Why rent remains high in Qatar?

According to the latest data by Global Property Guide, Qatar recorded the highest average monthly rent for two-bedroom apartments in the Middle East. BUNYAN explores why the prices remain elevated and keep rising gradually and when they are expected to decline. 

Rents for apartments and villas in residential areas in Qatar’s major cities including Doha, Lusail, and Al Wakrah skyrocketed during the World Cup and were expected to decline post-tournament. However, that is not how things turned up. BUNYAN explores why the prices remain elevated and keep rising gradually and when they are expected to decline. 

According to the latest data by Global Property Guide, Qatar recorded the highest average monthly rent for two-bedroom apartments in the Middle East. The report showed that Qatar topped the list with an average rent of $3,742 (QR13,625) on a monthly basis followed by the United Arab Emirates with $2,208 (QR8,043), an immense difference of $1,534 (QR5,582) between the top two countries. Several factors affected the housing market as the transaction volumes increased rapidly by 36 percent in the previous years. During the third quarter of 2021, Muaither, Al Wakrah, and Al Khor recorded the highest volume of transactions in the market.

The Top Doha Hotels and Resorts

The most prestigious addresses in Doha are magnificent collections that include some of the most high-fashion names in the hotel sector.

Top hotels in Doha

Doha's skyline continues to be altered with high-end hotels, many of which are big-hitting worldwide imports from names like as St. Regis and Four Seasons. Long linked with glamour, grandeur, and opulent richness, Doha's cityscape has long been associated with these qualities.

These are some of the top hotels in Doha to stay in if you want to have a fashionable stay in Qatar's capital city.

Mondrian Doha

The interiors of the Mondrian Doha, which were conceived of by Dutch design legend Marcel Wanders, are a remarkable mix of traditional and contemporary design, as well as aspects from the local culture and the wider world. The structure that houses the hotel, which is located in West Bay, was created by Southwest Architecture to resemble the falcon, which is Qatar's national bird.

Mandarin Oriental Doha

The Mandarin Oriental Doha is one of the most stylish and attractive hotels in Doha, and it can be found in the revitalised and sustainable cultural core of the city, Msheireb Downtown Doha. Its cobblestone streets sparkle in the bright sunlight. The famous David Collins Studio was responsible for the design of this hotel, which features 249 luxurious rooms, suites, and apartments that are thoughtfully dispersed around a climate-controlled square and shaded alleyways. The hotel is a seamless combination of Qatari legacy and storied luxury. The rooms are designed in an enfilade of gentle cream tones and heritage-rich accents, taking their cue from a typical Qatari house.

Alwadi Hotel Doha – MGallery

Doha's Mshreib Downtown neighbourhood is now home to a chic outpost of the MGallery boutique hotel chain, which just opened its doors there. The new five-star facility blends traditional Qatari hospitality with contemporary design, bringing the brand's characteristic cool, lifestyle attitude to the cultural core of the city. The hotel itself is a short walk away from attractions such as M7 and Souq Wafiq, and it provides visitors with large rooms and suites, some outstanding restaurants and bars, wellness facilities, and a rooftop pool with breathtaking views over low-rise Mshreib and the city.

The Four Seasons Hotel, located in Doha

The urban retreat that the Four Seasons offers in Qatar is just another example of how well-versed the company is in the art of offering premium hospitality. The Four Seasons Hotel Doha reopened in March 2020 after undergoing substantial renovations. The hotel's interior design has been completely overhauled, with Pierre-Yves Rochon, a renowned and award-winning interior designer, being responsible for the project. The remodeling incorporates aspects that are both classical and contemporary, as well as hints of Middle Eastern influences from the surrounding area.

