Abu Dhabi's property prices went up, while rents went down in Q3 2021

Residential capital values in the emirate saw quarterly improvements for the fourth time in a row.

Real estate prices in Abu Dhabi increased by 2.6 percent in the third quarter of 2021. The process of recovery in the emirate replicates the one seen in neighbouring Dubai, a new research said.

According to the Q3 2021 ValuStrat Price Index (VPI), Abu Dhabi’s residential capital values have seen quarterly improvements for the fourth time in a row.

The valuation-based index grew by 2.3 percent quarterly with growth ranging from 1.8 percent to 2.6 percent.

Areas with the highest gains year-on-year were villas in Al Reef (13.9 percent), Al Raha (13.3 percent) and Saadiyat Island (11.7 percent), ValuStrat consultants pointed out in the report.

As for residential rental values, they soften by 3.4 in the third quarter compared to the previous quarter and reached similar levels of last year.

The report said that the construction of 1,853 units in nine projects was completed in the year to September 2021, which makes up 16 percent of total forecasted new build supply for the year.

The average residential asking price per square foot continued to increase and went up by 1.1 percent on a quarterly basis and 6.3 percent compared to last year, the report added.