Experts at Hapondo, Qatar’s online real estate market research platform, reported that average apartments in Qatar fell in many areas during the first quarter of the year.
While Doha’s bustling financial district – West Bay – remains strong, rental rates in the iconic Lusail City and The Pearl Island have decreased, according to an analyst-curated report.
In a statement to the media, Ahmad Al Khanji, Chief Executive Officer of Hapondo, commented: “The increase in average asking rent in West Bay apartments reflects the resilience of this business district for the residential market. People continue to be drawn to living in West Bay due to its strategic proximity to offices and Doha’s downtown.”
Analysts noted that average rents in Doha fell during the first three months of the year, particularly in the one-bedroom category.
However, West Bay had higher asking rents in both one-bedroom and two-bedroom apartments in the first quarter than in the same period last year.
On the other hand, average rents in Lusail and The Pearl for various bedroom categories have either decreased or remained stable Q-O-Q.
However, in Q1 2024, the average rents for one- and two-bedroom residential apartments in West Bay increased by 8% and 10%, respectively, compared to the first quarter of 2023. According to data, the West Bay business district remains Qatar’s most expensive location to rent a one-bedroom and third in the two-bedroom apartment category, based on median available stock prices.
Meanwhile, the average apartment rent in Lusail’s Marina District decreased by 4% for one-bedroom units and 14% for two-bedroom units.
According to the report, Marina District’s median asking rent has decreased from QR8,600 for a one-bedroom and QR11,250 for two-bedroom apartments to QR7,625 and QR9,000, respectively.
The average rent in Lusail’s Fox Hills for one-bedroom apartments remained relatively stable, while two-bedroom apartments fell by 4%. The researchers note that these price trends have made Lusail more affordable to lessees, potentially attracting more tenants in Doha.
One-bedroom apartment rents in The Pearl Qatar, on the other hand, have stood steady since the third quarter of 2023 with a median rent of QR8,500. Howbeit, the two-bedroom average rent decreased by 6 percent, “reflecting pressure to fill out vacancies”.
Other residential areas in Doha, including Fereej Bin Mahmoud, Al Sadd, Umm Ghuwailina, and Old Airport, saw a double-digit decrease in average one-bedroom prices, while rents in Najma increased by double digits.
The report goes on to say that asking rents for two-bedroom apartments are firm across Qatar’s capital, Doha, while average asking rents in Al Thumama, Umm Ghuwailina, Al Souq, and Najma are more inclined.