Qatar's Realty Sector Poised For Incredible Growth, Targets $42.77bn By 2028
Qatar's real estate sector is predicted to grow steadily, reaching nearly QR155.7bn by 2028. In 2023, the combined growth of real estate activities and construction sectors was 3.4%, accounting for QR132.4bn and contributing to almost 19% of Qatar's GDP. These two sectors make up nearly one-third of the country's non-oil sector, according to Property Finder's Residential Real Estate annual report.
In May 2024, the volume of real estate trading in sale contracts registered with the Real Estate Registration Department at the Ministry of Justice amounted to QR1,260,555,145. There were 322 transactions recorded during that month, with a 60% increase in the number of properties sold compared to April 2024. The value of real estate transactions increased by 55%, while the traded areas index rose by 58%.
The establishment of the Real Estate Regulatory Authority (RERA) under Amiri Decision No. 28 of 2023 marks a crucial step towards regulating and organising Qatar's real estate sector. RERA aims to implement development strategies, foster transparency, stimulate growth and provide a structured framework for overseeing activities and ensuring compliance with regulations.
The Ministry of Municipality launched the Real Estate Platform of Qatar (QREP) last year, offering accurate data and statistics about the real estate sector. QREP is a centralised online portal providing free access to information, facilitating business transactions and promoting transparency.
Qatar's economy has experienced significant growth due to hosting the FIFA World Cup 2022 and high global energy prices and demand. Although nominal GDP dipped from QR860bn to QR827.5bn in 2023, it is expected to reach nearly QR840bn by the end of 2024.
The country's economic growth is projected to continue over the next few years, reaching almost QR1,366bn by 2028. The real growth rate is anticipated to average between 2% and 3%, except for 2026 and 2027 when it is expected to grow by 6% and 14% respectively due to the Northfield liquefied natural gas (LNG) expansion project commencing production in 2026.
In 2023, Qatar's mining and quarrying sector accounted for up to 37% of its GDP; this share is expected to increase to 39% by 2028 following the LNG project launch. This reliance on hydrocarbon exports has made Qatar one of the world's wealthiest economies with a GDP per capita of $75,000 in 2023.
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