Fall in villa rents have accelerated, with average rates declining by 13.2 percent in first quarter of 2016 alone

  Rents in Sharjah’s residential property market are set to continue to decline throughout 2016, following an average fall of 5.7 percent during first quarter which has dragged the annualised rate of change in rents down to -8.3 percent, according to international real estate consultancy, Cluttons. Cluttons’ Sharjah Spring 2016 Property Market Outlook report shows that unlike last year, the fall in villa rents have accelerated, with average rates declining by 13.2 percent in first quarter of 2016 alone whereas average apartment rents fell by 1.5 percent in first quarter, leaving them 7.7 percent down in first quarter of 2015 figures. According to the report, the weaker conditions in the market are expected to continue as the year wears on, with rental falls of between 3 and 5 percent likely, on average. Faisal Durrani, head of research at Cluttons said, “Rents across Sharjah’s more affordable areas remain linked to the performance of Dubai’s rental market. With a weak short-term outlook for Dubai, we do not expect to see any turn around in rental value growth until jobs linked to the World Expo in 2020 start to materialise, which we should start to see in the next 12 to 18 months. Until then, the rental market in Sharjah is expected to remain subdued.” Cluttons research shows that demand for luxurious gated communities are continuing to rush new schemes to the market. Al Zahia and the Dh2.4 billion Tilal City are examples. It also said that these units remain affordable when compared to Dubai communities. MFD/Expat MediaJTNDYSUyMGhyZWYlM0QlMjJodHRwJTNBJTJGJTJGZXhwYXRtZWRpYS5uZXQlMkZjbGFzc2lmaWVkcyUyMiUzRSUwQSUwOSUzQ2ltZyUyMGJvcmRlciUzRCUyMjAlMjIlMjBhbHQlM0QlMjJCdXklMjBvciUyMHNlbGwlMjBhbnl0aGluZyUyMG9uJTIwRXhwYXQlMjBNZWRpYSUyMENsYXNzaWZpZWRzJTIyJTIwc3JjJTNEJTIyaHR0cCUzQSUyRiUyRmV4cGF0bWVkaWEubmV0JTJGd3AtY29udGVudCUyRnVwbG9hZHMlMkYyMDE2JTJGMDUlMkZGaW5kLXlvdXItbmV4dC1qb2ItMi5qcGclMjIlMjB3aWR0aCUzRCUyMjEwMCUyNSUyMiUyMGhlaWdodCUzRCUyMjEwMCUyNSUyMiUzRSUwQSUzQyUyRmElM0U=