Sharjah and Ajman property offers good investment opportunities

Real estate portal Bayut says return on investment prospects are healthy as prices dip for the first quarter

Sharjah Media City, a media hub in the emirate is teaming up with and Mashreq Bank to support small and medium enterprises. Antonie Robertson / The National

The property market in Sharjah and Ajman remains buouyant, even as prices have fallen on average across popular districts for both emirates, with average return on investment at 7 per cent in Sharjah and over 11 per cent in Ajman for certain neighbourhoods, according to real estate portal Bayut's Q1 market report.

“Over the first quarter of 2019, both Sharjah and Ajman present a lucrative opportunity for investors. From a rental perspective as well, the combination of reasonable rents and easily accessible schools makes both these emirates extremely attractive options for families in the UAE," said Haider Ali Khan, CEO of Bayut.

Apartment prices in Sharjah have slipped between 2 and 6 per cent for both sales and rentals, with prices staying stable in certain areas, the report said.

According to Bayut, larger apartment units for sales in popular locations such as Al Majaz and Al Khan have seen price decline less than 6 per cent, while they have fallen around 11 per cent mark in Abu Shagara and Al Khan. According to search trends, Al Majaz is most popular with investors to buy apartments in Sharjah, Bayut said, while tenants turn to Al Nahda as their first choice for renting.

When it comes to villas in Sharjah, Al Sabkha generated the most searches by both investors and renters.

For apartments in Ajman, meanwhile, the overall price trends for both sales and rents show marginal declines between 1 and 6 per cent with prices remaining stable in many areas, Bayut said. For apartment sales, declines are at the 7 to 8 per cent margin for units in Garden City and Al Sawan.

As for the rental apartments, the most significant decreases are for units in Ajman Downtown, Al Rashidiya and Al Jurf, where prices have gone down by an average of 6 per cent. In terms of popularity, Ajman Downtown has received the most interest from investors while for apartment rentals Al Nuaimiya retains the top position in Q1 2019.

For villas in Ajman, Al Mowaihat is the most popular among investors whereas tenants are most interested in Al Rawda.

“The property markets in both Sharjah and Ajman have grown substantially in recent years, with reputed builders such as Eagle Hills and Emaar exploring options here," added Mr Khan