Completion of new housing projects to keep rent increases in check
House rents in the country are not expected to increase in the short term, thanks to the completion and availability of many residential properties in different parts of the country.
Thousands of new residential apartments are expected to enter the market between now and 2018, reported Qatar Tribune, citing real estate experts.
The rents will be kept in check due to availability of new housing units as well as the movement of residents from high-end localities to surrounding areas in search of more affordable accommodations, said Ibhar Company CEO Musadaq Moyaser.
“In the next two years, the government is implementing a three-phase plan to build houses for workers with a capacity of almost 50,000 beds. This is likely to drastically lower the demand for cheaper accommodations,” said Mohamed Naser, a manager at Kahraman real estate firm.
Over the last six months, there had been several reports which suggested that rents in Qatar were definitely falling.
The reverse rent trend was first noticed almost six months ago, in the case of upscale apartments, where there was a huge supply and low demands.
A few months later, another report came to light, saying residential rents were falling due to an increase in vacancy rates.
Just last month, there was another report, claiming 10 to 20% decrease in rents for old buildings in the country, which was the clearest indicator yet of the trend.
Just last week, reports suggested that push had come to shove, with several buildings experiencing rent cuts of at least 30%.
The decline in oil prices, relocation of several families back home, and the moratorium on hiring of new executives have all contributed to the downward rent trend.
It is understood that rents at the Pearl-Qatar have nosedived and that several companies are giving away attractive offers to find and retain tenants.
But some areas seem to have bucked the trend, including Al Sadd and Bin Mahmoud, popular areas among middle-class residents.
Ok '30% down or no increase' but where is the control... Y no one catching those agents who keep increasing and commission as well... and gypsum lovers...
Expats have to be ready for relocation. Some people think, they live for 5 years or 10 years in same area and they are familiar than their home country so doesn't like to relocate just to save 500 or 1000 riyal. This is why we still see flooded in Mansoora, najma, Al, sad, Al matar qadeeem and Umm gwalina.
These reports are so confusing for us ordinary mortals.. last week it was rent decreases of up to 30% .. this week , just no increase