The first quarter of this year saw a little over 3,300 transactions worth more than Dh11.3 billion, indicating that Abu Dhabi’s real estate market is off to a solid start. According to Zoom Property Insights, the second quarter will end in a similar manner, laying the stage for a successful 2022.
In Abu Dhabi, 6,000 residential units will be delivered by 2021. However, in 2022, the quantity will surpass this year, with roughly 7,000 units scheduled to be delivered. As a result, housing prices will rise in the second half, but at a slower pace. The demand for luxury residences in island communities such as Yas Island and Saadiyat Island will continue to climb in the second half, according to Zoom Property Insights.
Due to new mega-developments, Etihad rail expansion, and rising oil prices, Ata Shobeiry, CEO of Zoom Property, predicts the Abu Dhabi property market will perform well in the second half of 2022.
He said, “with the launch of many new developments along with the expansion of Etihad Rail, the emirate aims to capitalize on this upward trend and produce favorable results in the second half of the year. In addition, the higher oil prices will enable the government to diversify its resources. This will benefit many sectors across the emirate, including the real estate market.”
Top areas for apartments and villas
Masdar City, Al Reef, Baniyas, and Al Ghadeer are the popular neighborhoods for affordable flats in Abu Dhabi, according to current trends. Saadiyat Island topped the list of neighborhoods for luxury flats, with a price per square foot of about Dh1,550. Yas Island and Al Raha Beach came in second and third, with Dh1,270 and Dh1,220, respectively. According to Zoom Property Insights, these communities will continue to rise in value over the second half of the year.
During the second quarter of 2022, customers are predicted to pick Hydra Village, Al Reef, Khalifa City A, Saadiyat Island, Al Raha Gardens, and Yas Island for villas.
The Abu Dhabi property market is forecast to develop steadily through 2022 and beyond, following a solid rebound over the previous 12 to 18 months.
“The real estate market in Abu Dhabi has a promising outlook as international investors in general and European buyers, in particular, have shown interest in the emirate’s residential, commercial and industrial projects, generating huge demand in the sector during the first five months of 2022. This trend is expected to continue in the second half and we may see more promising sales numbers by year-end,” Shobeiry concluded.