The Market Watch Report is out, and it’s your chance to learn how the real estate market performed during Q2 2024. You will find all about the transactions in the off-plan and ready/existing markets in Abu Dhabi and Dubai.
Keep reading to unlock the latest insights and trends in the UAE real estate market.
Abu Dhabi
Highlights
- In Abu Dhabi, the real estate and construction sectors are among the main drivers of the government’s economic diversification strategy.
- Also, both sectors hold almost a quarter of the non-oil GDP at 22.1%.
- According to the EIU, property prices have increased by 10%, and they’re expected to increase more in 2024.
- In addition, the foreign investor interest in Abu Dhabi has grown, especially in areas like South Asia and China.
Market Performance
Total Sales Transactions
- Abu Dhabi’s real estate market witnessed a notable decline in total sales transactions in both residential and commercial.
- In Q2 2024, the capital’s real estate market experienced a 1.4% year-on-year decrease in sales transactions, with 2,989 transactions compared to 3,030 in Q2 2023.
- In Q2 2024, the total value of sales transactions reached AED 8 billion, reflecting a slight decrease of 3.6% compared to Q2 2023, as the total value of sales transactions was AED 8.3 billion.
Off-plan Sales Transactions
- During Q2 2024, the off-plan market recorded around 1,272 transactions, compared to 2,088 transactions in the same period last year; this represents 58% of the total transactions compared to 76% of the total transactions in Q2 2023.
Accordingly, it shows a significant YoY decline of 39% in terms of volume.
- In terms of the off-plan sales transaction value, it reached AED 2.6 Billion in Q2 2024, marking 55% of the total sales transaction value.
When compared to Q2 2023, Q2 2024 witnessed a notable decrease of 49% as the total off-plan transactions value was AED 5.1 Billion contributing to 77% of the total value during the same period last year.
Existing/Ready Sales Transactions
- The existing/ready market in Abu Dhabi registered 914 transactions in Q2 2024, which constitutes around 42% of the total transactions compared to 650 which represented 24% of total transactions in Q2 2023.
This shows a significant increase of 41% from Q2 2023.
- In terms of value, the existing/ready market reached AED 2.1 billion in transactions, contributing 45% of the total sales transaction value compared to 23% in Q2 2023.
- The existing/ready transaction value also witnessed a notable increase of 40% compared to AED 1.5 Billion in Q2 2023.
High-in-Demand Areas for Sale and Rent in Q2 2024
| Apartments for Sale | Villas for Sale | Apartments for Rent | Villas for Rent |
| Al Raha Beach | Al Reef | Al Khalidiya | Khalifa City |
| Al Reem Island | Al Reem Island | Al Raha Beach | Mohamed Bin Zayed City |
| Masdar City | Khalifa City | Al Reem Island | Yas Island |
| Saadiyat Island | Saadiyat Island | Corniche Road | Madinat Al Riyad |
| Yas Island | Yas Island | Khalifa City | Shakhbout City |
Property Sales Prices in Abu Dhabi
The table below shows the average asking prices for apartments in Abu Dhabi in Q2 2024:
| Area | One Bedroom | Two Bedrooms | Three Bedrooms |
| Al Raha Beach | AED 1,260,000 | AED 1,800,000 | AED 2,700,000 |
| Al Reem Island | AED 867,000 | AED 1,500,000 | AED 2,200,000 |
| Masdar City | AED 680,000 | AED 980,000 | AED 1,650,000 |
| Saadiyat Island | AED 2,550,000 | AED 5,500,000 | AED 9,000,000 |
| Yas Island | AED 1,050,000 | AED 1,850,000 | AED 2,484,000 |
The table below shows the average asking prices for villas in Abu Dhabi in Q2 2024:
| Area | Three Bedrooms | Four Bedrooms | Five Bedrooms |
| Al Reef | AED 1,605,000 | AED 2,230,000 | AED 2,550,000 |
| Al Reem Island | AED 3,500,000 | AED 4,560,000 | AED 7,200,000 |
| Khalifa City | AED 3,000,000 | AED 3,780,000 | AED 6,000,000 |
| Saadiyat Island | AED 10,000,000 | AED 12,000,000 | AED 18,950,000 |
| Yas Island | AED 3,700,000 | AED 6,150,000 | AED 7,000,000 |
Property Rental Prices in Abu Dhabi
The table below shows the average rental prices for apartments in Abu Dhabi in Q2 2024.
