Authored by the expert who managed and guided the team behind the Oman Property Pack
Yes, the analysis of Muscat's property market is included in our pack
Muscat's property market offers excellent value for money compared to other Gulf cities, with apartment prices averaging OMR 70,000-100,000 and villa prices ranging from OMR 250,000-750,000 depending on location and size.
As of September 2025, Muscat residential property prices have rebounded strongly from their 2021 lows, with apartments seeing 17% growth year-over-year and the overall market up 7.3%. Prime areas like Al Mouj and Madinat Al Sultan Qaboos command premium prices, while emerging neighborhoods like Bausher and Sultan Haitham City offer excellent growth potential for investors.
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Muscat property prices range from OMR 46,000 for studio apartments to OMR 750,000+ for luxury villas, with average prices per square meter between OMR 700-1,200 depending on the area.
The market has recovered significantly since 2022, with apartments showing the strongest growth at 17% year-over-year, while total buying costs including fees typically add 2-4% to the property price.
| Property Type | Price Range (OMR) | Best Areas |
|---|---|---|
| Studio Apartment | 29,000 - 46,000 | Seeb, Al Hail |
| 1-Bedroom Apartment | 46,000 - 70,000 | Al Khuwair, Bausher |
| 2-3 Bedroom Apartment | 70,000 - 100,000 | Seeb, Al Ghubrah |
| Townhouse | 70,000 - 150,000 | Sib, Al Hail |
| Standard Villa | 250,000 - 410,000 | Muscat Hills, Al Mouj |
| Luxury Villa | 410,000 - 750,000+ | Al Mouj, Madinat Al Sultan Qaboos |
| Average Price per sqm | 700 - 1,200 | City-wide average |
What is the average property price in Muscat right now?
As of September 2025, Muscat residential property prices vary significantly by property type and location.
Apartments in Muscat currently range from OMR 29,000 for studio units to OMR 100,000 for 3-bedroom properties in prime areas. The typical range for 2-3 bedroom apartments sits between OMR 70,000-100,000, while 1-bedroom units cost OMR 46,000-70,000.
Villas and townhouses start from OMR 70,000 for budget units in outer areas, but premium properties in sought-after locations like Al Mouj and Muscat Hills command OMR 250,000-750,000. A standard 4-bedroom villa in Muscat Hills typically lists between OMR 390,000-410,000.
The average price per square meter across Muscat ranges from OMR 1,000-1,200 (USD 2,080-2,600), with affordable areas like Seeb reporting lower rates of OMR 700-900 per square meter.
These prices reflect a market that has rebounded strongly since 2022, with overall property values up 7.3% year-over-year.
How do prices differ between apartments, villas, and townhouses?
The Muscat property market shows clear price distinctions between different property types, each serving different buyer segments.
Apartments represent the most affordable entry point into Muscat's property market. Studio apartments start from just OMR 29,000, making them accessible for first-time buyers and investors. One-bedroom units range from OMR 46,000-70,000, while 2-3 bedroom apartments typically cost OMR 70,000-100,000 depending on location and amenities.
Townhouses occupy the middle market segment, with prices ranging from OMR 70,000-150,000. These properties are particularly popular in family-friendly areas like Sib and Al Hail, offering more space than apartments while remaining more affordable than standalone villas.
Villas command the highest prices, starting from OMR 250,000 for standard properties and reaching OMR 750,000 or more for luxury units in prime waterfront locations. A typical 4-bedroom villa in established areas like Muscat Hills or Al Mouj costs between OMR 390,000-410,000.
This price hierarchy reflects both the size differences and the target demographics, with apartments appealing to young professionals and investors, townhouses attracting families, and villas serving affluent buyers seeking luxury and privacy.
Which neighborhoods are the most expensive, the most affordable, and the up-and-coming ones?
Muscat's neighborhood pricing structure reflects a clear hierarchy based on location, amenities, and development status.
Most Expensive Areas:
Al Mouj leads as Muscat's premier luxury destination, featuring waterfront properties with marina access and resort-style amenities. Properties here command premium prices due to the integrated development concept and high rental yields. Madinat Al Sultan Qaboos represents traditional luxury with its upscale villas and established expatriate community. The Qurum and Diplomatic Area also rank among the most expensive due to their central location and proximity to embassies and business districts.
