Abu Dhabi Property: Becomes a favorite city for investment, confidence increased due to new rules and record breaking sales

Abu Dhabi has now become the most preferred destination for those looking to invest in property, especially for homes that are currently under construction, known as off-plan properties. Along with the local people, investors from all over the world are investing their money here. The demand for property in the city has increased so much that record breaking sales have taken place in the beginning of 2026.

Huge boom in property market

Abu Dhabi’s residential market has delivered its best-ever performance in the first quarter (Q1) of 2026. In January 2026 alone, 2,600 transactions took place in which sales worth 12 billion dirhams were made. Off-plan properties dominate this entire market and account for about 90 percent of the total selling price.

Changes in rules and protection of buyers

To increase investor confidence, the Abu Dhabi government has made major changes in property laws in 2025. Law no. 2 of 2025, the Abu Dhabi Real Estate Center (ADREC) now regulates all matters. Now no developer can sell property without ADREC license.

Now the rule of Escrow Account is in force for security. This means the buyer’s money will remain in a separate bank account and the developer will be able to withdraw it only when at least 20 percent of the construction work is completed. Buyers will get the facility of Snagging Inspection before getting the house and the developer will be responsible for repairing any defects for one year after handover.

Why is investment increasing?

The prices of off-plan properties are 10 to 20 percent lower than ready-made houses, which gives hope of future profits. Apart from this, developers are offering payment plans with easy installments, making it easier for common people to invest. Big names like Aldar Properties and Modon Properties are gaining strength in this market as they are backed by government funds.

Preferred Localities and Developers

• Popular areas: Yas Island, Saadiyat Island, Al Reem Island, Al Hudayriat Island, Khalifa City and Masdar City.
• Major Developers: Aldar Properties, Modon Properties, Bloom Properties, Reportage Properties, SAAS Properties, Ohana Development and Taraf Holding.