New data released by the Abu Dhabi Real Estate Centre confirms that resident expatriates and non-resident foreign buyers dominated the capital’s residential market in 2025, collectively representing 62% of all unit sales and reshaping demand patterns across the emirate.
The report found that nearly 69% of growth in residential unit sales between 2022 and 2025 was driven specifically by resident foreign buyers—expatriates who live and work in Abu Dhabi and are increasingly choosing ownership over long-term renting.
Overall real estate transaction values reached Dh142 billion in 2025, up 44% year-on-year, with residential sales rising 67% to Dh76 billion. Foreign direct investment into real estate stood at Dh8.2 billion, with buyers from more than 100 nationalities participating.
Ben Crompton, founding partner at Crompton Real Estate Agents, said the figures reflect a fundamental shift in Abu Dhabi’s buyer base and its growing appeal to international capital.
“Abu Dhabi’s real estate market has historically had a smaller investor base and opened later to expatriate buyers. But that narrative is now rapidly evolving, with international capital flowing into the market in unprecedented numbers,” Crompton said.
He noted that the trend raises a broader question about how Abu Dhabi is now being viewed globally. “Is Abu Dhabi becoming a genuine global property investment destination—not just a local one?”
For years, the emirate was seen as a more conservative and measured market, with expatriate ownership initially limited to designated investment zones from the mid-2000s. That perception has changed visibly in recent years.
“International attention is no longer just regional,” Crompton said. “Buyers from established investor markets such as the UK, China, India, Russia and across Europe are now actively looking at Abu Dhabi.”
Cultural and Lifestyle Appeal
One of the strongest drivers behind the shift has been the emirate’s expanding cultural, entertainment and lifestyle offering. Projects such as Louvre Abu Dhabi, teamLab Phenomena Abu Dhabi and the upcoming Guggenheim Abu Dhabi have helped reposition the city internationally, while major leisure and entertainment developments have broadened its appeal beyond the Gulf.
“These projects generate brand recognition far beyond the region,” Crompton said. “They make Abu Dhabi more recognisable as a place to live, visit and invest, and collectively signal that the city has developed strong global cultural and lifestyle pull.”
Regulatory Reforms Build Confidence
Legal and regulatory reforms have also played a key role in building confidence among foreign buyers, Crompton added.
“Property investment carries risks if it’s not properly regulated,” he said. “Abu Dhabi has addressed this by imposing stricter requirements on developers, brokers and valuers, and enforcing escrow protections tied to construction milestones.”
He highlighted the expansion of the Abu Dhabi Global Market to cover prime areas such as Reem and Maryah Islands as a particularly important step. Operating under English common law with its own courts, ADGM offers a legal framework that many international buyers already understand and trust.
Developer Outreach Widens Buyer Pool
Developer outreach has further widened the buyer pool. Crompton noted that early phases of some residential communities were once dominated by buyers from within the UAE, while more recent launches have attracted a far more international audience.
“Launch statistics from flagship projects like Fahid Island show that roughly two-thirds of buyers came from overseas,” he said, describing it as “a dramatic shift.” He added that developers such as Aldar Properties have expanded international roadshows and broker networks across Asia, Europe and North America, significantly increasing global awareness of Abu Dhabi’s market.
The change in buyer behaviour is already being felt on the ground. Crompton said resident expatriates are increasingly viewing ownership as a long-term lifestyle and financial decision, while non-resident investors are being drawn to Abu Dhabi’s narrative of stability, culture and quality of life.
“Not long ago, selling a unit could be a challenge, with buyers highly price-sensitive and cautious. Today, capital appears to be moving more freely, and investors from around the world are participating with confidence,” Crompton said.
“So, are buyers increasing from outside the emirate? The data says unequivocally yes—and at a pace that is reshaping the market’s identity and potential.”