Key takeaways
- Sales volume rebound: Residential transaction volumes expanded decisively by 23.6% quarter-on-quarter and 15.8% year-on-year to 755 transactions during Q2 2026.
- Mortgage values surge: Ready-property mortgage transactions jumped 61% year-on-year to reach QAR 16 billion ($4.4 billion), supported by stable borrowing conditions.
- Capital value stability: The ValuStrat Price Index (VPI) for the residential market settled at 97.8 points, reflecting a marginal 0.2% quarterly easing and overall capital value stability.
- Diverging property dynamics: While residential sales thrived, the office and hospitality sectors faced polarized performance, and landlords increasingly utilized non-price incentives to protect rental occupancy.
How did Qatar's residential market perform in Q2 2026?
Featured in Economy Middle East, ValuStrat’s latest market research reveals that buyer activity returned decisively to Qatar’s housing market. Residential sales volumes jumped 23.6% from the previous quarter, recording 755 home transactions. Anum Hasan, Head of Research for Qatar at ValuStrat, noted that stable apartment and villa indices, combined with higher mortgage activity, indicated that buyer confidence held firm despite wider regional uncertainties.
The median deal value reached approximately QAR 3 million, up 4.5% quarterly and 8.2% annually, pointing toward a market shift favouring higher-value properties. Despite the surge in transaction volumes, overall property values remained broadly stable across the country. The residential ValuStrat Price Index (VPI) stood at 97.8 points, with apartment prices holding firm at an average of QAR 10,460 per square metre and villa values stable year-on-year at QAR 5,675 per square metre.
What trends emerged in leasing and commercial real estate?
On the leasing side, the median monthly asking rent stood at QAR 8,100. While headline asking prices steadied, landlords increasingly offered targeted concessions, utility-inclusive packages, and longer grace periods to protect occupancy. This led to a softening in effective net rents, particularly for larger homes facing pressure from tightening household budgets and temporary family relocations.
In the commercial sector, the office rental value index fell 0.6% quarterly to 96.2 points as the market displayed a widening quality divide. Grade A asking rents remained stable at QAR 115 per square metre per month (+1.6% YoY), driven heavily by semi-government relocations, while Grade B and C rents declined by 2.1% quarterly. Concurrently, the hospitality market faced heavy pressure, with visitor arrivals dropping 45% year-on-year to 600,000, bringing average hotel occupancy down to 51.9% and amplifying rate pressures across the sector.
