Moving to Kuwait or buying a property in Kuwait may be the good decision. But, before that, you need to learn something about Kuwait real estate market. Terms and payments are different than in other countries. Do not worry, it is easy to learn. What is important to know about it? What are the average prices, and what are the key challenges? You can buy a home or you can start a business. However, you will need a real estate agent you can trust.
Moving to Kuwait
Moving to Kuwait could be your best decision. So, find shipping companies in Kuwait and make a deal. Most of the shipping companies in Kuwait or anywhere else will give you all the information about the company you acquire. Preparing is the key.
- Packing – Do not pack everything. It is a mistake if you want to pack and move to Kuwait. First of all, the size of the new apartment will be different (smaller or bigger). On the other hand, you will buy new clothes and furniture. New life deserves new items.
- Finding a new home – Kuwait real estate market is diverse. You will easily find your dream home. Just make a wishlist. What house do you want? Do you want to rent or to buy, house or apartment? Kuwait will offer you a lot of choices, you just need to determinate your budget.
- Transferring all documents – Medical and school records, change of address etc.
Kuwait real estate market research
Average monthly rent dropped is KD 300 ($990). The survey includes a sample of 162,575 dwellings on 5,695 parcels at 19 locations in Kuwait. 875 parcels were studied, including around 26,460 housing units under construction in all districts. In addition to 13,534 completed, where the share of new units amounted to 6.6% of the parcel. Almost 40,000 flats are currently empty in the key residential areas across Kuwait. These apartments are waiting just for you. So, pick the best air freight moving companies in Kuwait.
“The Kuwait real estate market faces some key challenges. There are substantial volumes of supply in the commercial and residential investment sectors and significant undersupply of private residential housing. In the office sector, demand has been significantly curtailed by the ongoing global economic crisis but also the ongoing disputes between parliament and the government which is restricting Kuwait’s ability to diversify and expand its economy beyond the oil and gas sector.” This is what Martin Cooper said (Head of Consulting and Research for the Middle East).
The retail market
Kuwait has more than 50 covered malls of varying scale, quality and tenant mix with leasable floor space of approximately 670,000 square meters. These amazing malls are predominately located in the City Centre, Hawally, Salmiya, Fahaheel, and Jahra. Jahra is 30 kilometers west of Kuwait City. It is detached from the main urban area, but it is also seeing new retail development.
If you want to rent a retail market, general, rents for prime retail locations in established malls range from KD 20 ($66) to KD 45 ($150) per square meter per month. Starting a business in Kuwait could be a big opportunity. The ongoing economic situation has had a direct impact on retail sales. And now because of that retail operators are being more selective in the locations they chose. The Avenues will continue to be the dominant retail destination in Kuwait in the future. Try to start a business in Kuwait and give it a chance.
The residential market
The Kuwaiti freehold market -It is referred to as private residential which is typically characterized by villa type accommodation. In this sector, there has been a recent recovery in land prices after falls of about 30% since 2008. There has also been growth in land rates in new areas where the Kuwait Government has granted construction permits. Housing shortage for the Kuwaiti population will remain until few laws are further reviewed to extend the amount of land being available to the private sector. The goal is to extend their involvement in meeting the housing requirements of the Kuwaiti population.
The rental sector – Also, referred to as investment properties are dominated by expatriates and are typically characterized by apartments. Villa’s are available too, of course. Either as a whole or as floors. You can rent it but these are generally directly from a Kuwaiti individual rather than a real estate company and represent a small proportion of the total rental sector. The investment sector relies heavily on the expatriate population for demand, given that non-Kuwaiti’s cannot own a freehold. There are some rules if you want to own a property, but it is possible since 2015.
The office market
Kuwait has approximately 184,000 square meters of office space in over 26 buildings in Kuwait City which is either complete or available to rent or is expected to complete. Salmiya has a lot of office space, also a Symphony and Olympia, provide approximately 34,000 sqm of office space for rent. In Hawally, Al Othman Charity Complex, adjacent to the Third Ring Road, includes a 20 office tower providing approximately 12,000 sqm of office space. Kuwait wants to attract investors and invest in them. So, with a good business plan and team, you can try to impress them. Working with Arabs is not a big problem. They just like ambitious, hardworking and honest people.
If you are living in Kuwait then you are familiar with Kuwait real estate market. With their pros and cons. If you are not living there, then you have to learn. But, now when you know what to expect it will be much easier. One thing is certain, Kuwait is the right place for investment and new residents.