Demand for one and two-bedroom apartments in Qatar has pushed rental rates up eight per cent according to a recent survey.
A report from property management company, Asteco, showed villa rents for the second quarter were up four per cent while only marginal increases were witnessed across residential locations.
Jed Wolfe, managing director of Asteco, said: “Demand for one-and two-bedroom apartments is now beginning to outstrip supply in various locations, particularly in the Diplomatic District and the Pearl-Qatar, both offering good quality accommodation, something tenants from mature overseas markets, will not compromise on.”
Rental growth for the remainder of the year may be limited, as a significant amount of apartments are scheduled to complete by the year end, but Wolfe remained upbeat.
“If demand continues to grow at this pace, the market could acquire a healthy supply and demand balance particularly in the one- and two-bedroom category,” he added.
The highest average rental rate for either a one-or two-bedroom apartment at the Pearl-Qatar in Q2 was QAR9,750 and QAR13,000 per month respectively.
The lowest rents were found in Najma where one-and two-bedroom apartments averaged QAR3,625 per month and QAR5,125 per month.
Overall average villa rental rates were also up four per cent due once again to supply and demand dynamics. The most expensive area, West Bay Lagoon, averaged QAR23,500 per month for a four-bedroom villa, while in Al Khraytiyat a similar property costs QAR9,750 per month.
“The most modern, high quality and well serviced compounds, are now developing waiting lists for prospective tenants, such is the demand,” added Wolfe.