Qatar Real Estate Market Segmentation by Sectors
The real estate market incorporates residential, commercial, retail and hotel sectors. Residential rental real estate sector has performed exceptionally well in response to increasing demand for homes due to increasing population of immigrants. The residential rental market grew from USD ~ billion in 2011 to USD ~ billion in 2016. The commercial rental real estate grew from USD ~ billion in 2011 to USD ~ billion in 2016 owing to luxury office spaces and economic diversification. Retail real estate sector grew at a CAGR of ~% during 2011-2016, owing to increase in the number of visitors to shopping centers and malls, rising urban population and high disposable income. Hotel real estate market showcased a rapid surge in the market value at a CAGR of ~% during 2011-2016. Major revenue of hotel real estate market was generated by substantial increase in the number of foreign tourists which surged the demand for hotel rooms.
Trends and Developments in Qatar Real Estate Market
Property prices in Qatar have witnessed a hike since 2011 and with the increasing construction demand in the country and prices are expected to rise further in future.
Foreigners are allowed to buy property only in 3 major areas namely – The Pearl, West Bay Lagoon and Barwa-Al Khor City. Immigrant population of Qatar accounts to over ~ % of the total population of the country. Restrictions on purchasing property by expatriate have made it difficult for non-Qataris to buy property in Qatar. Major downturn in oil and gas industry has led to huge losses for the companies making difficult for them to afford expensive office spaces.
It has become common for the companies to provide rental allowances to its employees rather than employee accommodation. This has resulted in fall in demand of the apartments and compounds.
Doha Real Estate Rental Market Segmentation
The residential real estate market is supported by economic growth and influence of increasing foreign population. Increasing number of job opportunities in non-hydrocarbon sectors resulted in rise in the number of foreigners in the country. The residential real estate market value grew from USD ~ billion in 2011 to USD ~ billion in 2016.
Commercial rental market was supported by the economic conditions of the country, diversifying economy and large number of oil-gas companies in Doha. The market value inclined from USD ~ billion in 2011 to USD ~ billion in 2016.
Majority of offices in Doha are on lease and rent instead of companies occupying their own buildings. It has been observed that many companies have expanded their presence in the market, especially financial institutes focusing on the already established oil and gas companies.
Qatar Online Real Estate Market
In Qatar, online property portals are increasingly becoming a tool for research on buying, selling or leasing residential, commercial, retail and other kind of properties. Revenue for these portals is derived by offering a packaged deal to brokers, developers and professional agents, as well as several online property agents
The basic business model for these portals is to charge commission once the property is bought or sold. The online property market in Qatar has been dominated by a few real estate portals such as onlineqatar.com, porpertyfinder.qa, qatar.dubizzle.com, apollopropertiesonline.com, mubaweb.com.
The sales proportion of real estate properties through online market has consistently grown owing to rising internet penetration, growing demand, surging middle class youth population and opportunities by government infrastructure investments. The online market future outlook is anticipated to be vibrant during the upcoming years, boosted by growing number of property portals.
Qatar Real Estate Market Future Outlook
The future prospects for Qatar real estate market have been projected to be robust during the upcoming years 2017-2021. The projections for the future suggest that the sales market for real estate is envisaged to showcase a tremendous performance, by growing at a CAGR of ~ % during the period 2016-2021 and the market is estimated to reach net worth of USD ~ billion in 2021. This growth in the market value would be the result of Qatar’s diversified economy, increasing tourism and FIFA World Cup 2022. Qatar is under construction of some major projects such as Lusail city, Msheireb Downtown Doha and other townships which comprise of huge retail, commercial, residential and hospitality spaces. These townships are expected to be ready by 2020, catering to huge population of Qatar.
Companies Cited in the Report
List of Companies Companies Covered in the Report
Barwa Real Estate Company
Ezdan holding Group
United Development Company
Mazaya Qatar Real Estate Development Major Players
First Real Esate Developemt
Key Topics Covered in the Report:
Rent Flats in Qatar
Rent Property in Qatar
Doha Real Estate Market
Qatar Real Estate Market 2017
Qatar Property Market
Qatar Real Estate Prices
Qatar Real Estate Market
Residential Real Estate Supply
Qatar Investment in Real Estate
Qatar Residential Real Estate Market
Retail Supply Area Doha
Qatar Real Estate Guide
Qatar Growth in Real Estate Market
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Ankur Gupta, Head Marketing & Communications