Most Affordable Areas:
Seeb offers the best value for money in Muscat, with average prices per square meter ranging from OMR 700-900, significantly below the city average. Al Hail provides family-friendly housing at competitive prices, while Al Huda and outer areas like Marella offer the lowest entry points for budget-conscious buyers seeking basic accommodation.
Up-and-Coming Neighborhoods:
Bausher stands out as the most promising emerging area, undergoing massive regeneration that appeals to young professionals. Al Khuwair benefits from its proximity to business centers, driving rental demand and property values. Al Hail combines affordability with new developments, making it attractive for families. Sultan Haitham City represents the future of Muscat living as a large new smart community project that will transform the city's eastern corridor.
It's something we develop in our Oman property pack.
What are the average prices per square meter in different parts of the city?
Muscat's price per square meter varies significantly across different districts, reflecting location premiums and development quality.
| Area | Price per sqm (OMR) | Price per sqm (USD) |
|---|---|---|
| Al Mouj (Luxury Waterfront) | 1,400 - 1,800 | 2,912 - 3,744 |
| Madinat Al Sultan Qaboos | 1,300 - 1,600 | 2,704 - 3,328 |
| Qurum/Diplomatic Area | 1,200 - 1,500 | 2,496 - 3,120 |
| Al Khuwair | 1,000 - 1,300 | 2,080 - 2,704 |
| Bausher | 900 - 1,200 | 1,872 - 2,496 |
| Al Ghubrah | 800 - 1,100 | 1,664 - 2,288 |
| Seeb | 700 - 900 | 1,456 - 1,872 |
| Al Hail | 650 - 850 | 1,352 - 1,768 |
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Can you give example purchase prices for typical properties in each category?
Here are specific examples of property purchase prices across Muscat's different categories based on September 2025 market data.
Studio Apartments:
A 35-square meter studio in Seeb costs around OMR 29,000-32,000, while a similar unit in Al Khuwair ranges from OMR 35,000-40,000. Premium studio apartments in Al Mouj start from OMR 45,000 for waterfront views.
One-Bedroom Apartments:
A 55-square meter one-bedroom apartment in Bausher typically costs OMR 50,000-60,000. In Al Khuwair, similar properties range from OMR 55,000-65,000, while Al Mouj one-bedroom units with marina access start from OMR 65,000-70,000.
Two to Three-Bedroom Apartments:
A 90-square meter two-bedroom apartment in Seeb costs OMR 70,000-80,000. In Al Ghubrah, three-bedroom units of 120 square meters range from OMR 85,000-95,000. Premium developments in Qurum command OMR 95,000-110,000 for similar specifications.
Townhouses:
A 150-square meter townhouse in Al Hail costs OMR 95,000-110,000. In Sib, similar properties range from OMR 100,000-120,000, while newer developments in Bausher start from OMR 120,000-140,000.
Villas:
A 300-square meter four-bedroom villa in Muscat Hills costs OMR 390,000-410,000. In Al Mouj, waterfront villas of similar size range from OMR 450,000-550,000. Luxury villas in Madinat Al Sultan Qaboos with 400+ square meters can exceed OMR 600,000-750,000.
How much should buyers expect to pay in total once fees, taxes, and registration costs are included?
Total buying costs in Muscat are relatively straightforward, with fewer hidden fees compared to many international markets.
The primary cost is the transfer and registration fee, which stands at 1% of property value for Omani nationals but typically 3% for foreign and investment buyers as of 2025. This represents a significant portion of additional costs and should be factored into your budget planning.
Mortgage registration fees are capped at 0.5% of the loan amount, making them predictable for financing buyers. Legal fees, due diligence costs, and potential agent fees typically add another 0.5-2% to the total transaction cost.
For a typical OMR 100,000 apartment purchase by a foreign buyer, expect total additional costs of OMR 3,500-5,500, bringing the total investment to OMR 103,500-105,500. For a OMR 400,000 villa, additional costs would range from OMR 14,000-18,000.
Importantly, Oman imposes no annual property taxes or capital gains taxes, making it attractive for long-term investors compared to many other markets. This tax-free environment significantly improves the total cost of ownership over time.
