The Abu Dhabi secondary property market is experiencing remarkable growth, with transaction values soaring by 53% in the first quarter of 2025, reaching AED 5.04 billion compared to AED 3.3 billion during the same period last year. This surge reflects a dynamic shift in the UAE real estate sector, driven by robust demand from both local end-users and foreign investors. As the appetite for ready-to-move-in properties continues to rise, the resilience and maturity of Abu Dhabi’s real estate landscape become increasingly evident.
According to data from Metropolitan Capital Real Estate (MCRE), the secondary market now accounts for 11.4% of the emirate’s total real estate sector. This substantial increase underscores the growing interest among international buyers seeking high-yield investment opportunities in a thriving market.
“The performance of Abu Dhabi’s secondary real estate market in the first quarter of 2025 is truly exceptional, demonstrating the underlying strength and increasing maturity of the emirate’s property sector. The significant growth in transaction value and volume highlights the high demand for ready properties and Abu Dhabi’s continued attractiveness for international investors, drawn by favorable returns and the emirate’s appealing lifestyle,” said Evgeny Ratskevich, CEO of Metropolitan Capital Real Estate.
International Investors Propel Growth in Abu Dhabi’s Property Market
In a noteworthy development, MCRE has outperformed the broader market, achieving a remarkable 152% year-on-year surge in sales value, thereby capturing 21% of Abu Dhabi’s freehold residential secondary market. The firm aims to elevate its market share to 25% by the end of 2025.
A key highlight from this quarter was the AED 83 million sale of an impressive seven-bedroom villa on Saadiyat Island, featuring direct sea access. This transaction, facilitated by luxury property expert Natalia Kushparenko, underscores the escalating demand for upscale lifestyle communities within the capital.
Luxury Villas Lead the Charge in Abu Dhabi’s Secondary Market
The residential secondary market has seen sales values increase by 15%, now reaching AED 2.74 billion in Q1 2025, up from AED 2.38 billion in Q1 2024. This growth is reflected in the number of transactions, which increased from 972 to 992 during the same timeframe.
Notably, villa and townhouse sales have exhibited significant growth; townhouse sales experienced a staggering 142% increase, rising to AED 76.89 million in Q1 2025 from AED 31.71 million in Q1 2024. Meanwhile, villa sales rose by 15% to AED 1.47 billion, compared to AED 1.27 billion last year.
In contrast, apartment sales saw modest growth of 7%, reaching AED 899.33 million in Q1 2025 versus AED 840.69 million in Q1 2024. UAE nationals dominated the market in Q1 2025, accounting for 21% of secondary transactions, followed by Russian nationals at 10%, UK nationals at 9%, and Indian buyers at 8%.
Yas Island emerged as the most active area, recording 266 transactions worth AED 755 million, followed closely by Al Reem Island, with 195 transactions totaling AED 275 million, Al Reef with 127 transactions at AED 151 million, and Saadiyat Island with 113 transactions accumulating AED 909 million.
MCRE anticipates that the secondary market will sustain its vigorous growth throughout 2025, particularly in desirable lifestyle areas like Saadiyat, Yas, and Al Reem Islands. The company expects that international capital will continue to flow into Abu Dhabi due to escalating global geopolitical and economic uncertainties, further solidifying the emirate’s reputation as a stable growth market in the UAE real estate landscape.