Qatar is one of the most vibrant economies in the Middle East. The high GDP growth, an influx of population supported by employment opportunities and government policies are some of the factors driving the growth of the residential real estate sector. By the end of 2019, Qatar's population is expected to cross 2.7 million. Assuming all projects are delivered on time, Qatar will comprise of hotel apartments, 300,000 residential units.

The potential market for residential sales has been further expanded by law no. 16 of 2018 implemented in 2019. The law allows non-Qatari to purchase apartments in Lusail, West Bay and Onaiza on a freehold title whereas earlier they had temporary holding rights.

Residential supply continues to increase throughout the market with the completion of new apartment buildings and villa compounds. A relative slowdown in new demand has seen residential rents continue to soften in most areas.

According to the latest data from the official source, the contribution of real estate activities to the country's GDP during the first quarter of 2019 fell 5.84 percent to QR 9.68 billion, compared to QR 10.28 billion in the fourth quarter of 2018.

The overall number of residential sales and the total value of transactions in Qatar in April and May 2019 decreased by 20% and 29% respectively compared to the corresponding months last year, whilst the average price per transaction has decreased by 10%. The pace of recovery is expected to improve in the medium term, amid ongoing investment ahead of World Cup 2022.

Qatar Tourism Authority has significantly increased visitor numbers year on year and rental levels have now reached an affordable level. Rental trends in residential estate vary based on the type of units. Apartment supply is likely to be dominated by small units (studios and one-beds). Rents in Doha foe Villas have stabilized after declining between 2016-2018. There has been an increase in occupancy rates for or prime, well-located compounds due to a flight to quality by tenants. Pipeline supply of compound villas is significantly lower than that of apartments, which may result in rental increases if demand for these rises.