What are the current mortgage options and financing costs in Muscat?
Muscat's mortgage market offers competitive financing options for both residents and expatriates, though terms vary based on residency status.
Expatriate buyers can access loans up to 80% of property value with maximum terms of 25 years. Local banks including Bank Dhofar, Bank Muscat, and National Bank of Oman provide mortgage products specifically designed for the expatriate market.
Current interest rates range from 4.75% at the most competitive banks to around 6% for standard mortgage products. The exact rate depends on your down payment, employment status, and relationship with the lending institution.
Mortgage registration fees are capped at 0.5% of the loan amount, making financing costs predictable. Most banks require a minimum salary of OMR 1,000-1,500 for expatriate applicants, along with proof of employment and residency.
Property purchases of OMR 250,000 or more qualify buyers for a five-year residency visa, while properties worth OMR 500,000 or more grant a 10-year visa. This residency benefit adds significant value to property purchases for foreign buyers seeking long-term status in Oman.
How have property prices changed compared to five years ago and compared to one year ago?
Muscat's property market has experienced a dramatic transformation over the past five years, following a distinct cycle of decline and recovery.
From 2015 to 2021, Muscat property prices dropped approximately 30% due to oil price volatility and economic challenges. This period created significant opportunities for buyers who recognized the market's underlying fundamentals remained strong.
Since 2022, the market has rebounded approximately 60% from its 2021 lows, driven by economic diversification efforts, infrastructure investment, and renewed foreign interest. This recovery has been steady rather than speculative, suggesting sustainable market fundamentals.
Compared to one year ago, the Muscat property market shows robust growth with overall residential prices up 7.3% year-over-year as of the first quarter of 2025. Apartments have led this growth with a remarkable 17% increase, while villas have shown more modest but steady growth of 6.4%.
This recent performance indicates that early investors who bought during the 2021-2022 low point have seen excellent returns, while current buyers are entering a market with positive momentum but still reasonable valuations compared to regional competitors.
What is the forecast for property prices in the next 1 year, 5 years, and 10 years?
Muscat's property market outlook appears positive across all time horizons, supported by government initiatives and economic diversification efforts.
One-Year Forecast (2025-2026):
Property prices are expected to appreciate 3-7% in 2025, continuing the current positive trend. This growth will likely be driven by continued infrastructure development, increased foreign investment, and steady demand from both residents and investors.
Five-Year Forecast (2025-2030):
Medium-term growth appears sustainable, with Oman's Vision 2040 program driving significant infrastructure investment and economic diversification. The development of new districts like Sultan Haitham City and continued tourism growth should support steady appreciation, though at more moderate rates than the recent rebound period.
Ten-Year Forecast (2025-2035):
Long-term prospects remain positive but realistic, with sustainable appreciation expected rather than dramatic growth. Foreign direct investment inflows, completion of major infrastructure projects, and Oman's strategic position in the Gulf should support property values, though growth rates will likely be more modest than Dubai or Abu Dhabi.
The consensus among analysts suggests moderate, sustainable appreciation rather than speculative bubbles. This outlook makes Muscat attractive for investors seeking stable returns rather than high-risk, high-reward scenarios.
It's something we develop in our Oman property pack.
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Which areas or property types make the most sense if you want to live there yourself?
For residents planning to live in Muscat long-term, certain areas and property types offer the best combination of lifestyle, amenities, and value.
Luxury Lifestyle Choice:
Al Mouj represents the premium lifestyle option with its waterfront location, marina access, and resort-style amenities. The area offers excellent restaurants, shopping, and recreational facilities, making it ideal for affluent expatriates seeking a high-end living experience. Properties here retain value well and offer strong rental potential if you travel frequently.
Family-Friendly Options:
Madinat Al Sultan Qaboos provides an established expatriate community with excellent schools, healthcare, and family amenities. The area offers a more traditional residential feel while maintaining proximity to central Muscat. Al Hail has emerged as an excellent family choice, combining newer developments with competitive pricing and good access to international schools.
Young Professional Areas:
Bausher offers the best value for young professionals, with ongoing regeneration creating a vibrant community atmosphere. The area provides good connectivity to business districts while offering more affordable housing options. Al Khuwair remains popular for its business proximity and growing restaurant and entertainment scene.
