Residential Price Overview
Dubai leads GCC residential property markets on transaction volume and price growth momentum. Riyadh is the fastest-growing market by capital appreciation following the regional headquarters mandate. Doha and Kuwait City remain comparatively subdued.
| City | Avg. Residential Price (USD/sqm, 2024) | Price Change YoY (%) | Transaction Volume (2024) |
|---|
| Dubai | 4,200 | 18 | 180,000+ |
| Abu Dhabi | 3,100 | 12 | 28,000+ |
| Riyadh | 2,800 | 22 | 45,000+ |
| Doha | 2,600 | 3 | 12,000+ |
| Kuwait City | 2,400 | 5 | 8,000+ |
| Manama | 1,600 | 8 | 6,000+ |
| Muscat | 1,200 | 6 | 9,000+ |
Rental Yields
| City | Gross Rental Yield (%, 2024) | Prime Office Yield (%) | Net Yield After Costs (%) |
|---|
| Dubai | 7.2 | 8.5 | 5.8 |
| Abu Dhabi | 6.8 | 7.4 | 5.5 |
| Riyadh | 5.4 | 7.0 | 4.2 |
| Doha | 5.1 | 6.8 | 3.8 |
| Kuwait City | 5.8 | 7.2 | 4.4 |
| Manama | 6.5 | 7.8 | 5.0 |
| Muscat | 6.0 | 7.5 | 4.6 |
Foreign Ownership Regulations
| Country | Freehold Foreign Ownership | Designated Areas Required | Mortgage Availability for Non-Residents |
|---|
| UAE | Yes | Yes (designated zones) | Widely available |
| Saudi Arabia | Yes (since 2021) | Yes (limited areas) | Available, restrictions apply |
| Qatar | Yes | Yes (3 designated areas) | Available |
| Kuwait | No (leasehold only) | N/A | Not available |
| Bahrain | Yes | Yes (designated areas) | Available |
| Oman | Yes | Yes (ITC developments) | Limited |
Regulatory Framework
| Indicator | UAE | Saudi Arabia | Qatar | Kuwait | Bahrain | Oman |
|---|
| Real Estate Regulator | RERA/DLD | REGA | AQARAT | MOJ | RERA | MOH |
| Escrow Account Required | Yes | Yes (2023) | Yes | No | Yes | Partial |
| Off-Plan Regulation | Comprehensive | Developing | Moderate | Minimal | Moderate | Developing |
| REIT Framework | Established | Established | Limited | No | Established | Developing |
| Property Tax | None | 2.5% Zakat | None | None | None | None |
| Transfer Fee (%) | 4 | 5 | 2.5 | 0.5 | 2 | 3 |
Supply Pipeline
| City | Residential Units Under Construction | Expected Delivery (2025-2027) | Office Space Under Construction (mn sqm) |
|---|
| Dubai | 120,000+ | 85,000 | 2.4 |
| Riyadh | 95,000+ | 70,000 | 3.8 |
| Abu Dhabi | 25,000+ | 18,000 | 0.8 |
| Doha | 15,000+ | 12,000 | 0.5 |
| Muscat | 8,000+ | 6,000 | 0.3 |
| Manama | 5,000+ | 4,000 | 0.2 |
Strategic Assessment
Dubai’s real estate market benefits from the deepest liquidity pool, the most established regulatory framework, and the broadest international investor base in the GCC. Riyadh represents the primary competitive challenge, with government-driven demand from corporate relocations and giga-project spending creating a structural demand floor.
The UAE’s regulatory maturity, including comprehensive escrow requirements, RERA oversight, and established REIT structures, provides institutional confidence that newer markets are still developing. However, oversupply risk in Dubai remains the primary downside factor, as the current construction pipeline exceeds historical absorption rates.
Key Differentiators
The UAE leads on regulatory sophistication, transaction volume, foreign investor access, and rental yield transparency. Saudi Arabia leads on price growth momentum and government-backed demand. Bahrain offers the best value proposition for cost-sensitive investors seeking GCC exposure. Kuwait’s restrictive foreign ownership framework limits its competitiveness for international capital.