Qatar’s economic outlook for 2013 and 2014 underlines the increasing significance of industries apart from oil and gas in shaping the country’s future. Real estate — residential, industrial, and office space — is being seen as a new frontrunner and prices are making a comeback, with increases seen in all segments. As per the Qatar Credit Bureau’s real estate price index (PDF), the lows seen in the market in 2009 are now a distant memory. Property prices were up by 5.8% at the end of 2012 compared to the previous year.
If you are seeking a house in Qatar, start browsing possibilities now, as the demand for residential property is inching upwards; this growth is said to be linked to a recent surge in population. The rise in occupancy rates has proportionately translated into higher rents. Prices start around QR 11,000 per sq. meter and can go up to QR 15,000 depending on the location and kind of facilities available. This figure is likely to rise further as demand is expected to keep increasing. Rise in rents has been seen across the different segments of housing–from the working class localities of Al Mansoura, Najma, and Bin Mahmoud, to the luxurious West Bay and the Pearl. When looking for rentals, you might come across a house for sale. Qatar home owners might quote a price of QR 16,400 per sq. meter or more for properties in the city.
Other factors that play a major role in rent determination include the expatriate population in the country, the popularity of two-bedroom homes, and an increase in the number of those opting for a shared house. Qatar has seen upward movement in sales in the luxury segment, over the past couple of years, partly due to better financing options. In Qatar, houses with efficient designs and a host of amenities are ruling the roost, as far as sale prices are concerned. Historically, most expatriates do not buy houses in Qatar; but this trend is now changing. Purchase of property in the country automatically entitles expatriates to a residency permit. Though the rule was introduced a few years ago, many rich foreigners have only now started to utilize this opportunity to secure a house in Qatar. It doubles up as a smart move for those seeking substantial returns on their investment, particularly if the property is in a location with the possibility of good rental yields.
With Qatar preparing to host the 2022 FIFA World Cup, frenzied activity will be seen in the real estate sector in the years leading up to the mega event. A report by Deloitte (PDF) indicates that there is a strong need for affordable housing ahead of the football extravaganza. An influx of thousands of expatriate workers who will be part of the infrastructure development projects is anticipated and each one of these people will be in need of an appropriate house. Qatar has been witnessing yet another new development in the real estate sector–the widespread emergence of modern architecture (PDF) in the designs of residential buildings. Formerly, the Arabian houses were popular and these have now been replaced by newer villas and apartments. This can be taken as an indicator of the changed financial circumstances of the people who wish to rent or buy residential properties in Qatar. Houses that meet all of one’s requirements are at a premium and prioritizing one’s wants and needs is imperative when seeking to purchase a house for sale. Qatar real estate experts opine that lack of appropriate showcasing of properties is responsible for this.
At the same time, major plans are afoot to provide affordable houses in Qatar to those who cannot afford villas or apartments. About 30,000 residential units are being planned at West End Park, Doha’s newest hub for low income workers. The primary aim of this development is to help reduce the traffic and congestion within the heart of the city. Located on the outskirts of the capital city, this area will be easily accessible. The primary focus of this residential development will be on shared accommodation. The Government of Qatar provides housing units for certain employees and details such as eligibility criteria can be found online.
In short, the real estate scenario in the country is heating up and significant developments are likely over the next few years. Working with an experienced and qualified real estate agency can help buyers and sellers make the most of this trend. The primary advantage of enlisting professional services from COREO is to spare yourself the hassle involved in the process.