3,952 residential property sales transactions during Q3 2023, comprising ready and off-plan properties, with a total value of AED 16.6 billion.
This Abu Dhabi sales market report Q3 2023 compares the average sales price-per-square-foot observed in Q3 2023 with those recorded in Q2 2023. We’ve categorised popular areas into ‘Affordable’ and ‘Luxury’ sections for a clearer view of sales trends.
TOP NEIGHBOURHOODS IN ABU DHABI
The UAE’s real estate market has been performing remarkably well, sustaining its strong momentum well into the third quarter of the year. High activity levels were recorded in both the affordable and luxury property sectors. As per DARI stats, Q3 2023 saw 1,034 sales transactions for ready properties worth almost AED 2.6 billion. This trend is likely to continue, thanks to the attractive ROIs and relatively stable market conditions.
During the July to September 2023 period, Saadiyat Island had the highest annual capital gains among all areas in Abu Dhabi due to the increasing demand for residential properties. Luxury villas saw an increase of up to 3.60% in prices, while luxury apartment prices rose by 5.14%.
Our Abu Dhabi sale Q3 2023 property market report shows that investors favoured the following areas for affordable properties:
- Al Reef
- Khalifa City
- Al Ghadeer
- Al Samha
HNWIs and affluent homebuyers preferred these areas for upscale properties:
- Al Reem Island
- Al Raha Beach
- Yas Island
- Saadiyat Island
In the following sections of the Q3 2023 market report for sale in Abu Dhabi, we provide detailed insights into the capital’s real estate sector.
AL REEF TAKES THE TOP SPOT FOR AFFORDABLE APARTMENT SALES: ABU DHABI SALES MARKET REPORT Q3 2023
POPULAR AREAS | ROI | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023 | STUDIO | 1-BED | 2-BED |
|---|---|---|---|---|---|
| Al Reef | ROI 8.15% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023
| STUDIO
| 1-BED
| 2-BED
|
| Al Ghadeer | ROI 7.73% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023
| STUDIO
| 1-BED
| 2-BED
|
| Masdar City | ROI 7.34% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023
| STUDIO
| 1-BED
| 2-BED
|
| Baniyas | ROI 5.25% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023
| STUDIO
| 1-BED
| 2-BED
|
As per sales trends of Abu Dhabi in Q3 2023, Al Reef emerged as the top choice for buying affordable apartments in Abu Dhabi:
- The average price-per-square-foot for apartments in Al Reef increased by 1.27% to average at AED 660.
- DARI sources revealed that ready apartments for sale in Al Reef recorded transactions worth AED 19.2M in Q3 2023.
- The cost of studios in Al Reef averaged at AED 476k, with 1 and 2-bed apartments for sale being available at averages of AED 575k and AED 768k, respectively.
Al Ghadeer continued to be another searched-for area to buy reasonably-priced flats in Abu Dhabi:
- The average price-per-square-foot for apartments for sale in Al Ghadeer stood at AED 721, after a 0.44% increase.
- Investors paid an average of AED 386k for studios, AED 525k for 1-bed units and AED 697k for 2-bed apartments in Al Ghadeer in Q3 2023.
People interested in finding reasonably-priced apartments, including potential investors and homeowners, also showed interest in Masdar City:
- The average price-per-square-foot for apartments for sale in Masdar City was AED 1,190 in Q3 2023, reflecting a 2.37% increase.
- On average, studios for sale in Masdar City were priced at AED 535k, whereas 1 and 2-bed apartments were available for AED 762k and AED 1.13M, respectively.
In addition to the districts mentioned above, investors indicated a preference for Baniyas as per the Abu Dhabi sales property market report for Q3 2023. The price-per-square-foot for apartments for sale in Baniyas showed a 0.37% increase, averaging at AED 744.
AL REEF OFFERS THE BEST RENTAL YIELDS IN ABU DHABI FOR AFFORDABLE APARTMENTS
Bayut’s data for the Abu Dhabi sales market report for Q3 2023 reveals that the following popular areas provided the highest rental yields in Abu Dhabi for affordable apartments:
- Apartments in Al Reef yielded the highest rental returns of 8.15%.
- Al Ghadeer recorded a projected ROI of 7.73%.
- Masdar City also offered an impressive ROI of 7.34% for reasonably-priced apartments.
