- Abu Dhabi’s real GDP reached AED 1.2 trillion in 2024, growing 3.8% year-on-year, driven primarily by a 6.2% expansion in the non-oil sector. The IMF projects further growth of 4.2% in 2025 and 5.8% in 2026, supported by diversification efforts, low inflation, and a strong trade surplus.
- Residential sales in Abu Dhabi City totaled approximately 1,300 in Q1 2025, down 63.2% quarter-on-quarter and 34.4% year-on-year. The slowdown reflects seasonal effects (Ramadan/Eid) and fewer new off-plan project launches.
- Apartments accounted for 65.7% of sales but saw transaction volumes drop over 50% both quarterly and annually. In contrast, villas and townhouses showed greater resilience, buoyed by end-user preference for larger homes and established communities.
- Apartment sale prices rose 4.1% quarter-on-quarter and 12.3% year-on-year Villa prices increased 2.4% quarterly and 12.5% annually. Average apartment rental rates grew 3.2% quarter-on-quarter and 12.8% year-on-year, driven by population growth and limited supply.
- Around 600 units were delivered in Q1 2025, with an additional 11,900 expected by year-end and 7,000 more in 2026. However, sustained population growth, government residency initiatives, and employment expansion are likely to keep demand ahead of supply.
