UAE Condominiums and Apartments Market Size (2024 - 2029)

The United Arab Emirates condominium and apartment market is experiencing a recovery and growth trajectory, with the market size showing positive trends after a downturn due to COVID-19. The market has rebounded, particularly in Dubai, where transaction volumes have reached new highs, driven by increased demand in both affordable and luxury segments. Key areas such as Dubai Marina, Palm Jumeirah, and Downtown Dubai are popular for luxury rentals, while Business Bay and Jumeirah Village Circle attract those seeking affordable options. Similarly, Abu Dhabi's market size is bolstered by rising sales prices in both affordable and luxury segments, with Al Reem Island and Al Raha Beach being favored for luxury rentals. The enhanced transparency and safety of the UAE cities further contribute to the market's appeal for international investors and residents.

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Market Size of UAE Condominiums and Apartments Industry

UAE Condominiums and Apartments Market Summary
Study Period 2020 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
Historical Data Period 2020 - 2022
CAGR 4.00 %
Market Concentration Medium

Major Players

UAE Condominiums and Apartments Market Major Players

*Disclaimer: Major Players sorted in no particular order

UAE Condominiums & Apartments Market Analysis

  • The UAE condominium and apartment market is estimated to register a CAGR of more than 4% during the forecast period.
  • Due to the COVID-19-related lockdowns, the market took a hit. Both the property prices and transactions in the market declined. The total transaction volume in Dubai was down by 11% compared to 2019. Apartment prices in Dubai decreased by approximately 6% compared to 2019. However, since 2021, the market has started to recover. The volume of transactions in the market reached an all-time high of 88,028 in 2022.
  • With a high focus on safety and security, Dubai has stood out as an appealing option, particularly for international investors and ex-pat owners. The sales prices for villas and apartments in the most-searched-for locales of Dubai experienced an increase of 1-19% in H1 2022. Given the impressive start to 2022, the growth in the sale and rent prices in Dubai indicates healthy demand for property in both the affordable and luxury segments of the market. Dubai Marina, Palm Jumeirah, and Downtown Dubai are the most popular places to rent luxury apartments in the Emirate. Jumeirah Village Circle (JVC) and Business Bay are the most sought-after locations for those looking for affordable apartments in Dubai. Potential buyers for affordable apartments were most likely to look at the Business Bay, Damac Hills 2, Jumeirah Lakes Towers (JLT), and Jumeirah Village Circle (JVC) areas of the city.
  • The sales prices for residential properties in Abu Dhabi rose by 1-14% in the affordable segment, whereas those in the luxury segment climbed by 1-8%. The most popular locations for renting luxury apartments in Abu Dhabi are Al Reem Island, Al Raha Beach, and the Corniche area. Al Reem Island remained a firm favorite for renting high-end apartments in H1 2022, showing a moderate growth of up to 3.5% in asking rents. Those looking for affordable apartments in the capital will most likely turn their attention to properties in Khalifa City A, Al Khalidiya, and Al Muroor. The Abu Dhabi market has continued to build on its strong foundations with a drive toward building robust systems and processes. Abu Dhabi has been repeatedly recognized as one of the safest and best cities to live in the world by various international bodies. The transparency levels in the market have also improved considerably, leading to greater confidence from buyers and investors.

UAE Condominiums & Apartments Industry Segmentation

Apartments are self-contained housing units that occupy only a portion of a building. An apartment can either be used by the owner or rented to a tenant. As opposed to a regular residential apartment, a condominium is a large residential complex in a gated community comprising residential units. The owner does not own the land on which the entire property is built, but only the condo. 

The UAE condominiums and apartment market is segmented by key cities into Dubai, Abu Dhabi, and Sharjah. The report offers market size and forecasts for all the above segments. 

Key Cities
Dubai
Abu Dhabi
Sharjah
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UAE Condominiums and Apartments Market Size Summary

The United Arab Emirates condominium and apartment market is experiencing a robust recovery and growth trajectory, particularly in Dubai and Abu Dhabi. Following a downturn due to COVID-19, the market has rebounded, with Dubai emerging as a prime destination for international investors and expatriates, thanks to its focus on safety and security. The demand for both affordable and luxury properties is strong, with areas like Dubai Marina, Palm Jumeirah, and Downtown Dubai being popular for luxury rentals, while Business Bay and Jumeirah Village Circle attract those seeking more affordable options. Abu Dhabi's market is also thriving, with increased transparency and safety enhancing buyer confidence. The capital's luxury segment sees high demand in Al Reem Island and Al Raha Beach, while affordable options are sought after in Khalifa City A and Al Muroor.

The UAE real estate sector is characterized by intense competition among major developers such as Emaar, Damac, and Aldar, driven by strong infrastructure and global investor interest. Dubai's property market, in particular, is witnessing significant activity, with record-breaking transaction volumes and a surge in off-plan property sales. The FIFA World Cup in Qatar has further boosted Dubai's property market, enhancing its appeal as a luxury real estate destination. The city's relative affordability and prime location make it a desirable choice for high-net-worth individuals seeking second homes. As the market continues to expand, new projects and developments, such as Damac's luxury residential offerings, are set to meet the growing demand, reinforcing Dubai's position as a leading global real estate hub.

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UAE Condominiums and Apartments Market Size - Table of Contents

  1. 1. MARKET INSIGHTS

    1. 1.1 Current Market Scenario

    2. 1.2 Residential Real Estate Buying Trends - Socioeconomic and Demographic Insights

    3. 1.3 Government Initiatives and Regulatory Aspects for Residential Real Estate Sector

    4. 1.4 Insights into Size of Real Estate Lending and Loan to Value Trends

    5. 1.5 Insights into Interest Rate Regime for General Economy and Real Estate Lending

    6. 1.6 Insights into Rental Yields in the Residential Real Estate Segment

    7. 1.7 Insights into Capital Market Penetration and REIT Presence in Residential Real Estate

    8. 1.8 Insights into Affordable Housing Support Provided by Government and Public-private Partnerships

    9. 1.9 Insights into Real Estate Tech and Start-ups Active in the Real Estate Segment

  2. 2. MARKET SEGMENTATION

    1. 2.1 Key Cities

      1. 2.1.1 Dubai

      2. 2.1.2 Abu Dhabi

      3. 2.1.3 Sharjah

UAE Condominiums and Apartments Market Size FAQs

The UAE Condominiums and Apartments Market is projected to register a CAGR of greater than 4% during the forecast period (2024-2029)

Emaar Properties, Damac Properties, Nakheel Properties, Deyaar Properties and Aldar are the major companies operating in the UAE Condominiums and Apartments Market.

UAE Condominiums and Apartments Report Snapshots

United Arab Emirates Condominiums and Apartments Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)