From price hikes to rental yields, what changes UAE buyers, tenants must know now
Last updated: July 18, 2025
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Dubai: Planning to move to Abu Dhabi? Or finally ready to stop renting and buy your first home?
Whether you’re a long-time UAE resident looking for better rental deals or an investor eyeing income-generating properties, Abu Dhabi’s real estate market has turned up some surprising trends in 2025 — and some real opportunities too.
UAE largest’s property portal Bayut released its H1 2025 report, which gives us a clear picture of where rents are rising fastest, where to find affordable homes, and which areas are attracting big investor money. Here’s what matters to you right now:
1. Rising prices? What it means for you
If you’re waiting for prices to drop — you might be waiting a while. Most areas, from budget-friendly Al Reef to luxury hotspots like Saadiyat, saw price hikes. So if you’re serious about buying in 2025, locking in earlier might save you more.
2. Still renting? These are the best places to look
Al Ghadeer, Al Shamkha, and Khalifa City continue to offer the best value for long-term renters, especially families. If your lease is up soon, compare these areas before renewing.
3. Mid-income buyer? Focus on these spots
Places like Al Reem Island and Masdar City offer good price appreciation potential and strong rental demand — great if you’re buying your first home but may rent it out in future.
4. Biggest surprise: 26% jump in this villa community
Al Samha villas saw a huge price jump. If you live nearby or are considering suburban family life, it’s worth checking out — this could be Abu Dhabi’s next rising star.
5. Buying to rent? Where rental yields are best
Want a side income from property? You could earn up to:
- 9.3% yield in Al Reef (apartments)
- 8.4% in Masdar City
- 7.1% on Yas Island
Even villas in suburbs like Khalifa City and Hydra Village offer over 6%, making them solid bets.
6. Off-Plan = Early-Bird Advantage
Many residents are buying off-plan to lock in prices before they rise further. Projects like Yas Acres and Bloom Living are getting a lot of attention — worth considering if you plan to live in Abu Dhabi long-term.
7. Renters: Expect Higher Rents in These Areas
If you rent in Al Nahyan or Tourist Club Area, you’ve likely felt the pinch — with some rents rising 20–68%. Start planning now, especially if your renewal is in the second half of 2025.
8. Luxury Homes: Still Room to Negotiate
Not everything is rising. Some large villas on Saadiyat or Yas Island saw price and rent drops. If you’re upsizing or moving from Dubai, you might find better deals here than expected.
9. Where families are moving
Areas like Shakhbout City, Al Shamkha, and Khalifa City remain family favourites for their schools, space, and value. These areas work whether you’re renting or buying.
Final note?
Looking to move soon or buy a second property in the capital? Now’s a good time to evaluate your options — whether it’s locking in rent before further hikes or jumping on an off-plan deal before prices climb again.
“Abu Dhabi is shaping up as one of the most future-ready real estate destinations in the region,” said Haider Ali Khan, CEO of Bayut & Dubizzle Group MENA.
