Abu Dhabi Unlocks Off-Plan Home Finance During Construction for First Time
Modon Properties has partnered with ADIB to offer mortgage financing for off-plan properties during the construction phase at Wadeem Gardens on Hudayriyat Island, a first for Abu Dhabi.
Abu Dhabi has introduced a significant new financing option for its off-plan property market, with Modon Properties launching construction-stage home finance for the first time. This initiative, in partnership with Abu Dhabi Islamic Bank (ADIB), will initially be available for buyers at the new Wadeem Gardens project on Hudayriyat Island.
Traditionally, mortgage financing in the UAE has been accessible only after a property is fully completed and a title deed is issued. This new model allows eligible buyers to secure financing during the construction period, addressing a long-standing gap in the market for off-plan purchasers.
Impact on the Off-Plan Market
The introduction of construction-stage financing is expected to open up Abu Dhabi's off-plan sector to a wider range of buyers. By reducing the upfront capital commitment, it provides an alternative for individuals who previously either had to pay in full or wait several years for a completed property.
According to Quanta, off-plan villa and townhouse transactions in Abu Dhabi saw a 42% year-on-year increase in volume during Q2 2026, with the value of off-plan villa transactions rising by 215% over the same period. This surge highlights the existing demand for more flexible financing solutions.
Betterhomes Abu Dhabi notes that this collaboration between Modon and ADIB represents a positive step for the emirate's real estate market. The success of Wadeem Gardens will serve as an early indicator of how construction-stage financing could shape the future of Abu Dhabi's off-plan landscape, potentially paving the way for similar structures in other developments.
Questions, answered
- What is new about this financing option in Abu Dhabi?
- For the first time in Abu Dhabi, buyers can now access home financing for off-plan properties during the construction phase, rather than having to wait until the property is completed and a title deed is issued at handover.
- Which project is offering this new financing model?
- This construction-stage home finance is being launched for eligible buyers at Modon Properties' Wadeem Gardens project, located on Hudayriyat Island in Abu Dhabi.
- Which entities are partnering to provide this financing?
- Modon Properties has partnered with Abu Dhabi Islamic Bank (ADIB) to implement this new financing structure for off-plan purchases.
- Why is this significant for the Abu Dhabi property market?
- This development is significant because it makes off-plan property ownership more accessible by reducing the upfront capital required, potentially widening the pool of eligible buyers and supporting the market's growth, which saw off-plan villa transactions increase 42% in Q2 2026.
This brief was summarised and rewritten by Gaia Living from public reporting. Figures and details reflect the original sources.
More in Market
- MarketUAE Shoppers Shift to Digital Payments, With Crypto and Stablecoins Emerging
- MarketMicro Mitti to Host NRI Realty Meet in Muscat, Highlighting Indian Tier-II City Investments
- MarketDubai Property Market Achieves Second-Highest Sales in Nine Months for 2026
- MarketCavendish Maxwell Identifies Student and Senior Living as Key Drivers for GCC Real Estate Growth