| Area | One Bedroom | Two Bedrooms | Three Bedrooms |
| Al Khalidiya | AED 60,000 | AED 85,000 | AED 115,000 |
| Al Raha Beach | AED 80,000 | AED 120,000 | AED 150,000 |
| Al Reem Island | AED 70,000 | AED 95,000 | AED 130,000 |
| Corniche Road | AED 92,000 | AED 127,500 | AED 165,000 |
| Khalifa City | AED 45,000 | AED 75,000 | AED 95,000 |
The table below shows the average rental prices for villas in Abu Dhabi in Q2 2024:
| Area | Three Bedrooms | Four Bedrooms | Five Bedrooms |
| Khalifa City | AED 157,000 | AED 180,000 | AED 200,000 |
| Mohamed Bin Zayed City | AED 100,000 | AED 135,000 | AED 155,000 |
| Yas Island | AED 210,000 | AED 280,000 | AED 350,000 |
| Madinat Al Riyad | AED 120,000 | AED 138,000 | AED 160,000 |
| Shakhbout City | AED 115,000 | AED 145,000 | AED 180,000 |
Dubai
Highlights
- The real estate market in Dubai during Q2 2024 witnessed notable achievements by recording the highest ever volume and value of transactions.
- The total number of transactions increased by 45%, reaching 43,522 transactions, compared to the same period last year.
- Moreover, the transaction value increased by 37%, totalling AED 124.4 billion.
- The market volume reached a new peak, exceeding the previous high from Q1 2024 by 17%. Additionally, the transaction value surpassed the previous peak of Q4 2023 by 2%.
Market Performance
Sales Transactions – Volume Q2 2024
- According to the Dubai Land Department (DLD), in Q2 2024, Dubai witnessed a notable surge in total sales transactions.
- The number of transactions reached an all-time high for the quarter, with 43,522 transactions compared to 30,056 in Q2 2023, marking a significant increase of 45%.
- The volume of existing/ready sector transactions was 39.6% of the total sales transactions, compared to 51.4% in Q2 2023.
- Additionally, off-plan transactions accounted for 60.4% of the total sales transactions, compared to 48.6% in Q2 2023.
- The off-plan sector in Dubai experienced an 80% YoY growth in Q2 2024, with 14,596 transactions in Q2 2023.
- The existing/ready market in Dubai recorded almost 17,254 transactions in Q2 2024, which reflects an 11.6% YoY increase compared to about 15,460 transactions in Q2 2023.
Sales Transactions – Value Q2 2024
- The sales transactions recorded the highest value ever for a quarter and the best performance for Q2. This is by reaching AED 124.4 billion, reflecting an increase of 37.3% YoY compared to AED 90.61 billion in Q2 2023.
- In Q2 2024, the existing/ready sector’s transactions value had a share of 57.2% in the total sales transactions compared to 61.9% in Q2 2023. On the other hand, the off-plan transactions contributed to 42.8% of the total sales transactions compared to 38.1% in Q2 2023.
- The Off-plan strong performance continues to strengthen Dubai’s real estate market, setting it on track to surpass all previous historical peaks in 2024.
- The value of the off-plan transactions reached a high record of AED 53.2 billion, surpassing the previous peak of 34.5 billion in Q2 2023, reflecting a 54.2% increase, and 19.5% compared to Q1 2024.
- In terms of value, the existing/ready transactions reached AED 71.2 Billion in Q2 2024, showing a significant increase of 27%, compared to AED 56.1 billion in Q2 2023.
This records the second-highest transaction value ever.
Total Rental Contracts
- In Q2 2024, rental contracts witnessed a YoY increase of 19.7%, with 157,110 contracts registered compared to 131,293 contracts in Q2 2023.
- According to the Dubai Land Department (DLD) data, during Q2 2024, the total rental contracts
- 56% were new
- 44% were renewals.
- 94.3% of the total contracts were annual contracts, while in Q2 2023, it was 91.2%. For the non-annual contracts, they decrease by 3%, representing 5.7% of the total contracts.
- The total rental contracts were divided into 61.8% residential contracts, 38.2% for commercial purposes, and others.
New Rental Contracts
- The new contracts in Q2 2024 witnessed a significant increase of 25.5%; it registered 87,924 transactions compared to 70,074 contracts in Q2 2023.
- Accordingly, the contribution of new contracts increased by 2.5%, representing 56% of the total contracts compared to 53.3% in Q2 2023.
Top 10 Areas of New Rental Contracts Q2 2024
- Jabal Ali Industrial First
- Al Mararr
- Muhaisanah Second
- Al Khabeesi
- Al Muteena
- Al Goze Industrial Second
- Business Bay
- Al Goze Third
- Al Barsha South Fourth
- Saih Shuaib 3
Renewed Rental Contracts
- The renewed contracts registered 69,186 transactions in Q2 2024, showing a notable increase of 13% compared to 61,219 contracts in Q2 2023.
