Qatar’s property sector records stable outlook in 2nd quarter 2024
(MENAFN) The residential industry across the country demonstrated significant resilience during the second quarter of the year, with notable improvements in rental rates. This robust performance contrasts with the first quarter of 2024, which was characterized by sluggish activity. According to a recent report by hapondo, key downtown areas in Doha experienced steady rents for one-bedroom apartments and an even more favorable market for two-bedroom units during the second quarter. Additionally, rents for villa apartments surged significantly following a promising start in the first quarter.
Analysts highlighted specific areas where the rental market showed marked improvements. In the one-bedroom apartment category, average rents increased by 4.8 percent in Fereej Bin Mahmoud, 6.6 percent in Musheireb, 7.3 percent in Old Airport, and 2.5 percent in Al Mansoura. Meanwhile, the rental markets in Al Sadd, Najma, and Doha Jadeed remained robust. For two-bedroom apartments, the average rent rose by 3.9 percent in Najma, 4.2 percent in Umm Ghuwailina, 4.4 percent in Fereej Bin Mahmoud, and 2.2 percent in Musheireb, while remaining stable in Doha Jadeed and Old Airport.
Despite the general upward trend, the rental market for one-bedroom apartments in high-end areas such as West Bay, Marina, The Pearl, and Fox Hills faced downward pressure. Conversely, the two-bedroom apartment rents in these areas either remained stable or experienced marginal growth. Notably, Fox Hills showed signs of recovery after several quarters of declining rents. The average two-bedroom rent in Fox Hills increased by 1.7 percent, while the average one-bedroom rent saw a slight rise of 0.5 percent. The projected gross rental yield in Fox Hills improved slightly from 6.4 percent in Q1 to 6.5 percent in Q2.
Furthermore, the report emphasized the considerable gross rental yields in prime markets. According to hapondo's data, the West Bay residential area offered the highest gross rental yield for one-bedroom apartments at 8.1 percent and was tied with Fox Hills in the two-bedroom category at 6.8 percent. Across Doha's prime apartment market, the gross rental yield averaged 6.3 percent during April, May, and June. These figures indicate a healthy and lucrative rental market, particularly in prime areas, reflecting the overall strength and resilience of the residential industry in the country.
MENAFN04082024000045015839ID1108515083
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.