Qatar’s house prices were down slightly by 0.69% during 2022
Qatar’s housing market is still weak, with the nationwide real estate price index (inflation-adjusted) falling slightly by 0.69% in 2022 from a year earlier, following y-o-y declines of 4.06% in 2021 and 4.89% in 2020, a slight increase of 0.55% in 2019 and another decline of 2.38% in 2018. Though on a quarterly basis, prices increased by 1.6% during the latest quarter.
Oversupply pulls house prices
The oversupply of residential properties in Qatar associated with the 2022 FIBA World Cup continues to pull down prices. The total number of apartments in Qatar has exceeded 230,000 units in 2022, while the stock of villas increased to 130,000 units.
The supply has increased significantly last year as major new residential projects were completed ahead of the 2022 FIBA World Cup held in November 2022.
Demand is falling sharply. During 2022, the total number of residential sales transactions fell by a huge 25.5% from a year earlier, based on a report released by Cushman and Wakefield, in sharp contrast to strong growth in 2020 and 2021.
Rents, rental yields: good yields in Doha at 4.96% to 10.09%
|Qatar: city centre apartment, buying price, monthly rent (2-BR apartments)|
|Buying price||Rate per month||Yield|
|The Pearl||€ 648,174||€ 4,120||7.63%|
|Lusail||€ 439,440||€ 3,296||9.00%|
Recent news. The Qatari economy is expected to expand by a modest 2.4% this year, following annual growth of 3.4% in 2022 and 1.5% in 2021, and a contraction of 3.6% in 2020, according to the International Monetary Fund (IMF).
Qatar’s overall economic outlook improved substantially after the Saudis agreed to end their sweeping economic and political blockade against Qatar in January 2021, restoring the air, land and sea links to the emirate that were severed in June 2017.