Is Sharjah's freehold property boom built on 'right pricing'?

Dubai: New homes at accessible pricing in well-designed residential communities - launch them and get sold out instantly.

Sharjah’s property market has been creating more of these options in the first-half of 2025. And this is all going down well with investors.

The best part is that many of these property buyers are long-time residents in Sharjah and want to be the end-users when those homes are handed over. The opening of the emirate’s real estate market to all nationalities is showing up in the latest date.  

The ‘high demand is attributed to several factors - the robust infrastructure, diverse real estate offerings, and the decision to allow non-Gulf and foreign nationals to own property in Sharjah’, said a statement from Sharjah real Estate Registration Department.

There was a near 40% increase in the number of foreign investors – to total 6,662 - who bought real estate in Sharjah in the first six months of 2025 – and it’s going to go a lot higher in the coming months.

There are good reasons for that.

“Sharjah freehold property prices are yet to see the significant increases that’s there in Dubai, Abu Dhabi or Ras Al Khaimah,” said a property source. “You have the recent announcement of ‘Khalid Bin Sultan City’ with prices from Dh1 million or so that’s really got investors talking.

“What Sharjah’s doing makes a lot of sense – stagger the new launches at pricing that many will find ‘just right’. And let demand do the rest.”

Which means there is limited scope for speculative buying, which means property price differences sold offplan and in the ready market continue to be narrow.

Take the massive Aljada mixed-use development from Arada. In January, 600 apartments across 5 buildings were released for sale, with 725 square foot 1-bedroom apartments from Dh976,000 and 3-bed units from Dh2.43 million.  

Aljada has seen 10,500 homes being sold to date, of which 7,500 are completed. When you check out the property portal Bayut, a 2-bedroom unit in Aljada is listing at Dh1.45 million, while a 3-bed has an asking price of Dh2.67 million. (Listings for studios are showing around Dh800,000.)

“Even as demand for freehold and rented homes in Sharjah are rising, property prices haven’t gone through the roof,” said an estate agent. “Sharjah real estate is still a buyers’ market.” 

This is the market situation that Khalid Bin Sultan City is being launched into. The developer is Beeah, which is into energy services and also highly visible for its Zaha Hadid designed corporate headquarters. (The Beeah HQ is easily one of the most stunning architectural creations in the emirate.)

At the time of the Khalid Bin Sultan City launch, the developer said there would be around 1,500 homes and with a high benchmark set on sustainable living.

“Investors are waiting for KBS City offplan releases – this has since the announcement in June become the most anticipated project in the emirate,” said a property market source. “There are buyers who are ready with the cash or been talking to banks for help on the mortgages. We believe KBS City will bring a fresh wave of buyers into the market.”

Now, if the plan by property investors is to buy to rent out, that will also work well, going by the current market realities. Listings show a 1-bedroom unit in Aljada at around Dh55,000 and for 2-beds that go up to Dh90,000 and over.

At the popular Al Zahia community, 1-bedroom units are available for between Dh52,000-Dh60,000. Sharjah recently updated its rules for a more equal relationship between landlords and tenants. At newer projects and buildings in the emirate, this is leading to ‘less negotiation friction and more renewals’ based on the new rental framework.

“Owners of new properties and buildings in Sharjah are setting higher initial rents to reflect the three-year freeze, effectively locking in yields early,” said Rashed Hareb, co-founder and CEO of Rentify. “The visibility on rent escalation is improving absorption and extending tenant tenure, especially in better-quality stock.”

That’s exactly what Sharjah’s freehold launch and sell boom has been creating. Expect more of that going forward…