Abu Dhabi Residential Market Surges to 12-Month Transaction Peak in Q3: Savills
Residential transactions in Abu Dhabi reached a 12-month high in the third quarter of 2025, driven by population growth and new project launches.
Riyadh: Abu Dhabi's housing market saw a remarkable surge with over 6,500 transactions recorded in the third quarter of 2025, marking the highest activity in a year.
This uptick can be largely attributed to increasing population and the introduction of numerous off-plan sales, particularly on Fahid Island, Saadiyat Island, and within Bloom Living developments.According to Savills, a leading real estate services firm, residential deals rose significantly from approximately 4,000 transactions in Q2 and 3,700 in Q1.
Off-plan transactions comprised an impressive 77% of total activity during this period, surpassing the 12-month average of 64%.
This shift underscores a strong demand for upcoming developments and the strategic appeal of these projects.Earlier this month, ValuStrat also reported that Abu Dhabi's real estate market experienced its strongest growth on record in Q3.
Factors contributing to this surge include rising residential values, firmer rental rates, robust demand, and high levels of off-plan activity.
Andrew Cummings, head of Residential Agency at Savills Middle East, noted the enduring attraction of Abu Dhabi for both domestic and international investors.
He emphasized that well-designed, high-quality homes are in high demand due to evolving lifestyle preferences.Abu Dhabi's solid fundamentals, growing roster of global developers, and expanding inventory of branded residences have further entrenched its position as a key regional hub for quality real estate investment.
The average sales rate across the emirate increased by 16% year-on-year to 17,394 dirhams ($4,736) per square meter in Q3, supported by robust end-user demand and limited ready supply.During this period, apartments accounted for 78% of total transactions, highlighting their popularity within the market.
Developers launched 21 projects, totaling over 5,700 units, during Q3, attracting regional and international players such as Sobha Realty, Mered, and Mira Developments.
The branded residence segment saw sustained interest from high-net-worth buyers.Savills also noted that supply shortages continue to hinder the market's ability to meet expanding demand, thereby supporting ongoing price resilience.
Ali Ishaq, head of Residential Agency at Savills Middle East, pointed out that supply constraints and steady population growth have spurred healthy price appreciation across prime and emerging districts in Abu Dhabi.
He further stated that initiatives such as the Madhmoun system are bolstering investor confidence, paving the way for sustained positive momentum into 2026.