Sharjah records Dh14.7bn in real estate transactions in first half of 2019

Sharjah is attracting real estate investors due to its economic stability, government report says. Antonie Robertson/The National

Sharjah recorded a total of 27,588 real estate transactions worth Dh14.7 billion in the first half of the year, in part thanks to its economic stability, according to government data.

Arabian Gulf nationals were the top investors in the northern emirate's property market during the first half of the year, spending Dh11.8bn compared to Dh2.8bn in investments by other nationalities, the Sharjah Real Estate Registration Directorate (Serd) said in a report on Sunday. Overall, investors bought more homes than any other type of property, while Sharjah City saw the most sales deals.

The government body did not provide comparative figures for the same period of 2018.

"Advanced infrastructure, proactive legislations, economic stability and strategic location are elements of attraction that promote the image of Sharjah as a global leading investment destination in the real estate sector," said Abdul Aziz Ahmed Al Shamsi, director general of Serd.

The property market in Sharjah remains buoyant even as prices have fallen on average across popular districts in the emirate, with average return on investment at 7 per cent in certain neighbourhoods in the first quarter, according to real estate portal Bayut. Apartment prices in Sharjah have slipped on average between 2 and 6 per cent for both sales and rentals, although in certain areas prices remained stable in the first three months.

According to Serd, residential properties topped sales transactions, comprising 69.7 per cent of total deals recorded, followed by commercial, industrial and agricultural properties.

Most of the real estate transactions were in Sharjah City, with 1,704 sales transactions covering 91 areas, out of a total 1,893 sales deals, the report said.

The most popular areas were Muwaileh Commercial Area, followed by Al Khan and Al Nahda. Muwaileh Commercial Area also ranked top in Sharjah for value of property deals, the report said without providing figures.

Investors representing 37 nationalities invested in the emirate in the first six months of 2019. Most of the property deals were recorded in May with more than Dh6bn worth of transactions taking place.