Valuation consultancy ValuStrat’s Q2 2026 data shows Abu Dhabi’s freehold residential price index (VPI) at 151.1 points (Q1 2021 = 100), up 17.8% year-on-year and 2.1% quarter-on-quarter. The quarterly pace is the slowest in two years, which ValuStrat describes as a natural moderation after several quarters of rapid appreciation.
The market is split internally: apartments continue to outperform villas, driven by end-user demand for ready homes. On the commercial side, a shortage of Grade A space pushed office rents up 27.3% year-on-year. Residential rents stayed broadly stable under a temporary 0% rent cap across the emirate.
Haider Tuaima, ValuStrat’s managing director and head of real estate research, said Abu Dhabi’s residential market remains on an expansionary track: “While capital value growth has naturally moderated to 2.1 per cent quarterly following several quarters of rapid appreciation, annual gains remain solid at 17.8 per cent.” He added that compared with Dubai, the capital is at an earlier stage in its property cycle, with accessible price points anchoring end-user demand; the two markets do not move in exact synchrony but follow the same long-term macro trends, with sentiment shifts in Abu Dhabi typically unfolding at a more measured pace.
References
Arabian Business — Abu Dhabi property prices jump 17.8% as office rents surge 27.3%