AL REEM ISLAND GARNERS THE MOST INTEREST IN LUXURY APARTMENT SALES IN ABU DHABI
MOST POPULAR AREAS TO BUY LUXURY APARTMENTS: ABU DHABI SALES PROPERTY MARKET REPORT FOR Q3 2023
POPULAR AREAS | ROI | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023 | 1-BED | 2-BED | 3-BED |
|---|---|---|---|---|---|
| Al Reem Island | ROI 6.61% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023
| 1-BED
| 2-BED
| 3-BED
|
| Al Raha Beach | ROI 5.36% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023
| 1-BED
| 2-BED
| 3-BED
|
| Yas Island | ROI 6.72% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023
| 1-BED
| 2-BED
| 3-BED
|
| Saadiyat Island | ROI 4.31% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023
| 1-BED
| 2-BED
| 3-BED
|
Investors preferred Al Reem Island to buy luxury apartments in Q3 2023:
- The average price-per-square-foot for luxury apartments for sale in Al Reem Island increased by 1.68% to average at AED 1,053.
- According to DARI, sales transactions for ready apartments in Al Reem Island in 2023’s third quarter totalled AED 300M.
- Investors were looking at paying around AED 851k for 1-beds, AED 1.40M for 2-beds and AED 2.09M for 3-bed units in Al Reem Island.
Al Raha Beach in Abu Dhabi also proved to be a popular choice among HNWIs and investors seeking high-end apartments:
- The average price-per-square-foot for flats in Al Raha Beach has increased by 2.29% and now stands at AED 1,269.
- According to DARI, the ready flats in Al Raha Beach have recorded a total sales transaction value of AED 110.7M during the third quarter of 2023.
- 1-bed flats for sale in Al Raha Beach were available for AED 1.17M, whereas 2 and 3-bed apartments in the area were priced at AED 1.73M and AED 2.56M, respectively.
Investors showed a strong interest in Abu Dhabi’s scenic island destination – Yas Island, during the third quarter of 2023:
- The price-per-square-foot for flats in Yas Island rose by 1.81% to reach AED 1,345.
- DARI reported AED 200M in ready apartment sales in Yas Island during 2023’s third quarter.
- Average prices for apartments for sale in Yas Island were as follows: AED 990k for 1-bed, AED 1.65M for 2-bed and AED 2.46M for 3-bed apartments.
Saadiyat Island was also seen as a promising investment opportunity, with apartment price-per-square-foot rising by 5.14% to reach AED 1,920.
YAS ISLAND OFFERS THE BEST ROI IN ABU DHABI FOR LUXURY APARTMENTS
As per our data, these areas offered healthy projected rental yields for luxury apartments in Abu Dhabi:
- The Q3 Abu Dhabi sales market analysis indicated that high-end apartments on Yas Island provide the highest ROI of 6.72%.
- In comparison, Al Reem Island’s apartments have an average ROI of 6.61%.
- Al Raha Beach apartments provide an ROI of 5.36%.
- 3 BEDS
- |
- 5 BATHS
- |
- 2001 SQFT
- 1 BED
- |
- 2 BATHS
- |
- 893 SQFT
- 2 BEDS
- |
- 3 BATHS
- |
- 1206 SQFT
- 2 BEDS
- |
- 3 BATHS
- |
- 1172 SQFT
- STUDIO
- |
- 1 BATH
- |
- 377 SQFT
AL REEF IS THE FIRST CHOICE FOR BUYING AFFORDABLE VILLAS: Q3 2023 MARKET REPORT FOR SALE IN ABU DHABI
ABU DHABI PROPERTY PRICES FOR BUYING AFFORDABLE VILLAS
POPULAR AREAS | ROI | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023 | 3-BED | 4-BED | 5-BED |
|---|---|---|---|---|---|
| Al Reef | ROI 6.08% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023
| 3-BED
| 4-BED
| 5-BED
|
| Khalifa City | ROI 3.65% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023
| 3-BED
| 4-BED
| 5-BED
|
| Al Samha | ROI 5.13% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023
| 3-BED
| 4-BED
| 5-BED
|
| Al Ghadeer | ROI 6.50% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023
| 3-BED
| 4-BED
| 5-BED
|
| Hydra Village | ROI 7.06% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023
| 3-BED
| 4-BED
| 5-BED
|
As per the Abu Dhabi sales property market report for Q3 2023, Al Reef remained a popular choice for investors interested in buying affordable villas in Abu Dhabi:
- The average price-per-square-foot for villas in Al Reef increased by 0.15% to stand at AED 730.
