Buying real estate in the UAE?

Should you buy property in Sharjah now?

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Authored by the expert who managed and guided the team behind the United Arab Emirates Property Pack

buying property foreigner The United Arab Emirates

Everything you need to know before buying real estate is included in our United Arab Emirates Property Pack

Sharjah's property market presents compelling opportunities for both investors and residents in September 2025.

The emirate has witnessed steady price growth over the past three years, with transaction volumes surging 159% in Q1 2025 and rental yields often exceeding 8% in prime areas. Property prices have increased moderately across most neighborhoods, with some areas like Al Majaz recording exceptional growth of over 50% since 2023.

If you want to go deeper, you can check our pack of documents related to the real estate market in the United Arab Emirates, based on reliable facts and data, not opinions or rumors.

How this content was created 🔎📝

At Sands of Wealth, we explore the UAE real estate market every day. Our team doesn't just analyze data from a distance—we're actively engaging with local realtors, investors, and property managers in cities like Sharjah, Dubai, and Abu Dhabi. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These observations are originally based on what we've learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded.

Trustworthiness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make the information accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

What are the current property prices in Sharjah compared to a year ago and three years ago?

As of September 2025, Sharjah's property market shows steady price appreciation across most segments.

The median home price currently sits at approximately AED 1.15 million, with apartments ranging from AED 280,000 for studios to AED 1.5 million for large units. Villas typically start at AED 1.8 million and can exceed AED 3 million for luxury options.

Compared to 2024, most prime areas have seen price increases of 1-10%, with notable exceptions like Al Majaz recording exceptional growth of 51% since 2023. In 2024, 1-bedroom apartments in Al Khan averaged AED 752,000, while Al Majaz 1-bedrooms were around AED 710,000. Studios ranged from AED 350,000 to AED 700,000, and 3-bedroom apartments cost between AED 1.2-2 million.

Looking back three years to 2022, the growth becomes more apparent. 1-bedroom apartments averaged AED 544,000, 2-bedroom units cost AED 839,000, and 3-bedroom apartments were priced at AED 1.22 million. Al Majaz's average sales price was AED 676,000 in 2022, compared to today's significantly higher levels.

This represents consistent annual appreciation, with villas showing the strongest growth - some areas recording up to 57% increases since 2023.

How fast are property prices rising or falling in the short term, medium term, and long term?

Sharjah's property market demonstrates accelerating momentum across all timeframes as of September 2025.

In the short term over the last 12 months, prices have increased 3.5-4.3% in high-demand neighborhoods like Al Khan and Muwaileh. Transaction volumes provide additional evidence of market strength, with a remarkable 159% surge in Q1 2025 compared to the same period in 2024.

Medium-term trends show sustained growth over 2-3 years, with annual appreciation rates consistently in the 3.5-5% range. Areas like Al Majaz have experienced exceptional growth, with prices jumping over 50% since 2023, though this represents an outlier rather than the market norm.

Long-term forecasts through 2026 project continued annual appreciation of 3.5-5%, supported by ongoing infrastructure investment and steady population growth. This growth trajectory is backed by major development projects and the emirate's strategic positioning as an affordable alternative to Dubai with similar amenities.

The pace is notably faster than many established markets globally, yet remains sustainable given the underlying economic fundamentals and development pipeline.

Which areas of Sharjah are seeing the highest demand and price growth right now?

Al Majaz leads Sharjah's high-growth areas with a remarkable 51.2% price increase in 2024.

For apartments, the most in-demand areas include Al Khan, Al Majaz, Al Nahda, and Muwaileh. These neighborhoods consistently attract buyers due to their established infrastructure, proximity to business districts, and strong rental demand. Al Khan particularly appeals to professionals working in Dubai due to its strategic location and transportation links.

Aljada stands out as the premier mixed-use development, combining residential, commercial, and entertainment facilities. This master-planned community continues to see robust price appreciation and buyer interest due to its comprehensive amenities and modern design.

For villa buyers, Tilal City, Hoshi, and Al Rahmaniya represent the top-performing areas. These locations offer larger properties with family-friendly environments and are seeing consistent price growth as demand for spacious homes increases.

Muwaileh deserves special mention as it serves both apartment and villa buyers effectively, offering diverse property types and price points while maintaining strong growth momentum.

Which areas are undervalued or showing slower growth but may have potential in the medium to long term?

Several emerging areas in Sharjah offer compelling value propositions for medium to long-term investors.

Tilal City and Al Suyoh currently trade below AED 6,000 per square meter, making them among the most affordable options in the emirate. These areas are still developing their full infrastructure and amenity offerings, creating significant upside potential as projects complete.

Barashi represents another undervalued opportunity, particularly with the upcoming Hayyan development project that will transform the area's profile. Early investors in Barashi can benefit from pre-development pricing while the infrastructure improvements take shape.

Select zones within Aljada and Muwaileh that are further from the main development cores also offer better entry prices while still benefiting from the broader area improvements. These locations provide exposure to successful master-planned communities at discounted rates.

