Investment in luxury property on Saadiyat Island
Sales this year started very positively. There was renewed activity particularly for sales on Saadiyat Island. Here, villas sit at the luxury end of the market, ranging from 3 to 8 bedrooms. Many have direct access to the sea or are fronting the golf course.
The increase in sales was largely as a result of buyers who had been waiting and watching the market taking the view that prices had stabilised. In some areas of Abu Dhabi, particularly Saadiyat Island, the prices were starting to rise due to growing demand and a limited supply of villas on the Island.
Affordable investment in Abu Dhabi
We also saw an uplift in sales at the more affordable end of the market. Buyers are seeing the benefit of buying rather than leasing if they are planning on staying in the UAE for longer periods. This has been helped by changes in the mortgage lending criteria. New guidelines enable buyers with lower incomes to access finance.
The government has brought in some new initiatives. These include allowing expats to buy the freehold of their properties alongside a new investment visa program. Buyers now have increased confidence resulting in the sales market showing positive uplift.
Renting in Abu Dhabi
We have seen a steady increase in demand for rentals as employment hiring has resumed. The rental market follows fairly predictable cycles. These cycles depend largely on expats moving, with most activity over the summer months but also around school holidays.
With the lead up to Expo 2020 we are predicting an increase in demand. Alghadeer will be a popular choice due to its proximity to the Expo site and DWC Al Maktoum airport.
Focusing on Overseas Investment
In addition to focusing on the Abu Dhabi market we have noticed an increase in the number of clients investing in the UAE from the wider region, particularly India and Kazakhstan taking advantage of the high ROIs that are achievable. We are now building relationships with partners and raising our profile in these countries by attending exhibitions and holding private one on one events.
Interested in Property in UAE?
In summary 2019 sales and leasing in Abu Dhabi started strongly and we have seen this continuing throughout the year with increasing confidence in the region and a positive outlook for 2020. If you are interested in investing overseas, contact our International Sales Team or find out more about our services in the UAE:
