Residential Property Index Rises 7.3% in Q1 2025; Muscat Leads with Highest Growth

Muscat: Oman’s residential real estate sector witnessed notable growth in the first quarter of 2025, with the overall residential property index increasing by 7.3% compared to the same period last year. The surge was driven primarily by apartment prices, which soared by 17%, followed by land prices rising 6.5%, villa prices by 6.4%, and other housing types by 2.2%.

On a quarter-on-quarter basis, the index rose by 5.5% compared to Q4 2024. Residential land and villa prices each grew by 5.5% and 4.5% respectively, while apartments increased by 4.3%, and other types of homes recorded a sharp 13.4% rise.

Governorate-wise Performance

Muscat led all governorates with the highest annual increase in residential land prices, posting a substantial 17.4% rise in Q1 2025 compared to Q1 2024. Other notable increases were reported in:

• Musandam: +12.8%
• North Al Batinah: +7.3%
• South Al Batinah: +6.1%
• Dhofar: +6%
• South Al Sharqiyah: +3.4%

Declines in Other Regions

Despite the national uptick, several governorates saw notable declines in residential land values:

• Al Buraimi: −35.1%
• Al Dhahirah: −25.3%
• Al Wusta: −20.4%
• Al Dakhiliyah: −3.7%
• North Al Sharqiyah: −0.8%

These figures reflect varied market conditions across Oman’s regions, indicating robust growth in urban and coastal areas while some interior and less developed regions faced continued downward pressure on prices.