Sharjah villa prices rise nearly 12% in 2017
Villa prices in Sharjah recorded an 11.7% increase in the first six months of 2017, according to international real estate consultancy, Cluttons
Villa prices in Sharjah recorded an 11.7% increase in the first six months of 2017, according to international real estate consultancy, Cluttons.
Cluttons’ Sharjah Property Market Snapshot for Summer 2017 shows that villa rents in Sharjah now stand at almost $30,491 (AED112,000) per annum, the first rise in villa rents since 2015.
These numbers are a sharp contrast to rent prices in neighbouring cities like Dubai and Abu Dhabi, where average annual villa rents at the lower end of the price spectrum stand at roughly $38,114 (AED140,000) to $40,837 (AED150,000).
Suzanne Eveleigh, Cluttons’ head of Sharjah at Cluttons, said: “Demand for villas in Sharjah is likely to continue rising, fuelled by the relative affordability of homes compared to those in Dubai, which in turn will remain a key catalyst behind the multitude of mixed use freehold projects bubbling through.”
Apartment rents in Sharjah however have maintained their downward trajectory, slipping 7% in the first half of 2017 after an 8.1% decline in 2016.
Cluttons’ research shows that rents in Sharjah’s Al Nahda area, for example, have lost the most ground when compared to the other markets the consultancy monitors, decreasing by 10.9% between January and June 2017.
Eveleigh added that apartment rents in the emirate will continue to soften over the next six months, reflecting declines in Dubai of 5% to 7% as landlords move to remain competitive.
According to Propertyfinder data, the decrease in apartment rent prices is predicted to continue into 2018 in Dubai, with median rental prices dropping 21% between November 2015 and April 2017.
As a result, the drop in residential prices has created more interest for potential investors in Sharjah and Dubai and has also created an optimum time to buy property.