(MENAFN- The Peninsula)
Joel Johnson
|
The Peninsula
Doha: The residential sales in Qatar created a positive impact in the months from April to June this year as the transaction volume increased by 35 percent as per ValuStrat's latest findings.
Experts note that this surge may be partly attributed to the recent developments witnessed in mortgage regulations, which projects 15 percent annual growth.
Commenting on the market, Anum Hassan, Head of Research, Qatar said“In the second quarter, Qatar's residential Real estate market maintained stable capital values, while rental rates experienced a decline, as reported by the ValuStrat Price Index (VPI).”
On the other hand, the median transacted ticket size for residential units grew by 5.6 percent yearly and 1.8 percent QoQ. Meanwhile, Doha registered 26 percent of the total residential transactions, while Al Rayyan accounted for another 33 percent.
Muaither, Al Khor, Al Kharaitiyat, Umm Garn, and Umm Salal Ali reported the highest volume of transactions of residential houses in Q2 2024.
However, The Pearl Qatar and Al Qassar experienced a 33 percent decline in the total sales value together with a 28 percent decrease coming from their transaction volume every quarter.
As per the ValuStrat Price Index data, Residential Capital Values remained steady in Q2 but fell by 1 percent annually at 96.6 points, in comparison with 100 base points as of the first quarter of 2021.
The report said:“Valuations within the apartments segment continued to stabilise with no change compared to the previous quarter, approaching QR10,265 per sq m. These prices have consistently held steady over the past two years.”
Hassan stressed that“The VPI for residential units held steady at 96.6 points, unchanged from the previous quarter."
“This index is benchmarked against a base of 100 points set in Q1 2021. The apartment index was recorded at 97.3 points, while the villa index stood at 96.4 points. Valuation prices in both categories showed no variation on a quarterly basis,” she added.
Alternatively, the rates for Sale in The Pearl Island amounted to QR10,390 per sq m, a decline of 1 percent per annum. Values in Lusail reached QR10,130 per sq m, maintaining steady annual performance, while other key areas including West Bay Lagoons reported a decline by 3 percent Y-O-Y, with values at QR9,530 per sq m.
On the other hand, the villa market plunged by 1.1 percent on an annual basis but was constant throughout the quarter, amounting to QR5,513 per sq m. Villa rates over most locations were stable compared to last quarter except for Al Thumama and Old Airport areas where prices saw a drop by 1.2 percent and 3.5 percent, respectively.
ValuStrat stated“The price-to-rent ratio was 20 years, and the gross yield for residential units was stable at 5.9 percent. Apartments recorded 8.1 percent while villas registered for 4.8 percent.
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