St Regis Doha

The St. Regis Doha, which is located on the West Bay of Qatar's sophisticated capital city, Doha, is influenced by its surroundings. Throughout the property, design elements that make reference to the Arabian sands and historic city architecture can be found interspersed. Guests may anticipate checking into one of the hotel's 336 deluxe rooms or suites, each of which features enticing views of the sea and a continuation of the Arabian-inspired décor seen throughout the hotel. Gourmet eating is presented throughout an exceptional selection of 10 restaurants, giving a culinary story that takes diners through both regional flavors and cuisines from across the world, all prepared by chefs who are known on the worldwide stage.

W Doha

When you enter the fashionable world of W Doha, it is almost as if you are walking directly into a bustling location in New York City. The whimsical aesthetic that has been synonymous with the brand can be found throughout the whole property, which is located in the middle of Doha's West Bay. The W living room is W's re-imagining of the hotel lobby, and it has water elements, seating that is suspended from the ceiling, and contemporary hanging lanterns that are hand-blown. Guests are welcomed into an exceptional assortment of rooms and suites that are outfitted with contemporary conveniences and windows that go from floor to ceiling and make the most of the city or ocean views, respectively.

One of Ritz-finest Carlton's properties, the Sharq Village & Spa

Sharq Village & Spa, a Ritz-Carlton hotel, can be found along Qatar's golden shoreline and is regarded as one of the most excellent hotels in Doha for providing guests with a sense of seclusion and quiet. The hotel was modeled after an exquisite marble castle, and it offers a regal aesthetic that mixes classic Arabian aesthetics with modern-day pleasures. In addition to having its own private beach, magnificent villas, and an amazing spa, the property also has its own private beach.  The resort is also home to a spa, which offers massages, facials, and body treatments. Although it gives the impression of being in a secluded and luxury setting, it is conveniently located within walking distance of both the National Museum of Qatar and Souq Waqif.

Marsa Malaz Kempinski, The Pearl, Doha

Marsa Malaz Kempinski, The Pearl is a large luxury resort on its own hidden island that has a museum-worthy collection of over 3,000 sculptures, artworks, and ornate chandeliers. This resort offers a five-star environment in which guests may experience the luxuries that the city has to offer. The hotel's 281 rooms and suites feature a modern design throughout, and each one comes with a large balcony decorated in the Venetian style and offering stunning views over the Arabian Gulf and the Pearl-Doha. The rooms and suites also exude an Arabian and European sense of luxury.

Even if it just lasts a minute, time keeps moving forward. Although it has passed, its shadow still remains. This is also true for the landscape of the emirate, which is a stunning synthesis of the long-established traditions of the past and the modern ways of living. In spite of the fact that Qatari culture has a nomadic heritage and maintains customs that date back centuries, such as hand-weaving and falconry, modernity permeates many aspects of everyday life in Qatar. It is a country that is enthralling in both beauty and vastness, and it wonderfully balances its historic history with its optimistic future.

The real estate market in Qatar before and after 2022

In the past few years, with the urban renaissance witnessed by the real estate market and the entry of new buildings and projects for use, the supply exceeded the demand in different categories of buildings, especially administrative buildings, as the surplus in administrative buildings currently needs more than five years to be absorbed through supply and demand in these Category.
Moreover, during those past years, there was an oversupply of housing units, whether apartments or villas, which led to a decline in rental returns over the past years of 30% or slightly more than the peak prices reached at the beginning of 2015. After that, the decline in the administrative buildings began first, then followed by the rental prices of residential villas, and then the decline in apartment rents, and the real estate market became a tenants market where the tenant became in a negotiating position stronger than the owner, and we started seeing offers from a month or two ago and even three for free , and perhaps even more so in the administrative sector, in addition to the drop in rental prices.
From the point of view of the consumer, this is a good reality because it provides him with a valuable amount of his income, and gives him better options in terms of location, area and condition of the building.
We have seen a decrease in the growth of the Consumer Price Index in the State of Qatar from 2016 to 2020, because the percentage of spending on housing determines the growth of this indicator.
The decline in rental income has led to a decline in land prices in most parts of the country in varying proportions according to their locations and uses.