Qatar's Property Market Resilient as Home Sales Up 23.6% in Q2

Qatar's real estate market exhibited remarkable resilience in the second quarter of 2026, according to Satyendra Pathak of Qatar Tribune Business. The "Qatar Real Estate Research – Second Quarter 2026" report by ValuStrat indicated a robust recovery in residential sales and a substantial increase in mortgage activity, signaling sustained confidence in the property sector despite regional uncertainties. Residential sales transactions rose by 23.6% quarter-on-quarter and 15.8% year-on-year, totaling 755 transactions during the three-month period. The median residential transaction value also strengthened, increasing by 4.5% quarterly and 8.2% annually to approximately QR3 million. This performance suggests continued buyer activity and that property demand is a key pillar of stability for Qatar’s broader real estate market.

The positive residential outlook was further bolstered by strong mortgage activity. Qatar registered 335 mortgage transactions for ready properties during Q2, marking a 15% quarterly increase and an 8% annual rise. The total value of these mortgage transactions reached QR16 billion, up 9% from the previous quarter and a significant 61% higher than the previous year. Doha municipality was the leading center for mortgage activity, recording 139 transactions valued at QR14.2 billion. The combination of increased transaction volumes and rising mortgage values is an encouraging sign of activity in the residential sector. Residential capital values showed limited movement, reinforcing overall market stability, with the ValuStrat Price Index at 97.8 points in Q2 2026. Apartment and villa values remained largely unchanged, with apartment capital values averaging QR10,460 per square meter, and villa capital values at QR5,675 per square meter, remaining stable year-on-year.

Residential gross yields held steady at 5.6%, with apartments delivering an average gross yield of about 8% compared to 4.4% for villas. Qatar's residential stock reached 406,097 units in Q2, comprising 257,271 apartments and 148,826 villas. Approximately 355 apartments were delivered during the quarter, with about 4,600 residential units slated for completion in the second half of 2026. Over 600 units have been deferred to 2027, primarily in Lusail, indicating a more measured approach to project delivery and potential market adjustment to changing demand.

The office sector presented a more selective picture, though high-quality spaces continued to attract demand. Grade A office rents saw a 1.6% annual growth, with Lusail being a strong performer at 4.5% annual rental growth. ValuStrat reported that semi-government entities are increasingly considering moves to higher-quality offices, including premium developments like The Pearl. Qatar's retail market also showed signs of improvement, with stable total retail supply at 5.7 million square meters of gross leasable area. Retail activity improved after a softer first quarter, supported by major events and promotions. The hospitality sector faced greater pressure, with 0.6 million visitor arrivals, though GCC tourism provided significant support, accounting for 40% of total arrivals, with an 11% quarterly increase in GCC visitor numbers. Despite challenges across various sectors, Qatar’s property market has demonstrated its ability to absorb uncertainty and adapt. The residential real estate sector, with its higher sales volumes, rising transaction values, and increased mortgage activity alongside stable property values, provided the strongest signal of resilience in Q2, according to ValuStrat. As Qatar enters the second half of 2026, the market appears characterized by stability, selective growth, and stronger activity in high-quality assets, suggesting underlying confidence in the real estate sector remains intact.