|22 May, 2020

Abu Dhabi's April real estate deals surge 34% to $1.7bln

The department’s data indicated that mortgages acquired 60 per cent of the total real estate transactions in April

Abu Dhabi skyscrapers Aerial view of a bay in Abu Dhabi, UAE with Etihad Towers buildings and luxury hotel visible. Image used for illustrative purpose.

Abu Dhabi skyscrapers Aerial view of a bay in Abu Dhabi, UAE with Etihad Towers buildings and luxury hotel visible. Image used for illustrative purpose.

Getty Images/ EXTREME-PHOTOGRAPHER

UAE - The value of real estate transactions in Abu Dhabi increased by 34 per cent to reach Dh6.3 billion ($1.7 billion) by April, through 2,617 real estate deals, compared to Dh4.6 billion ($1.25 billion) through 1,840 deals during the same period last year, according to statistics released by the Department of Municipalities and Transport (DMT).

The department’s data indicated that mortgages acquired 60 per cent of the total real estate transactions in April and increased by 100 percent in April 2020 at up to Dh3.8 billion, which was made through 1,170 mortgage transactions, compared to the same period in 2019 with mortgages worth Dh1.9 billion, through 598 mortgage transactions.

Statistics also showed that the value of buying and selling operations in April reached some Dh2.5 billion, made through 1,447 transactions, compared to Dh2.8 billion during the same period last year, through 1,242 transactions, it stated.

According to the report, Yas Island had the highest value of the total real estate transactions in April with some Dh771 million, followed by Al Reem Island with some Dh279 million, Saadiyat Island with some Dh270 million, Al Reef region with Dh254 million and Al-Faqa region with some Dh159 million.

The total real estate transactions in Abu Dhabi increased by 22 percent in the first quarter of this year to reach Dh19.2 billion, compared to some Dh15.8 billion during the same period last year.

Dr Adeeb Alafeefi, Managing Director (Real estate) at DMT said: "Based on the directives of the wise leadership to support business sectors during these exceptional circumstances, the Abu Dhabi real estate market has maintained its vitality, position and excellence despite these unprecedented repercussions caused by the coronavirus on the global economy and its repercussions on real estate markets around the world."

"The incentive plans launched by the UAE government and the economic support plan of the central bank along with the economic incentives package launched by the Abu Dhabi Executive Council, has exempted individuals and companies from 34 real estate registration fees until the end of 2020, all contributed to providing sufficient flexibility and helping the real estate market in Abu Dhabi respond to the current circumstances and continue its growth and maintain the momentum of its transactions," stated Alafeefi.

The DMT's exemptions include two percent of sale contracts, two percent fees of the sale on the plan, in addition to other fees such as land exchange fees, mortgage registration, mortgage transfer, mortgage amendment and mortgage redemption, he added.-TradeArabia News Service

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