Best Property Types for Residents:
Apartments work well for single professionals and couples who prioritize location and amenities over space. Townhouses offer the ideal middle ground for small families, providing more space than apartments while maintaining manageable maintenance requirements. Villas suit larger families who prioritize privacy and space, though maintenance costs and utility bills are significantly higher.
Which properties are the smartest to buy if the goal is renting out short-term, long-term, or reselling later at a higher price?
Different investment strategies in Muscat require different property types and locations to maximize returns.
Short-Term Rental Strategy:
Short-term rentals perform best in tourist-friendly areas like Mutrah, Qurum, Seeb, and Old Muscat, where regulations permit such operations. Waterfront properties in Al Mouj command premium nightly rates from business travelers and tourists. One and two-bedroom apartments in these areas typically achieve the highest occupancy rates and can generate superior returns compared to long-term rentals, though management requirements are higher.
Long-Term Rental Strategy:
Apartments in Al Khuwair, Seeb, and Al Hail generate steady rental yields of 3-6% annually with lower management overhead. These areas attract long-term tenants including expatriate professionals and local residents. Two and three-bedroom apartments perform particularly well in family-oriented neighborhoods, while studio and one-bedroom units work best near business districts.
Capital Appreciation Strategy:
New projects in developing areas like Bausher and Sultan Haitham City offer the highest potential for capital appreciation over the next 3-5 years. Waterfront properties in integrated developments also show strong appreciation potential due to limited supply and increasing demand. Off-plan purchases in emerging areas typically offer the best entry prices for long-term capital growth.
Rental Yield Expectations:
Apartments typically generate 3-5% net rental yields, while villas can achieve 4-6% in luxury segments. Short-term rentals in permitted areas can command significantly higher returns but require active management and higher vacancy buffers.
It's something we develop in our Oman property pack.
How do Muscat's property prices compare with other major cities in the region with similar profiles?
Muscat offers exceptional value compared to other major Gulf cities, positioning itself as an accessible entry point into the regional property market.
| City | Average Price per sqm (USD) | 5-Year Price Change |
|---|---|---|
| Dubai (Premium Areas) | 7,600 | +122% |
| Doha | 4,944 | +45% |
| Riyadh | 2,664 | +38% |
| Muscat | 2,100 - 2,600 | +60% |
| Abu Dhabi | 3,200 | +55% |
| Kuwait City | 2,400 | +25% |
| Manama | 1,800 | +30% |
Muscat's pricing puts it in the lower-middle range of Gulf cities, making it significantly more accessible than Dubai or Doha while offering similar lifestyle amenities and infrastructure quality. The city provides better value than Riyadh when considering quality of life factors, while offering more growth potential than established markets like Kuwait City.
Key advantages of Muscat include no property taxes or capital gains taxes, lower entry costs for foreign buyers, and residency visa benefits for property purchases above OMR 250,000. These factors make the total cost of ownership significantly lower than many regional competitors.
While Dubai offers higher potential returns, it also carries greater volatility and much higher entry costs. Muscat provides a more stable, affordable alternative for investors seeking Gulf region exposure without the premium pricing of the UAE markets.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Muscat's property market offers compelling opportunities for both lifestyle buyers and investors, with prices that remain accessible compared to other Gulf cities while showing solid fundamentals and growth potential.
Whether you're seeking a waterfront villa in Al Mouj, a family townhouse in Al Hail, or an investment apartment in Bausher, the market provides options across all price ranges with the added benefits of no property taxes and residency visa opportunities for qualifying purchases.
Sources
- Imtilak - Apartment Prices in Oman
- Bayut - Properties for Sale in Muscat Hills
- Future Homes Oman - Cheap Property for Sale in Muscat
- Sands of Wealth - Muscat Property
- Global Property Guide - Oman Square Meter Prices
- Sands of Wealth - Oman Price Forecasts
- Oman Property Investment - Mortgages in Oman
- Omnia Capital Group - Property Prices in Oman Rising
- Sands of Wealth - Muscat Real Estate Market
- DXB Off Plan - Dubai Property Price Growth