As the UAE real estate market continues to evolve, both cities are showing resilience and growth, positioning the region as a dynamic and attractive destination for global investors.
UAE Real Estate Market Achieves Milestone Growth in 2024
The UAE’s property sector has showcased exceptional performance throughout 2024, with notable advancements in both Dubai and Abu Dhabi, according to data shared by leading property platform Property Finder.
Dubai set new records for real estate transactions in both volume and value, while Abu Dhabi’s market maintained steady growth with impressive results despite operating at a more conservative scale.
Cherif Sleiman, Chief Revenue Officer at Property Finder, described 2024 as “a landmark year for UAE real estate, marked by unprecedented transaction milestones.” He further emphasized that the sector’s momentum is projected to persist into 2025, fueled by the expanding off-plan market in Dubai and the evolving property landscape in Abu Dhabi.
“The introduction of initiatives like the Dubai Land Department’s Smart Rental Index reflects the UAE’s commitment to transparency and reliability within the property market,” Sleiman added.
Key Highlights of 2024
Dubai: A Record-Breaking Year
- Total transactions: 180,987, valued at Dhs522.5bn.
- Transaction volume rose by 36.5%, while transaction value grew by 27.2% compared to 2023.
- Off-plan sales dominated, accounting for 60.5% of all transactions, a sharp increase from 43.6% in 2023.
- Off-plan transaction volume reached 109,527, marking a 60.6% increase from 2023.
- The value of off-plan sales soared by 43.5%, totaling Dhs228.03bn, compared to Dhs159bn in the previous year.
Abu Dhabi: Consistent Progress
- Total transactions: 14,662, valued at Dhs47.92bn.
- Transaction volume increased by 4% compared to 2023.
- Residential properties made up 66% of the transaction volume and 53% of the total value.
- Existing property transactions grew by 53.4%, with 4,320 transactions, valued at Dhs9.27bn, a 34.7% YoY increase.
Off-Plan Market Leads the Way
Off-plan sales were the driving force behind growth in both cities:
- In Dubai, off-plan transactions accounted for 60.5% of total activity, totaling 109,527 transactions worth Dhs228.03bn, setting all-time records for both volume and value.
- In Abu Dhabi, off-plan deals comprised 55.5% of all transactions, with 5,385 transactions valued at Dhs16.34bn, representing 63.8% of the total residential sales value.
Existing Property Market Performance
Both cities witnessed significant growth in the ready property sector:
- Dubai recorded a 10.9% rise in existing property transactions, totaling 71,460 transactions worth Dhs294.5bn, a 16.9% increase from 2023.
- Abu Dhabi saw a remarkable 53.4% YoY increase, with 4,320 transactions valued at Dhs9.27bn, reflecting a 34.7% growth in transaction value.
Expert Perspectives on the 2025 Outlook
Market leaders anticipate continued success for UAE real estate in 2025:
- Mark Richards, CEO of The Network, predicts strong demand fueled by population growth and limited supply, with 50,000–60,000 new residents expected annually. Despite 41,000 new units projected for 2025, only 5,000 villas and townhouses are anticipated, highlighting a supply gap in premium segments.
- Sam McCone, Managing Partner of McCone Properties, noted an increasing focus by private developers on premium-quality properties, emphasizing refined design and craftsmanship to meet the evolving needs of buyers and tenants.
- Abdullah Alajaji, Managing Director of Driven Properties, observed rising demand for affordable homes and smaller units alongside sustained interest in luxury properties and off-plan developments, reflecting strong investor confidence heading into 2025.