- DARI Q3 2023 stats revealed that the total sales transaction value for villas in Al Reef was AED 54.5M.
- The 3-bed homes in Al Reef cost an average of AED 1.59M, with 4 and 5-bed villas averaging at AED 2.23M and AED 2.55M, respectively.
Khalifa City, a family-friendly suburb in Abu Dhabi, continued to become increasingly popular among villa buyers looking for affordable homes:
- The average price-per-square-foot for villas in Khalifa City increased moderately by 2.59% to stand at AED 875.
- Based on DARI stats, the total sales transaction value for villas in Khalifa City in Q3 2023 was AED 77.4M.
- In the 2023’s third quarter, 3, 4 and 5-bedroom villas in Khalifa City were priced at around AED 4.14M, AED 4.43M and AED 5.77M, respectively.
Budget-conscious investors in Q3 2023 also showed a preference towards Al Samha for reasonably-priced villas in Abu Dhabi:
- Villas for sale in Al Samha reported an increase of 7.68% in the price-per-square-foot, averaging at AED 643.
- The total sales transaction value for villas in Al Samha in Q3 2023 was AED 32.6M, according to DARI statistics.
- The average price for a 3-bed villa for sale in Al Samha was AED 1.53M.
Other areas that attracted investor attention for affordable villas included:
- Al Ghadeer
- Hydra Village
The average price-per-square-foot of villas in Al Ghadeer decreased by 2.16%. In contrast, homes in Hydra Village saw a minor uptick, with a 0.39% increase in their average price-per-square-foot.
HYDRA VILLAGE OFFERS THE HIGHEST ROI IN ABU DHABI FOR AFFORDABLE VILLAS
These locations in Abu Dhabi offered affordable villas with healthy rental yields:
- The villas in Hydra Village have the highest ROI of 7.06%.
- Al Ghadeer villa properties also boast an impressive ROI of 6.50%.
- Al Reef villas have projected rental yields of 6.08%.
YAS ISLAND IS THE MOST POPULAR CHOICE FOR BUYING LUXURY VILLAS IN ABU DHABI
PROPERTY PRICES FOR LUXURY VILLAS: ABU DHABI Q3 SALES MARKET REPORT 2023
POPULAR AREAS | ROI | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023 | 4-BED | 5-BED | 6-BED |
|---|---|---|---|---|---|
| Yas Island | ROI 5.33% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023
| 4-BED
| 5-BED
| 6-BED
|
| Saadiyat Island | ROI 4.27% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023
| 4-BED
| 5-BED
| 6-BED
|
| Al Raha Gardens | ROI 5.88% | PRICE PER SQ.FT Avg. Price/sq.ftChange from Q2 2023
| 4-BED
| 5-BED
| 6-BED
|
Based on Bayut’s Q3 2023 sales trends analysis, Yas Island was crowned the most attractive destination for those seeking high-end villas in Abu Dhabi:
- The average sales price-per-square-foot for Yas Island villas for sale was AED 1,139, which is 1.73% lesser than Q2 2023.
- On average, 4-bedroom villas cost AED 6.14M, while 5 and 6-bedroom villas are priced at AED 6.98M and AED 9.36M, respectively.
Saadiyat Island is the second-most sought-after location for acquiring high-end villas in the UAE capital:
- The average sales price-per-square-foot for villa properties in the area increased by 3.60%, standing at AED 1,943.
- DARI statistics show that ready luxury villas worth a total of AED 304M were sold on Saadiyat Island during Q3 2023.
- The prices for villas for sale in Saadiyat Island averaged at AED 8.58M for 4-bed units, AED 17.4M for 5-bed units and AED 27.2M for 6-bed units.
Al Raha Gardens gained significant traction among consumers and potential homeowners in Q3 2023:
- In the third quarter of 2023, the price-per-square-foot for villas for sale in Al Raha Gardens increased to an average of AED 868, reflecting a rise of 2.62%.
- During this period, 4-bed houses in Al Raha Gardens recorded an average sales price of AED 2.93M, with 5-bed and 6-bed units averaging at AED 4.71M and AED 4.40M, respectively.
AL RAHA GARDENS HAS THE HIGHEST RENTAL RETURNS FOR LUXURY VILLAS IN ABU DHABI
Our market report indicates the following areas in Abu Dhabi as showing the highest projected rental yields for high-end villas:
- Al Raha Gardens had the highest ROI – 5.88%
- Yas Island villas boasted an impressive rental yield of 5.33%
- Saadiyat Island villas offered an ROI of 4.27%.