The key advantage of these areas is their connection to major development pipelines and infrastructure projects that will likely drive significant value creation over the next 3-5 years.

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How do apartment prices compare to villa and townhouse prices across Sharjah?

Sharjah's property market offers distinct pricing tiers across different property types as of September 2025.

Studio apartments represent the most accessible entry point, ranging from AED 280,000 to AED 500,000 in areas like Aljada and Muwaileh. These typically offer 500-800 square feet and generate rental yields of 7-9%, making them attractive for first-time investors.

1-2 bedroom apartments cost between AED 550,000 and AED 1 million, with sizes ranging from 800-1,500 square feet. Prime locations like Al Khan and Al Majaz command premium prices within this range, while still delivering solid rental yields of 6-8%.

Larger 3-4 bedroom apartments span AED 1-1.5 million, offering 1,200-2,000 square feet in developments like Muwaileh and Tilal City. These units balance space requirements for families with investment potential, typically yielding 6-7% annually.

Townhouses bridge the gap between apartments and villas, priced from AED 900,000 to AED 1.8 million. With sizes ranging from 1,290 to 6,980 square feet, they're particularly popular in Aljada and Muwaileh Commercial, offering 7-8% rental yields.

Villas start at AED 1.8 million and extend beyond AED 3 million for luxury options, providing 1,800-35,000+ square feet in premium locations like Tilal City and Al Rahmaniya.

What are the average rental yields in different areas and property types?

Sharjah's rental market delivers attractive returns across multiple property segments as of September 2025.

Apartments consistently generate the highest rental yields, ranging from 6-9% gross annually in high-demand zones. Studios in areas like Aljada and Muwaileh can reach up to 9%, making them particularly attractive for yield-focused investors. Mid-size apartments (1-2 bedrooms) in Al Khan, Al Majaz, and similar established neighborhoods typically deliver 6-8% yields.

Townhouses and villas provide more moderate but stable returns of 6-8%. Aljada villas specifically recorded 7.23% yields, while Tilal City delivered 5.52% and Muwaileh achieved 5.21%. The lower yields reflect higher property values, but these assets often appreciate more substantially over time.

Location significantly impacts yield potential. High-demand areas like Al Khan, Muwaileh, and Al Majaz consistently outperform emerging locations due to stronger rental demand and lower vacancy rates.

Short-term rental operations through platforms like Airbnb can generate higher yields, especially in waterfront and business-district properties, though they require more active management and careful compliance with local regulations.

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How quickly are rental prices moving compared to property sale prices?

Rental prices in Sharjah are rising faster than property sale prices across most segments in 2025.

Apartment rental prices surged 16-57% during 2024, with studios in Muwaileh recording the highest increase at 56.2%. Al Nahda also saw significant rental growth of 26.4% for similar units. These dramatic rental increases reflect strong demand from the growing resident population and limited supply in popular areas.

Villa rental prices increased up to 25% in popular areas during the same period, though this growth was more moderate than the apartment segment. The villa rental market benefits from families seeking larger spaces and professionals relocating to Sharjah for lifestyle reasons.

In contrast, property sale prices generally grew 3-10% in key submarkets, aside from exceptional areas like Al Majaz. This means rental growth is outpacing sale price appreciation by a significant margin in most neighborhoods.

This trend is tightening rental yields as property purchase prices haven't kept pace with rental income potential. For investors, this dynamic creates an attractive environment where cash-on-cash returns are improving, making buy-to-let strategies particularly compelling.

The rental price momentum suggests strong underlying demand that could eventually drive property values higher as investors recognize the income potential.

What's the typical time it takes to resell a property in Sharjah, and what profit margins are realistic?

Sharjah's property resale market has become increasingly efficient, with average sale times dropping to 39 days in 2025.

This represents a notable improvement from 47 days in 2024, indicating growing buyer confidence and market liquidity. Properties in master-planned developments and villa segments perform particularly well, with 36% of listings closing at or above asking price.

Realistic profit margins depend on holding period and location strategy. Annual appreciation is projected at 3.5-5% for most areas, making patient investors more likely to achieve substantial returns. Quick "flipping" strategies can work in emerging zones or with off-plan properties, but the market rewards long-term holding rather than rapid resales.

Properties purchased in developing areas like Barashi or outer Aljada zones may see higher appreciation rates as infrastructure completes, potentially delivering 8-15% annual gains during key development phases. However, these opportunities require careful timing and market knowledge.

For established areas, realistic expectations include 3-5% annual appreciation plus rental income during the holding period. Combined returns (capital appreciation plus rental yield) typically range from 9-14% annually for well-selected properties.

The improving liquidity means investors can access their capital more quickly when needed, reducing the risk of long-term property investments.

infographics rental yields citiesSharjah

We did some research and made this infographic to help you quickly compare rental yields of the major cities in the UAE versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.

How much budget is needed to enter the market in prime areas versus emerging areas?

Sharjah offers accessible entry points across different market segments as of September 2025.

In prime areas like Al Khan, Maryam Island, and established parts of Muwaileh, buyers need AED 1-2 million for quality 2-3 bedroom apartments and townhouses. These locations offer immediate rental income potential and established infrastructure, justifying their premium pricing.

