(MENAFN- The Peninsula) Joelyn Baluyut |
Qatar's real estate market is experiencing significant growth and high demand as the country inches towards the FIFA World Cup Qatar 2022.
While the industry is growing, it can be noticeable that prices of residential properties are increasing due to the said event, according to Ion Dinu, Head of Real Estate Services at MD Properties.“The escalation of event for the World Cup has already started, and the peak will be during the tournament (November to December). The last wave of the event will see a de-escalation which will take three days to three months, and is expected in the first quarter of 2023.”
The Seven Real Estate Managing Director, Elyes Selmene, shared the same sentiment, while talking to The Peninsula.“The evidence indicates that there has been an increase in rental prices in Qatar for the first time since 2015. It is likely that this rise, however, will be short-lived as mega-events like the World Cup result in an increase in demand, which then results in a rise in prices.”
Selmene said according to 2022 real estate index released by the Ministry of Justice,“Qatar's real estate market enjoyed a positive outlook during April as real estate trading exceeded QR2bn for 330 real estate deals with 31 percent being in the Municipality of Doha.” When asked about the market trend of real estate in the country, Selmene was confident that the industry will continue to grow on an 'accelerated pace'.“Residential real estate in Qatar is expected to register a compound annual growth rate (CAGR) of over 11.5 percent during the forecast period (2022-2027), according to Mordor Intelligence.'
“It is clear that investors have much to look forward to in the Qatari real estate market,” Selmene said.
Dinu said the country's economy will continue to boom for another two decades, because there are“enough ongoing projects, and others that will begin next year.”
A recent report in this newspaper revealed that a large number of tenants in Qatar decried sharp and sudden increase in rents of housing units in the country, asking the authorities concerned to address the challenging problem.
Dinu said this 'wave of increase in rent' is due to the World Cup, set to happen five months from now.“After the first quarter of 2023, I expect the market to go normal, and become a balanced one because there will be enough supply,” he said. He also stated that proper normalcy will return in the second to third quarter of next year, giving clear indication as to the market trend.
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