Key takeaways
- Residential sales increase: Sales volume rose by 23.6% quarter-on-quarter and 15.8% year-on-year, reaching 755 transactions and indicating a rebound in buyer activity.
- Price stability: The residential ValuStrat Price Index (VPI) stood at 97.8 points, remaining broadly stable both quarterly (-0.2%) and annually (-0.3%).
- Commercial performance: Grade A office rents held firm at QAR 115 per square metre per month, while Grade B and C rents saw a decline as occupiers prioritised cost efficiency.
- Hospitality fluctuations: Visitor arrivals experienced a decline, although regional GCC travel provided a seasonal boost, accounting for 40% of total arrivals in May.
How did the residential market perform in Q2 2026?
Featured on Zawya, ValuStrat’s Q2 2026 Qatar real estate review notes that the core property market demonstrated stability. Anum Hasan, Head of Research, Qatar at ValuStrat, stated that the ValuStrat Price Index (VPI) showed apartment and villa capital values remaining broadly stable. Residential transaction activity rebounded strongly following a subdued first quarter, with sales volume increasing 23.6% quarter-on-quarter to 755 transactions.
The median transacted ticket size reached QAR 3.0 million, reflecting stronger buyer appetite for higher-value properties, particularly in Al Wukair, The Pearl, and Lusail. Mortgage activity also expanded, with 335 ready-property transactions totalling QAR 16 billion. In the rental market, headline asking rents settled at a median of QAR 8,100 per month. However, effective net rents adjusted downward as landlords increasingly offered extended grace periods, utility-inclusive packages, and targeted discounts to maintain occupancy, with lease renewals outpacing new contracts.
What were the trends across the commercial, hospitality, and industrial sectors?
The commercial office market showed a polarised performance. Grade A office rents remained unchanged at QAR 115 per square metre per month, supported by semi-government relocations to Lusail. In contrast, Grade B and C office rents declined by 2.1% quarterly to QAR 66.6 per square metre per month. The retail sector saw shopping mall median rents dip slightly by 1% quarter-on-quarter to QAR 177 per square metre, though retail footfall improved, buoyed by Eid Al-Adha promotions and cultural events.
The hospitality sector faced near-term pressure, recording 0.6 million visitor arrivals. Average hotel occupancy fell to 51.9%, with Average Daily Rates (ADR) declining to QAR 380. However, regional GCC travel provided a seasonal boost in May, accounting for 40% of total arrivals. In the industrial sector, ambient warehouse rents stood at QAR 37.4 per square metre, remaining stable despite maritime logistics being impacted by regional shipping disruptions.
