Sharjah Market Report for Q3 2020: Affordable prices and family-friendly amenities continue to attract tenants and investors

• Apartments for sale in Sharjah
• Flats for rent in Sharjah
• Villas for rent and sale in Sharjah
• Off-plan projects in Sharjah

As we enter the fourth quarter of 2020, it’s time to take a closer look at how the Sharjah property market has performed during the last three months. To analyse the performance of the market and gauge which areas have garnered the highest consumer interest, we have compared the property trends of the last three months to the second quarter of 2020.

Areas such as Al Khan, Al Majaz and Al Nahda have continued to appeal to both tenants and investors, thanks to their excellent connectivity, accessibility and attractive amenities. These communities have also appealed to investors, thanks to the healthy projected ROI based on rental yields, exceeding 6%.

For a detailed analysis of the property prices in Sharjah, take a look at our Sharjah real estate market report for Q3 2020.

AL KHAN IS THE MOST SEARCHED AREA FOR BUYING APARTMENTS IN SHARJAH

PROPERTY PRICES IN SHARJAH FOR BUYING APARTMENTS IN Q3 2020

Al Khan has been the most popular area to buy apartments in Sharjah for Q3 2020. The established area promises an upscale waterfront lifestyle and is best known for its proximity to Dubai. Compared to the second quarter of 2020, the price per square foot for apartments in the area has increased marginally by 1.3% from AED 412 in Q2 to AED 418 in Q3 2020. The average price of 1-bedroom apartments in Al Khan has been AED 441k while those for 2-bedroom flats for sale in Al Khan has been slightly higher, averaging at AED 697k.

Al Majaz has been the second most sought-after neighbourhood among those looking to buy flats in Sharjah. Similar to Al Khan, the area has shown a slight increase in the price-per-square-foot by 1.2%, going up to AED 367 in Q3 2020 from AED 363 in Q2 2020. Overall, the prices have also remained highly competitive. The asking price for 2-bedroom flats in Al Majaz is AED 502k on average.

Strategically located between Sharjah and Dubai, Al Nahda has taken the third spot in the list of most popular areas for buying flats in Sharjah. Homeowners looking for a family-friendly area to buy an apartment in Sharjah have found that Al Nahda is quite convenient as it houses a park and a variety of schools. The price per sq.ft of flats in Al Nahda has averaged at AED 390 for Q3 2020. The 1-bedroom apartments in Al Nahda have averaged at AED 400k while bigger units, 2-bedroom flats in Al Nahda have averaged at AED 516k.

The slight increase in property prices for apartment sales in Sharjah could be due to the emirate’s increasing appeal as a family-friendly hub. Some of the newer developments in these areas, including Maryam Island, have a slew of recreational facilities and entertainment areas similar to those in the larger emirates of Dubai and Abu Dhabi. The prices have also been more reasonable in Sharjah, putting landlords and developers in a more favourable position to negotiate prices. In addition to these areas, the school district of Muwaileh has also remained popular with investors and homebuyers in Sharjah.

AL NAHDA OFFERS GOOD ROI FOR APARTMENTS IN SHARJAH

With healthy rental yields of 6.8%, Al Nahda has become one of the most investor-friendly neighbourhoods to buy flats in Sharjah. Al Khan and Al Majaz have also offered healthy ROI of 6.7% and 6.6%.

AL MAJAZ IS THE TOP AREA TO RENT APARTMENTS IN SHARJAH

PROPERTY PRICES IN SHARJAH TO RENT FLATS IN Q3 2020

Al Majaz has continued to draw the attention of tenants looking to rent apartments in Sharjah. Compared to the second quarter of 2020, the average rent for studios and 1-bed apartments in the neighbourhood has shown a moderate decline of 5.6% and 4% respectively. The prices for 2-bed units in the area have gone up marginally, showing healthy demand for larger family-oriented units. The average rent of studios in Al Majaz has been highly competitive at AED 17k, while the rents of 1 and 2-bedroom flats in Al Majaz have averaged at AED 24k and AED 35k respectively.

Al Nahda has also remained a popular choice for tenants in Sharjah. Those keen on renting apartments in Al Nahda have been attracted by the area’s proximity to Dubai and its family-friendly nature. The average rent of studios in Al Nahda has also been AED 17k, showing a slight decrease of 5.6% compared to Q2 2020. The rent of 1-bedroom apartments in Al Nahda has averaged at AED 25k while 2-bedroom flats in Al Nahda have seen rental costs stay steady, averaging at AED 34k.

