Sharjah fortifies its position as an affordable housing haven according to the Q3 report on the market by UAE’s leading property portal Bayut.com. Prices for renting and buying property in Sharjah experienced a modest decrease overall when compared to Q2 2018.
- Prices on average decreased with the most significant change being a 16% decrease for studios in Al Khan where the prices fell to AED 21k from AED 25k, followed by a 10% decrease for 2-beds. The other notable price fall was a 9.1% decrease for studios in Al Majaz from AED 22k to AED 20k.
- The steepest price falls were 11.53% for 1-bedroom apartments in Al Taawun from AED 445k to AED 403k.
Al Nahda remains the most popular for apartment rentals where the prices are now AED 25k for studios, AED 31k for 1-beds and AED 40k for 2-beds. In addition to the price decreases mentioned above for Al Khan and Al Majaz, prices also fell by 7.7% for 1-beds in Al Qasimia from AED 26k to AED 24k and 6.25% for studios in Muwaileh from AED 16k to AED 15k. In other popular areas, the average decrease for rents were between 3 – 4%.
Al Majaz was the most popular for apartment sales where the prices are AED 450k for 1-beds and AED 742k for 2-beds. Decreases in average sales prices for areas other than Al Taawun on average are between 4-9%.
Sharqan takes the top spot for villa rentals gathering 20.65% of searches by Bayut’s users followed by Al Sabkha (16.33%), Barashi (10.65%), Al Hazannah (10.09%) and Al Qadisiya (9.12%). The other popular areas include Al Ghafia, Al Shahba, Hoshi, Al Azra and Al Rahmaniya.
Hoshi was the most popular for villa sales in Q3 2018, accounting for 13.06% of total searches, closely followed by Sharjah Waterfront City (12.46%), Al Ghafia (11.21%) Al Falaj (10.9%) and Al Yash (9.34). The other sought-after areas include Sharqan, Al Azra, Barashi, Al Ramla and Al Nekhailat.
Most popular sub-communities
For Bayut users, within Al Nahda, Sharjah Gate Tower was the most popular for renting apartments receiving 38.33% of the searches in the area. Other sub-communities that garnered a high volume of interest includes Al Nud in Al Qasimia with 94.3 %.
Al Taawun Street in Al Taawun and Al Majaz 2 in Al Majaz were also clear favourites for both renting and buying, gathering over 78.6% and 51% respectively for apartment rentals and 60% and 46.74% respectively for apartment sales.
Al Nada Tower in Al Nahda was also popular for apartment sales and accounted for 58% of searches.
The decreasing prices from Q2 to Q3 has made Sharjah a favourable market to both rent and invest. However, with the introduction of the 5-year residency visa for retired expats and the new property law which allows non-residents to own property in Sharjah, we may see increased interest in property sales in the emirate in 2019.
Forecast for Q4
Haider Ali Khan, CEO of Bayut, said: “Sharjah prices continue to be attractive every quarter and with more off-plan projects getting delivered in the coming years, investors will find the ROIs from rental yields in the emirate very appealing. With respect to rentals, Sharjah will remain one of the most popular locations for individuals and families focusing on budget-friendly living.”
Disclaimer: The above report is based on prices advertised by real estate agencies on behalf of their clients on Bayut.com, and not representative of actual real estate transactions conducted in Shajrah.
Photo: Panoramic view of the Al Khan Lagoon looking south by night. 8 April 2016. Author Wurzelgnohm.