Abu Dhabi Real Estate Hit Record $38.67 Billion in Transactions for 2025

Abu Dhabi Real Estate Hits Record $38.67 Billion in Transactions for 2025

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Abu Dhabi real estate hits record $38.67B in transactions. A landmark year for property investment and real estate advisory.

Abu Dhabi recorded AED 142 billion ($38.67 billion) in real estate transactions in 2025 - a 44% rise in value and 52% increase in volume year-on-year.
The Abu Dhabi Real Estate Centre (ADREC) published the results on 19 February 2026, confirming 42,814 total transactions across the year.
Foreign direct investment reached AED 8.2 billion, with investors from more than 100 nationalities participating - and foreign buyers accounting for 72% of activity in designated investment zones.
High-net-worth individuals showed sharply stronger intent to buy, with 75% of those worth $30-50 million eyeing Abu Dhabi property.
Residential prices rose 13% across 2025, marking 22 consecutive quarters of market growth, while off-plan sales are forecast to exceed AED 120 billion in 2026.
Real estate contributed AED 21.9 billion to Abu Dhabi's non-oil GDP in H1 2025, a 9% annual increase, underscoring the sector's strategic economic role.

ADREC Data Confirms Abu Dhabi as a Maturing Global Real Estate Market

The Abu Dhabi Real Estate Centre (ADREC), the emirate's official real estate regulator, released comprehensive 2025 performance data on 19 February 2026, confirming a year of record-breaking activity. The headline figures reflect not only strong transaction volumes but also a deepening structural shift - one that positions Abu Dhabi's property market as a significant driver of non-oil GDP diversification, a central pillar of the emirate's long-term economic strategy.

For advisors and investors, the data carries important implications across several fronts: the continued expansion of Abu Dhabi's designated investment zones, the evolving role of the UAE Golden Visa in driving long-term property ownership, and a rising tide of foreign direct investment (FDI) that is reshaping demand patterns across residential and commercial segments alike.

Record Transactions Across Sales and Mortgage Activity

Abu Dhabi's real estate market closed 2025 with AED 142 billion in total transactions across 42,814 deals - its highest ever annual performance. Sales and purchases accounted for AED 99.4 billion from 25,604 transactions, while mortgage activity contributed AED 42.7 billion from a further 17,210 deals. According to Zawya, ADREC described the split as reflecting healthy end-user demand alongside sustained confidence from financial institutions.

The growth trajectory was consistent throughout the year. Total deals reached AED 54 billion in H1 2025, a 42% surge year-on-year, before accelerating further in the second half. By the end of the first nine months, the market had already recorded AED 94 billion across 29,400 transactions - a 43.3% year-on-year increase - leaving the final quarter to push the full-year figure to its record level.

Foreign Investment Drives Activity in Designated Zones

Foreign direct investment in Abu Dhabi real estate reached AED 8.2 billion in 2025, up 13% from the previous year. Investors from more than 100 nationalities participated, with the largest contributions coming from Russia, China, the UK, the US, France, and Kazakhstan. The breadth of this investor base signals sustained international appetite for Abu Dhabi property as a capital-preservation and residency-linked asset class.

Investment zones drew particularly strong international interest. Foreign buyers accounted for 72% of all real estate transactions in those designated areas, with total investment in zones reaching AED 54.13 billion - a 65% increase in value compared to AED 32.89 billion in 2024, according to Al Etihad. FDI by individuals rose 35% to AED 6.2 billion ($1.68 billion) through Q3 2025 alone, reinforcing the trend toward direct personal ownership rather than institutional or fund-based investment.

High-Net-Worth Demand Accelerates

Data from Khaleej Times indicates a marked shift in sentiment among high-net-worth individuals (HNWIs - typically defined as those holding investable assets above $1 million). About 19% of HNWIs planned to purchase property in Abu Dhabi in 2025, up from 14% the previous year. Intent was even more pronounced at the upper end: 75% of individuals worth $30 million to $50 million were considering Abu Dhabi property purchases, while 65% of those worth more than $50 million planned to buy in the capital.

The UAE Golden Visa has become a significant catalyst for this demand. Investors who acquire Abu Dhabi property valued at AED 2,000,000 or more - free of any mortgage, or with equity of at least AED 2,000,000 where a national bank mortgage is used - qualify for a 10-year residency visa. This long-term residency framework, combined with Abu Dhabi's transparent regulatory environment, has reinforced its appeal as a wealth-preservation destination for global capital.

Real Estate and Non-Oil GDP Growth

The real estate sector's contribution to Abu Dhabi's economic diversification is increasingly measurable. Real estate activities contributed AED 11.7 billion to output in Q2 2025 alone, a 10.2% annual increase, and the sector accounted for 3.8% of GDP for that period, according to Abu Dhabi's Statistics Centre (SCAD). Combined with construction, the two sectors contributed AED 79.5 billion ($21.8 billion) - representing 24% of Abu Dhabi's non-oil GDP in H1 2025.

H.E. Engineer Rashed Al Omaira, Director-General of ADREC, linked the results directly to governance quality. He stated that the 2025 outcomes reflect a market "deliberately shaped around trust, clarity, and long-term confidence," and described ADREC's mandate as moving the sector "beyond activity and into maturity." Abu Dhabi's overall economy grew 3.8% in Q2 2025, driven by 6.6% growth in non-oil sectors, with construction activity rising 9.7% to AED 30 billion.

Supply Pipeline and the 2026 Outlook

ADREC registered 56 new real estate development projects in 2025 and issued licences to 3,566 real estate professionals - a 57.7% annual increase. Residential prices rose 13% across the year, marking 22 consecutive quarters of uninterrupted market growth. The pipeline heading into 2026 stands at an estimated 16,362 units, though actual handovers are expected to number around 6,500 units due to delayed deliveries, with projected occupancy of 90%.

Forecasts for 2026 are notably strong. Off-plan sales are projected to exceed AED 120 billion ($32.7 billion), with off-plan unit sales expected to rise 20-50% year-on-year. Arabian Business reports that around 11,000 residential units are scheduled for delivery in 2026. Capital values are projected to rise 16% in the housing segment, while office rents are forecast to surge by 20%. Abu Dhabi's broader economy is set to grow approximately 5% in 2026, with inflation forecast near 2%, providing a supportive macroeconomic backdrop for continued real estate activity.

What Clients are Asking their Advisors

What is the Abu Dhabi Real Estate Centre and what role does it play?

The Abu Dhabi Real Estate Centre (ADREC) is the official regulator and custodian of Abu Dhabi's real estate sector. It oversees governance, licensing, data publication, and the regulatory framework that governs property transactions across the emirate.

How much do I need to invest in Abu Dhabi property to qualify for the UAE Golden Visa?

To qualify for a 10-year UAE Golden Visa through real estate, you must own property valued at a minimum of AED 2,000,000 free of any mortgage. If you are purchasing with a mortgage from a UAE national bank, your equity stake must still reach at least AED 2,000,000 on a property worth more than AED 2,000,000.

Which nationalities are investing most in Abu Dhabi real estate?

Investors from more than 100 nationalities participated in Abu Dhabi's real estate market in 2025. The most significant contributions came from Russia, China, the UK, the US, France, and Kazakhstan, according to data released by ADREC.

Is Abu Dhabi's real estate market at risk of oversupply in 2026?

Near-term oversupply risk appears limited. Although a residential pipeline of around 16,362 units is scheduled, actual handovers in 2026 are expected to reach only around 6,500 units due to delivery delays. With projected occupancy at 90% and population growth above 5%, demand is expected to continue outpacing supply.