Luxury segments in prime locations require AED 2.5-5 million for high-end villas and waterfront properties. Maryam Island and premium Al Khan developments cater to this market, offering exclusive amenities and prime positioning.

Emerging areas present significantly lower entry barriers, with budgets of AED 280,000-800,000 sufficient for studios and 1-bedroom apartments in Aljada, outer Muwaileh, select Tilal City areas, and Al Suyoh. These locations offer higher growth potential as development continues.

Mid-market opportunities in semi-established areas require AED 800,000-1.5 million and provide a balance between affordability and immediate amenities. Areas like developing sections of Aljada and Muwaileh fall into this category.

First-time investors can enter the market with as little as AED 280,000 for a studio apartment in an emerging master-planned community, while serious wealth-building strategies typically require AED 500,000-1 million budgets.

What types of properties are best suited for living versus renting out versus reselling?

Different property types in Sharjah serve distinct investment and lifestyle strategies as of September 2025.

For primary residence living, villas and large apartments in Tilal City, Al Rahmaniya, Muwaileh, and Aljada offer the best combination of space, privacy, and amenities. These locations provide family-friendly environments with schools, parks, and community facilities. Villas particularly suit families seeking traditional housing with outdoor space and privacy.

Buy-to-let rental strategies work best with studios and 2-bedroom apartments in Al Khan, Muwaileh, Aljada, and Al Majaz. These property types consistently generate the highest yields (up to 9%) and experience the lowest vacancy rates. The target tenant base includes young professionals, small families, and expatriate workers seeking quality accommodation near business centers.

For resale-focused strategies, off-plan or newly completed units in master-planned areas offer the strongest capital appreciation potential. Townhouses and villas in developing sections of Tilal City or Aljada benefit from infrastructure improvements and community development. These properties can deliver both immediate rental income and long-term capital gains.

Mixed-strategy investors often choose 2-3 bedroom apartments or small townhouses that provide flexibility to live in initially, rent out later, or resell when market conditions optimize returns.

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Are there any upcoming developments or infrastructure projects that could affect property values in the next three to five years?

Several major development projects will significantly impact Sharjah's property landscape through 2028-2030.

Aljada continues expanding as the emirate's flagship mixed-use development, with additional phases planned that will introduce more residential units, commercial spaces, and entertainment facilities. This ongoing development will likely boost property values across the broader Aljada area as the community matures.

Hayyan at Barashi represents a transformational project that will elevate this currently undervalued area into a premium residential destination. Early investors in Barashi properties stand to benefit substantially as this development takes shape over the next 3-5 years.

Masaar in Tilal City is another significant master-planned community that will add luxury housing options and comprehensive amenities to this emerging area. The development will likely accelerate price appreciation in surrounding Tilal City properties.

Maryam Island continues its luxury development trajectory with additional high-end residential and hospitality projects planned. These additions will reinforce the area's premium positioning and support sustained price growth.

Sharjah Sustainable City represents the emirate's commitment to environmental leadership and will likely attract environmentally conscious buyers and tenants, potentially commanding premium pricing.

Infrastructure investments in Central and Eastern Sharjah regions will improve connectivity and accessibility, benefiting property values across these currently affordable areas.

Given today's data, where should you position yourself — which area, what property type, and at what budget — if your goal is living, renting out, or reselling?

1. **For Primary Living:** Target Tilal City, Aljada, Muwaileh, or Al Rahmaniya with a budget of AED 1.5-3 million for villas or large apartments. These areas offer space, established amenities, strong infrastructure, and excellent long-term value retention.2. **For Rental Income:** Focus on 1-2 bedroom apartments in Aljada, Al Khan, Muwaileh, or Al Majaz with AED 500,000-1 million budgets. These properties generate robust rental demand, yields up to 9%, and maintain low vacancy rates due to their appeal to working professionals.3. **For Capital Appreciation:** Consider off-plan townhouses or apartments in developing areas like Aljada expansions, Hayyan at Barashi, or Masaar with AED 800,000-1.8 million budgets. These properties benefit from area development and infrastructure improvements that drive substantial value increases.4. **For Balanced Strategy:** 2-3 bedroom apartments in semi-established areas of Muwaileh or Aljada with AED 700,000-1.2 million budgets provide flexibility to live initially, rent later, or resell when optimal.5. **For First-Time Investors:** Studios or 1-bedroom apartments in emerging sections of Aljada or Muwaileh with AED 280,000-600,000 budgets offer affordable entry with strong yield potential and moderate appreciation prospects.

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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.

Sources

  1. Bayut Annual Sharjah Market Report 2024
  2. Sands of Wealth Sharjah Property Analysis
  3. Top Luxury Property Sharjah Price History
  4. Dubizzle Annual Property Report Sharjah 2022
  5. Mirador Real Estate High ROI Investment Guide
  6. Sands of Wealth Sharjah Price Forecasts
  7. The Luxury Playbook Sharjah Market Analysis
  8. Airbtics Sharjah Airbnb Revenue Report