Today's Edition
ABU DHABI (ALETIHAD)
Real estate properties have seen steady growth in prices and rental incomes in 2024, according the annual property report released by Bayut, a leading property portal.
The report highlighted the emirate’s diverse offerings in affordable and luxury properties, and their sales and rentals.
Apartment Sales
Al Reem Island emerged as the leading choice for affordable yet upscale apartment buyers, with Al Reef and Al Ghadeer also gaining popularity. Property prices in this segment experienced an upward trend, with most areas seeing increases between 2% and 20%. Al Ghadeer recorded the highest growth at 19.8%, reflecting its rising appeal, while Baniyas reported a 1.92% price decline.
Al Raha Beach was the top-searched location for luxury apartment purchases, followed by Yas Island and Saadiyat Island. Prices in this segment rose by 5% to 32%, with Saadiyat Island recording a remarkable 32.4% increase.
Villa Sales
Al Reef was the most sought-after community for affordable villas, alongside Khalifa City and Abu Dhabi Gate City. Prices rose between 6% and 18%, with Al Ghadeer showing a significant 17.4% increase. In contrast, Khalifa City and Abu Dhabi Gate City saw minor declines of less than 2%. For luxury villas, Yas Island led the market, with prices surging by 2% to 23%, the highest being a 22.1% increase on Yas Island.
Rental Market
Al Reem Island, Khalifa City, Al Khalidiyah, Al Muroor, and Al Shamkha were the top areas for affordable apartment rentals, with double-digit price increases of up to 20%. Luxury rentals also saw strong demand, particularly in Al Raha Beach, Corniche Area, Saadiyat Island, and Yas Island. Rental costs for 1-bedroom luxury apartments rose by over 25% on Saadiyat Island and Yas Island.
ROI
Al Reef offered the highest return on investment (RoI) of 8.64% for budget apartments, while Yas Island led in luxury apartments with a 7.07% RoI. For villas, Hydra Village topped the affordable category with an RoI of 8.09%, while Yas Island offered a 6.28% RoI in the luxury segment.
Off-Plan Developments
Key off-plan projects included City of Lights and Al Reeman 1 in the affordable apartment category and Yas Bay and Saadiyat Lagoons for luxury properties.
These projects underscored the emirate's commitment to catering to diverse market demands.
Haider Ali hanK, CEO of Bayut, said: “2024 has been an incredible year for Abu Dhabi’s real estate market. The growing interest in high-end properties also reflects Abu Dhabi’s evolution into a global city that offers an unparalleled quality of life, while the increasing availability of affordable options ensures the city remains inclusive and accessible.”
Looking ahead, the Bayut CEO said: “Both the off-plan and ready markets appear set for an exciting year. With many new projects in the pipeline and a significant number of handovers from late 2024, Abu Dhabi is well-positioned to further solidify its reputation as a premier destination for investors and residents alike.”
