KHALEEJ TIMES, Tuesday, Aug 3, 2021 | Zul Hijjah 24, 1442
Sharjah, Ajman continue to attract tenants, investors
Emirates:
The real estate markets in Sharjah and Ajman continued to record stability
in sales and rental prices in the first half of 2021, according to Bayut &
dubizzle.
“Affordable prices, family-friendly amenities and healthy rental yields have led
to a growing demand for real estate in the Northern Emirates. Sales prices in
both Sharjah and Ajman have increased or remained steady in most of the popular
locations while rental prices have remained reasonable,” said the H1 2021
property market report released by Bayut & dubizzle.
Ajman registered Dh2.7 billion worth of real estate transactions in the first
quarter of 2021, as per the Department of Land and Real Estate Regulation.
Similarly, Sharjah has recorded transactions worth Dh6.7 billion in Q1 2021, an
increase of 84.9 per cent compared to the same period in 2020, according to the
emirate’s Real Estate Registration Department.
“Sharjah and Ajman have also continued to offer strong return-on-investment of
up to 10 per cent for villas and apartments, while the rental market in both
emirates has remained competitively priced in H1 2021,” said the report.
In Sharjah, ready apartments experienced an uptick in sales
price-per-square-foot in the first half of 2021, while in Ajman, Downtown has
remained the most popular choice with prospective buyers looking for apartments
in the first six months of 2021.
Apartments in Al Khan have been the top choice for investors in H1 2021, with
average price-per-square-foot rising by 14.9 per cent, from Dh714 to Dh820. Al
Majaz has seen sales price-per-square-foot for apartments remain steady at
Dh354, while Al Nahda and Muwaileh have recorded price increases between 3.0 per
cent and 8.0 per cent in H1 2021. Al Majaz has also continued to offer strong
rental returns of 6.57 per cent for apartments for sale, while Al Nahda has been
yielding an average ROI of 5.1 per cent.
Sharjah’s rental market has remained tenant-friendly in the first half of 2021,
recording price fluctuations of below 11 per cent for apartments in popular
neighbourhoods.
Al Nahda has been the most preferred choice for tenants in search of rental
apartments, followed closely by the waterfront neighbourhood of Al Majaz. The
asking rents for flats in Al Nahda have seen minor declines between 4.0 per cent
and 8.0 per cent, averaging at Dh16,000 for studios, Dh21,000 for one-bed flats
and Dh28,000 for two-bed apartments.
In the category of villas for rent and sale in Sharjah, Al Tai has been the top
choice for potential tenants and investors in H1 2021. According to Bayut &
dubizzle’s half-yearly report, Al Gharayen has been offering high average ROI of
6.18 per cent for villas in Sharjah.
In Ajman, the average price-per-square-foot for ready apartments for sale in
Ajman Downtown and Emirates City has remained steady in H1 2021, averaging at
Dh202 and Dh175 respectively. On the other hand, apartments in Corniche Ajman
have experienced a 6.35 per cent increase in average price-per-square-foot,
rising from Dh418 to Dh445.
“Investors looking to benefit from high rental returns on apartments should
consider Garden City, Ajman Downtown and Emirates City, which have been yielding
average ROI of 9.83 per cent, 9.62 per cent and 9.61 per cent respectively,”
said the report.
Consumer trends reveal that Al Nuaimiya has remained the most popular choice
among prospective tenants for rental apartments in Ajman. In H1 2021, the asking
rents for flats in Al Nuaimiya have experienced slight decreases of up to 4.0
per cent. Tenants can expect to pay Dh15,000 for studios, Dh19,000 for one-bed
and Dh28,000 for two-bed apartments in Al Nuaimiya. Other centrally-located
neighbourhoods such as Al Rashidiya, Ajman Downtown and Al Jurf, as well as
suburbs such as Al Rawda and Emirates City, have seen rental prices for
apartments remain largely steady in H1 2021, recording minor declines of under
6.0 per cent.