Abu Dhabi's residential property market recorded a drop in transaction volumes but a sharp rise in high-value deals during the third quarter of 2026, according to new data from Savills Middle East. The emirate saw 6,085 residential transactions worth a combined Dh21.5 billion in Q3, down 19 percent quarter-on-quarter and 7 percent year-on-year by volume — even as total sales value climbed 32 percent compared with the same period last year.
The standout trend is the surge in luxury demand. Transactions above Dh10 million reached 582 deals, up 104 percent year-on-year and 35 percent quarter-on-quarter. Off-plan units accounted for 95 percent of those high-value sales.
Off-plan properties now make up 81 percent of all residential transactions in Abu Dhabi, with the average off-plan unit priced at Dh5 million — up 15 percent on the previous quarter and 40 percent year-on-year. Ready properties averaged Dh2.8 million.
Average apartment prices reached Dh22,700 per square metre, up 9 percent annually, while villa and townhouse prices rose 8 percent to Dh18,200 per square metre. Foreign buyers accounted for 70 percent of total residential sales value in the first half of 2026.
"What we're seeing is a shift towards higher-value purchases, particularly in the off-plan and luxury segments, where demand remains strong," said Rachael Kennerley, Director of Research at Savills Middle East. She said the dip in transaction volumes reflects buyers becoming more selective about location and investment value, rather than a genuine slowdown in demand for Abu Dhabi real estate.