By: Wael M. Kabrit
Director of Operations
Trending perspectives popped up over the past few months concerning the future of the real estate industry such as “Real Estate prices will mark a significant drop after the 2022 World Cup”, “Hold your cash, you never know what to expect after the 2022 World Cup”, “It’s too late to invest in real estate now, the golden age will fade after 2022”, “you can’t guarantee your return over investment after 2022 as the vision is blurry”, etc..
Those perceptions have extended to be debatable discussion material for almost anyone even who has little to do in the industry which resulted in creating a state of hesitation and uncertainty in decision making when it comes to investing in the real estate sector mainly for small investors (high paid expats or locals) looking to benefit from buying a residential unit/s aiming to lease or resale for a higher value in the future.
This is strongly reflected on the off-plan selling projects, especially those that will be delivered after the 2022 World Cup. Regardless of payment methods presented by landlords to acquire further sales; many investors are still frightened from the idea of “what if?!” any of the above will shape the future of the real estate industry after 2022!
In this article, we will be elaborating from a professional perspective on our expectations for the industry after 2022, using an actual case study that previously took place here in Qatar. Qatar is one of the fastest growing economies in the world; accordingly, we need to eliminate any conclusions that might point out the
State of Qatar is a project base country. Going a few years back, specifically to 2006 where the Asian Games were held; that era marked the turning point in the real estate industry as the sales and/or rental value of any real estate investment increased by more than 100% to 150% compared with 2004 values, and guess what? Even though the 2022 World Cup bid was not even on the table yet the real estate market still managed to maintain such an increase after almost 8 years, until oil prices declined and hit the world in 2014. Against all odds, Qatar still managed at the time to have a better economic result than its neighbours due to the successful economic diversity adopted by the government, which resulted in saving the real estate industry from a dramatic drop. From June 2017 until January 2021 at the time where the country was under a major infrastructure development implementation plan, boarder’s blockage was forced due to the Gulf crisis and once again, Qatar’s economy has successfully absorbed the shock and managed to arrange alternative solutions and resources to feed up the market needs to keep the wheel rolling.
Stop wasting opportunities! The only thing that differentiates a myth from a truth is called “evidence.” With that being said, we can’t but validate the fact that this country has been tested enough to prove that it is one of the safest economies to invest in, not only in the Middle East but also the world, and I believe that after hosting around 1.7 million people throughout the 2022 World Cup, you will be amazed with the number of opportunities that will be brought to the table afterwards, taking into consideration the impact of winning the hosting bid of the 2030 Asian Games!
Seeking a professional consultation for your investment is the first right step you do, because it will waive any unnecessary turbulences you are experiencing. Professional advice will help guide you through the actual status of the investment you are eyeing, supported with analytical market studies that will help you determine to proceed or deter from your potential investment.
We at Danat Qatar are currently developing three mega residential projects at The Pearl-Qatar that are expected to be accomplished between late 2022 and early 2023, which leads to the conclusion that the content of this article is not only a professional point of view but also a road map that we follow and work by at Alfardan – Danat Qatar fuelled with our deepest faith and believe in the leadership of his highness Sheikh Tamim Bin Hamad Al-Thani and Qatar’s vision 2030.
This article was published as part of the fifth edition of Property Finder Qatar’s Trends Report