- The contribution of renewed contracts declined by approximately 2.5%, now accounting for about 44% of the total contracts, compared to 46.6% in Q2 2023.
Top 10 Areas of Renewed Contracts Q2 2024
- Al Warsan First
- Jabal Ali First
- Nadd Hessa
- Al Goze Industrial Second
- Al Nahda Second
- Al Karama
- Al Barsha First
- Naif
- Jabal Ali Industrial First
- Al Murqabat
High-in-Demand Areas for Sale and Rent in Q2 2024
The following table includes the top options for owning or renting an apartment or villa in Dubai.
| Apartments for Sale | Villas for Sale | Apartments for Rent | Villas for Rent |
| Business Bay | Al Furjan | Business Bay | Al Barsha |
| Downtown Dubai | Arabian Ranches | Deira | Damac Hills 2 |
| Dubai Marina | Dubai Hills Estate | Downtown Duba | Dubai Hills Estate |
| Jumeirah Village Circle | Palm Jumeirah | Dubai Marina | Jumeirah |
| Palm Jumeirah | Dubai South (Dubai World Central) | Jumeirah Village Circle | Umm Suqeim |
Property Sales Prices in Dubai
The table below shows the average asking prices for apartments in Dubai in Q2 2024:
| Area | One Bedroom | Two Bedrooms | Three Bedrooms |
| Business Bay | AED 1,650,000 | AED 2,550,000 | AED 4,250,000 |
| Downtown Dubai | AED 2,175,000 | AED 3,930,000 | AED 6,300,000 |
| Dubai Marina | AED 1,600,000 | AED 2,800,000 | AED 4,500,000 |
| Jumeirah Village Circle | AED 1,050,000 | AED 1,573,000 | AED 2,100,000 |
| Palm Jumeirah | AED 3,321,000 | AED 5,000,000 | AED 8,250,000 |
The table below shows the average asking prices for villas in Dubai in Q2 2024:
| Area | Three Bedrooms | Four Bedrooms | Five Bedrooms |
| Al Furjan | AED 3,400,000 | AED 4,550,000 | AED 7,400,000 |
| Arabian Ranches | AED 5,150,000 | AED 7,500,000 | AED 11,500,000 |
| Dubai Hills Estate | AED 6,800,000 | AED 8,100,000 | AED 14,000,000 |
| Palm Jumeirah | AED 18,6509,000 | AED 31,230,000 | AED 46,000,000 |
| Dubai South (Dubai World Central) | AED 2,592,751 | AED 3,380,000 | AED 4,889,000 |
Property Rental Prices in Dubai
The table below shows the average rental prices for apartments in Dubai in Q2 2024:
| Area | One Bedroom | Two Bedrooms | Three Bedrooms |
| Business Bay | AED 100,000 | AED 150,000 | AED 225,000 |
| Deira | AED 61,500 | AED 74,100 | AED 105,900 |
| Downtown Dubai | AED 135,000 | AED 247,000 | AED 353,000 |
| Dubai Marina | AED 110,000 | AED 170,000 | AED 260,000 |
| Jumeirah Village Circle | AED 75,000 | AED 115,000 | AED 140,000 |
The table below shows the average rental prices for villas in Dubai in Q2 2024:
| Area | Three Bedrooms | Four Bedrooms | Five Bedrooms |
| Al Barsha | AED 285,000 | AED 335,000 | AED 440,000 |
| Damac Hills 2 | AED 100,000 | AED 120,000 | AED 155,000 |
| Dubai Hills Estate | AED 260,000 | AED 300,000 | AED 385,000 |
| Jumeirah | AED 350,000 | AED 480,000 | AED 620,000 |
| Umm Suqeim | AED 250,000 | AED 360,000 | AED 445,000 |
Mo’asher
Sales Price Index
- In Q2 2024, the overall quarterly Index for sales recorded 1.71, and the Index for the price was AED 1,534,768.
- The quarterly sales Index recorded
- 1.851 for apartments
- 1.708 for villas/townhouses
- The quarterly Index price reached
- AED AED 1,504,979 for apartments
- AED 2,922,628 for villas/townhouses
Rent Price Index
- In Q2 2024, the overall quarterly Index for sales reached 1.155, and the Index for price reached AED 61,038.
- The quarterly rental Index recorded
- 1.182 for apartments
- 1.034 for villas/townhouses
- The quarterly Index price reached
- AED 56,374 for apartments
- AED 157,802 for villas/townhouses
For more extra insights and data, you can download the full report from the following link.
