Market Watch Q2 2023

EDEN'S REALTORS
Office
August 1, 2023

Having an updated overview of the UAE real estate market’s status is surely something important; it allows you to take decisions regarding renting, buying, or investing based on data and insights. 

Through this quick and inclusive guide, you will know all about the market’s performance and trends during Q2 2023.

Highlights

Find below the highlights of the market during the second quarter of 2023.

  • The market witnessed a significant increase in transactions which shows the investors’ confidence, owing to the government’s ongoing efforts to enhance regulatory frameworks and investment environments.
  • The off-plan market continues to support real estate growth across both emirates: Abu Dhabi and Dubai, with significant increases in sales transactions and value expected to sustain in the coming months.

Abu Dhabi 

Highlights

  • The solid investor confidence in addition to notable uptake of new projects and the introduction of innovative developments in Abu Dhabi led to an increase in the sales transaction year-on-year in Q2 2023. 

    This was a result of 1,838 off-plan transactions during this quarter, as compared to 947 transactions in Q2 2022.

  • Total Sales Transactions

    • The total sales transactions (Residential and Commercial) in Abu Dhabi increased by 57.7% in Q2 2023, as transactions during this quarter reached 2,635, while in Q1 of 2022, it was 1,671.
    • The share of the residential transactions was 97.6% of the total volume and about 89% of the total value.
    • In terms of volume: the residential transactions reached 2,573 during Q2 2023, which shows a significant YoY increase of 65%, compared to 1,559 during the same quarter last year. 
    • In terms of value: it amounted to AED 6.5 billion, compared to AED 3.7 billion last year during the same period, achieving an increase of 78%. 

    Off-plan Sales Transactions 

    • In Q2 2023, the off-plan market continued its support of Abu Dhabi’s real estate market. It witnessed 1,838 off-plan sales transactions in Q2 2023, while in Q2 2022, it had only 947 transactions. 

      This represents 71.4% of the total transactions; on the other hand, Q2 2022’s total sales transactions were 60.7%, which reflects an astonishing increase. 
    • This shows a significant YoY increase of 94.1% when it comes to volume and 118% in terms of value compared to Q2 2022. 
    • The value of the off-plan sales transactions amounted to AED 4.704 billion, compared to AED 2.157 billion in Q2 2022.
    • The market also witnessed a decrease of 4.3% in the off-plan transaction value in Q2 2023 compared to Q1 2023.
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