Doha, Qatar: Qatar’s property sector remained resilient in the first quarter of 2026 despite softer transaction activity and broader regional uncertainty, according to the latest ValuStrat report, which showed steady price performance supported mainly by gains in the villa segment.
The ValuStrat Price Index (VPI) for Qatar’s residential sector rose 1.6 percent year-on-year in Q1 2026 while remaining stable on a quarterly basis at 98 points, against a base of 100 in Q1 2021.
The report highlighted that apartment capital values remained unchanged both quarterly and annually, averaging QR10,475 per square metre following the last increase recorded in Q2 2025.
Sales prices averaged QR10,615 per square metre in The Pearl, QR9,550 in West Bay Lagoon, and QR10,330 in Lusail. Among the three locations, only Lusail recorded annual growth, with values rising 1.5 percent year-on-year.
Villa values, meanwhile, showed stronger momentum, increasing 1.9 percent annually to an average of QR5,690 per square metre while remaining broadly stable quarter-on-quarter. Al Wakrah recorded the strongest quarterly increase at 3.5 percent, while annual gains of between 2 percent and 6 percent were registered in Umm Salal Ali and Muaither.
However, villa values in The Pearl and West Bay Lagoon remained unchanged quarterly and declined by as much as 10 percent annually.
“The residential sector remained stable, with the ValuStrat Price Index unchanged quarterly but increasing annually, supported primarily by gains in the villa segment,” said Anum Hassan, Head of Research at ValuStrat.
“Ticket sizes showed quarterly strength, rising by 3.2 percent, while transactions recorded a 21.1 percent quarterly decline, reflecting softer activity. A drop in transactions between February and March was also observed; however, a similar trend last year suggests the slowdown was largely seasonal rather than driven by geopolitical tensions,” she said.
According to the report, residential transaction volumes declined 21.1 percent from the previous quarter but increased 22.7 percent year over year. Sales activity in March dropped by 50 percent from February, although ValuStrat noted that a similar slowdown occurred during the Ramadan and Eid period last year, indicating that seasonal patterns likely contributed to weaker activity alongside broader geopolitical uncertainty.
Transaction activity remained strongest in Al Wukair and The Pearl. However, The Pearl and Legtaifiya recorded a 7.7 percent quarterly decline in transaction volumes and a sharp 69 percent annual drop, while values fell 12 percent quarterly but remained stable annually.
Qatar’s total residential stock reached 405,742 units by the end of Q1 2026, comprising 256,916 apartments and 148,826 villas. During the quarter, an estimated 957 apartments and 173 villas were delivered to the market.
Notable villa completions included 49 luxury homes at Giardino Village in The Pearl Qatar, while Fox Hills led apartment deliveries with 146 units, followed by Mesaieed and Al Sadd.
Rental performance also showed signs of stabilisation as median villa rents declined 3.3 percent quarter-on-quarter and 6.1 percent annually, with Al Wakrah posting a 1.2 percent quarterly decline while most major areas remained stable.
Demand continued to be concentrated in three and four bedroom villas, reflecting sustained family occupancy trends in suburban communities.
The report noted that around 6,900 villa lease contracts were registered during the quarter, down 8.7 percent from Q4 2025. While new lease agreements declined 12.4 percent, renewals increased by 7 percent, suggesting reduced tenant mobility and greater residential stability.
“Residential rents stabilised quarterly across both apartments and villas, while rising renewals alongside fewer new contracts indicated reduced tenant mobility,” Hassan added. Despite softer leasing and transaction activity, analysts say Qatar’s residential market continues to benefit from strong infrastructure investment, controlled supply growth, and sustained demand for high-quality housing.
