Sharjah, Ajman Turning Hot Property Markets for Investors

<span style="font-weight: 400;">The real estate markets in the northern emirates of Sharjah and Ajman have recorded stability in sales and rental prices in the first half of 2021, thanks to the affordable prices, family-friendly amenities and healthy rental yields, according to UAE real estate porta

BY Realty Plus
Published - Aug 4, 2021 4:18 AM

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The real estate markets in the northern emirates of Sharjah and Ajman have recorded stability in sales and rental prices in the first half of 2021, thanks to the affordable prices, family-friendly amenities and healthy rental yields, according to UAE real estate portals. Sales prices in both Sharjah and Ajman have increased or remained steady in most of the popular locations while rental prices have remained reasonable, stated the duo in its H1 2021 property market report. As per the Department of Land and Real Estate Regulation in Ajman, the emirate has registered AED2.7 billion worth of real estate transactions in the first quarter of 2021. Similarly, Sharjah has also recorded transactions worth AED6.7 billion in Q1, an increase of 84.9% compared to the same period in 2020, according to the emirate’s Real Estate Registration Department. Sharjah and Ajman have also continued to offer strong return-on-investment of up to 10% for villas and apartments, while the rental market in both emirates has remained competitively priced in H1 2021. As per report’s analysis of property trends in Ajman, Ajman Downtown has remained the most popular choice with prospective buyers looking for apartments in the first six months of 2021. The average price-per-square-foot for ready apartments for sale in Ajman Downtown and Emirates City has remained steady in H1 2021, averaging at AED 202 and AED 175 respectively. On the other hand, apartments in Corniche Ajman have experienced a 6.35% increase in average price-per-square-foot, rising from AED 418 to AED 445, said the report. According to the duo, investors looking to benefit from high rental returns on apartments should consider Garden City, Ajman Downtown and Emirates City, which have been yielding average ROI of 9.83%, 9.62% and 9.61% respectively. Consumer trends reveal that Al Nuaimiya has remained the most popular choice among prospective tenants for rental apartments in Ajman. The report's key highlights for the emirate are: In H1, the asking rents for flats in Al Nuaimiya have experienced slight decreases of up to 4%. Tenants can expect to pay AED15,000 for studios, AED19,000 for 1-bed and AED28,000 for 2-bed apartments in Al Nuaimiya. Other centrally-located neighbourhoods such as Al Rashidiya, Ajman Downtown and Al Jurf, as well as suburbs such as Al Rawda and Emirates City, have seen rental prices for apartments remain largely steady in H1 2021, recording minor declines of under 6%. When it comes to villa properties in Ajman, Al Yasmeen has emerged as the preferred choice among buyers, while Al Rawda has remained the firm favourite for rental villas, stated the report. For investors looking to earn high returns, villas in Al Helio have been offering an average ROI of 6.06%, based on projected rental yields.