- 4 BEDS
- |
- 6 BATHS
- |
- 6771 SQFT
- 4 BEDS
- |
- 8 BATHS
- |
- 5794 SQFT
- 4 BEDS
- |
- 8 BATHS
- |
- 5794 SQFT
- 2 BEDS
- |
- 3 BATHS
- |
- 1262 SQFT
KEY OFF-PLAN PROJECTS IN ABU DHABI: 2023 Q3 SALES MARKET REPORT FOR ABU DHABI
The UAE capital has been attracting a lot of foreign investments in recent times, which has led to a high demand for off-plan properties in the city. One notable highlight of Q3 2023 is the impressive number of off-plan sales transactions recorded in the UAE capital. DARI data reveals that almost 2,918 transactions took place, propelled by strong demand from buyers, totalling up to AED 12.6 billion in off-plan sales.
The following section of the 2023 Q3 sales market report for Abu Dhabi reveals the most-searched-for areas for off-plan villas and apartments.
MOST POPULAR OFF-PLAN APARTMENTS IN ABU DHABI
PROJECT | AREA | CATEGORY |
|---|---|---|
PROJECT Plaza by Reportage | AREA Masdar City | CATEGORY Affordable |
PROJECT Al Reeman 1 | AREA Al Shamkha | CATEGORY Affordable |
PROJECT Al Ghadeer Phase II | AREA Al Ghadeer | CATEGORY Affordable |
PROJECT City of Lights | AREA Al Reem Island | CATEGORY Luxury |
PROJECT Yas Bay | AREA Yas Island | CATEGORY Luxury |
PROJECT Saadiyat Cultural District | AREA Saadiyat Island | CATEGORY Luxury |
Investors seeking off-plan apartments in Abu Dhabi have expressed a keen interest in the exciting new developments in Yas Island, Masdar City and Al Reem Island. It’s encouraging to see that these projects have garnered attention across both the affordable and luxury sectors, reflecting the healthy state of the UAE capital’s real estate market:
- Off-plan apartment projects popular with budget-conscious investors include Plaza by Reportage in Masdar City and Al Reeman 1 in Al Shamkha.
- Among luxury options, Yas Bay in Yas Island has received significant attention from consumers, along with the Saadiyat Cultural District on Saadiyat Island.
TOP OFF-PLAN VILLA PROJECTS IN ABU DHABI
PROJECT | AREA | CATEGORY |
|---|---|---|
PROJECT Fay Al Reeman 2 | AREA Al Shamkha | CATEGORY Affordable |
PROJECT Noya | AREA Yas Island | CATEGORY Affordable |
PROJECT Yas Acres | AREA Yas Island | CATEGORY Luxury |
PROJECT Saadiyat Lagoons | AREA Saadiyat Island | CATEGORY Luxury |
Those looking for off-plan villas in Abu Dhabi in the affordable sector favoured projects in areas such as Yas Island and Al Shamkha:
- Noya in Yas Island emerged as the most popular choice among investors.
- Fay Al Reeman 2 in Al Shamkha also gained popularity among buyers and home-seekers looking for reasonably priced off-plan villas in the emirate.
Elite homebuyers are demonstrating a keen interest in acquiring off-plan properties situated in the island communities of Abu Dhabi, mainly Yas Island and Saadiyat Island:
- Yas Acres in Yas Island continued to grab the attention of villa buyers.
- Saadiyat Lagoons, located on Saadiyat Island, also remained a popular choice in the luxury segment.
Some off-plan areas mentioned above may have multiple projects or phases. It’s possible that some of them have already been completed and handed over.
That brings us to the end of Bayut’s Abu Dhabi Q3 2023 sales property market report. If you want to know how the capital’s rental market fared throughout the last three months, check out our Abu Dhabi Q3 2023 market report.
Bayut’s Q3 2023 sales market report for Dubai and rental market report for Dubai Q3 2023 are out now! To check out the latest real estate trends in the UAE and stay up-to-date on the market, stay tuned to MyBayut.
Disclaimer: The above Abu Dhabi sales real estate market report (MKTRPTQ32023) is based on prices for ready properties advertised by real estate agencies on behalf of their clients on Bayut.com (excluding room share), and is not representative of actual real estate transactions conducted in Abu Dhabi.
