Friday 7 August 2020

Ajman 9-month rents stable, Sharjah prices soften

DUBAI, October 21, 2019

The northern emirates residential market experienced slight fluctuations in rental rates with Ajman witnessing a general steadiness in pricing during the first nine months, while Sharjah's apartment prices continued to soften, said a report by dubizzle Property, a leading UAE-based online property platform.

On analysing the fluctuations in prices from January to September 2019 for Ajman, dubizzle pointed out that the apartment rental prices in the northern emirate had showcased signs that the market was beginning to stabilise even as property prices in the UAE were experiencing a general downward trend over the last 18 months.

The top three popular areas for one-bedroom apartments in the emirate were Al Rashidya, Emirates City and Al Jurf, which experienced no change in prices in the first nine months of 2019.

When looking at the two-bedroom apartments for rent in the same areas, prices in Al Rashidiya and Al Jurf increased by 3% and 2% respectively, with prices in Emirates City remaining the same, said the portal.

On the Sharjah scenario, dubizzle said contrary to the Ajman's findings, the prices in the neighbouring emirate continued to soften throughout 2019 in line with current market trends.

The most popular areas for one-bedroom apartments were Al Nahda, Al Qasimia and Al Qasba, which have recorded a decrease in rental prices by 10%, 9% and 7% respectively.

The two- and three-bedroom apartments witnessed a similar trend, with popular areas Al Nahda, Al Qasba and Al Majaz experiencing an average price decrease of 10%, 11% and 4% respectively, stated the report.
Matthew Gregory, the director at dubizzle Property, said: "As we know, property prices are greatly impacted by supply and demand, so the price trends we see in the Northern Emirates are completely natural."

"As property across the UAE becomes more affordable, it presents tenants who may have previously lived in Sharjah and commuted to work in neighbouring emirates, for example, with new opportunities to move to, or even invest in, a property in Dubai," noted Gregory.

"This ultimately affects the demand for rental property in Sharjah, hence impacting the prices. However, as the industry continues on its journey through the property cycle, we will see the market begin to stabilise in the near future," he added.-TradeArabia News Service


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