Tenants searching for rental flats in Sharjah have also shown interest in Al Taawun, a bustling neighbourhood located near the Sharjah-Dubai border. The area reveals a moderate decrease of 5.6% in average rents of studios, compared to the second quarter of 2020. The asking rent for studios in Al Taawun has stayed competitive at an average of AED 17k. The average rent of 1-bedroom flats in Al Taawun has averaged at AED 26k, while the prices to rent 2-bedroom flats in Al Taawun stand at AED 34k, similar to Al Nahda.

Apart from these areas, Muwaileh and Al Khan have also been popular among those looking for apartments for rent in Sharjah. Other popular areas that tenants have been interested in include Muwailih Commercial, Al Qasimia and Abu Shagara.

TOP 10 AREAS TO BUY AND RENT VILLAS IN SHARJAH

AL RAHMANIYA IS THE MOST POPULAR COMMUNITY FOR VILLA SALES IN SHARJAH FOR Q3 2020

The quaint, serene community in Sharjah, Al Rahmaniya has been a firm favourite among those looking to buy villas in the emirate. It offers access to several notable landmarks and has a healthy selection of villas for buyers to choose from. The price of villas for sale in Al Rahmaniya starts from AED 1.3M, as per current listings on Bayut.

Buyers have also shown an inclination towards Muwaileh when it comes to buying villas in Sharjah. The area is close to a variety of family-friendly amenities including schools, beaches, malls and eateries. For frequent travellers, Sharjah International Airport is also located in the vicinity. The average price to buy villas in Muwaileh ranges between AED 1.1M and AED 3.8M, as per current listings on Bayut.

Other areas which have received a fair share of consumer interest in Sharjah for villa sales include Hoshi, Sharqan, Al Ghafia, Al Gharayen, Al Noaf, Sharjah Garden City and Al Sabkha.

AL NOAF HAS THE HIGHEST ROI FOR VILLAS IN SHARJAH

For those looking to buy villas in Sharjah, Al Noaf has offered the highest ROI of 11.5%. Other communities with healthy returns include Al Sabkha, Barashi, Muwaileh, Hoshi and Al Gharayen, all of which have offered rental yields of over 5%.

AL JAZZAT IS THE MOST POPULAR AREA TO RENT HOUSES IN SHARJAH FOR Q3 2020

Al Jazzat has consistently been gaining the attention of tenants in Sharjah. It enjoys excellent connectivity and proximity to the city’s major attractions, which could contribute to the high consumer interest in the community. As per current Bayut listings, the asking rents for villas in Al Jazzat start from AED 25k.

Sharqan has been the second most popular area for renting villas in Sharjah. The rent of villas in Sharqan ranges between AED 65k and AED 170k as per the latest listings on Bayut.

Al Sabkha and Al Ghafia have also remained on the list of the most sought-after areas to rent villas in Sharjah. While both of them have been known for accessibility and luxury living, Al Ghafia is particularly suited for commuters as it lies close to the Ajman-Sharjah border. Tenants have also shown interest in areas like Barashi, Al Qadisiya, Al Azra and Al Nekhailat to rent villas in Sharjah.

OFF-PLAN PROJECTS IN SHARJAH

The off-plan property market in Sharjah has been rapidly evolving with new projects that offer a variety of options for investors. In the third quarter of 2020, MISK Apartments in Aljada has emerged as one of the popular off-plan projects in Sharjah. Given that Aljada is a well-connected area and offers access to schools, medical facilities, community gardens and sports arenas, its popularity among investors is not surprising. While some flats in MISK Apartments have been handed over, others are still under development.

The second most sought-after project for off-plan properties in Sharjah has been Nasma Residences in Al Tai. Located at the intersection of two major roads, Al Tai is a suburban community with proximity to restaurants, beaches and malls. It features a choice of villas and townhouses. While most phases of the project have been completed, some units are still available for off-plan purchases.

Potential investors looking at off-plan apartments in Sharjah have also shown interest in Maryam Island. The area promises excellent facilities and waterfront living. The project is also near completion and is expected to begin a phased handover process by the end of the year.

Other off-plan developments that have gained the attention of prospective buyers include Al Suyoh 7 in Al Suyoh and Blue Bay Walk in Sharjah Waterfront City. While Al Suyoh 7 offers a choice of villas, Blue Bay Walk has numerous off-plan apartments.

That brings an end to our Sharjah property market report for Q3 2020. The market presents favourable conditions for tenants as well as investors searching for properties for sale in Sharjah. If you want to know how other property markets have fared for in the UAE, have a look at the Q3 2020 Dubai Market Report or get updates about the capital’s market status via the Abu Dhabi real estate report for Q3 2020.

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Disclaimer: The above report is based on property prices in Sharjah advertised by real estate agencies on behalf of their clients on Bayut.com, and not representative of actual real estate transactions conducted in Sharjah.