2025 was the strongest year on record for Abu Dhabi’s property market (Savills) with residential sales rising by 67%. This growth has carried forward in 2026 where despite regional geopolitical tensions, transactions surged by a whopping 161% in Q1, doubling on 2025s levels in both value and volume. 

Foreign investment drove 69% of the market’s growth in 2025, highlighting the global confidence in Abu Dhabi. Non-resident FDI purchases increased by 12x between 2019-2024 led by buyers from China, the USA, the UK and Russia. Research by Savills in 2025 showed that Abu Dhabi had become one of the top two global cities for HNWIs to live and work.

Abu Dhabi’s market stability is underpinned by a carefully controlled supply pipeline. Between 2022-2024 demand was estimated to be rising around 6% annually, outpacing the 4.5% increase in supply (Adrec), thereby avoiding construction gluts and speculative scenarios that have affected other emirates.

The market is increasingly bifurcated between high-volume mainstream districts and high-value luxury zones, which meet the emirate’s different pools of tenant demand. Those looking for liquidity and volume should focus on Al Reem and Yas Islands whilst Saadiyat Island’s premium value attracts those looking for capital preservation. High-density apartments in Investment Zones are currently experiencing particularly high demand and rental growth. 

Investors benefit from a zero-tax environment, meaning there is no annual property tax, no tax on rental income, no inheritance tax on property and no capital gains tax when selling, massively maximising net returns on investment. Transactional costs do apply, including a 2% registration fee, agency commission and a mortgage registrational fee, usually 0.5%.

Non-residents purchasing property at AED2milllion and above can apply for a 10-year Golden Visa, while purchases of AED1million or more can qualify for a two-year investor visa, another policy, like the carefully controlled supply and demand, which creates longer-term stability and investment in the market.