Oman Real Estate Market 2025–2026: Strong Growth and New Opportunities
Oman’s real estate market is experiencing one of its most exciting growth phases in recent years, making it an ideal time for investors, homebuyers, and tenants to explore opportunities across the Sultanate. After breaking a two-year downward trend, the overall real estate price index in Oman grew by 17.3% in 2025, with residential properties rising by 18.7% and apartments recording an impressive 22.4% increase. This signals a clear shift from correction to a sustained growth cycle. – Realting
The total traded value of real estate in Oman reached OMR 235.8 million by the end of January 2026, compared to OMR 185.5 million during the same period in 2025 — a remarkable increase of 27.1%. This surge in transaction values reflects a strong and growing confidence among both local and international investors in the Omani property market.– Economy Middle East
Oman’s GDP reached OMR 26.6 billion by Q3 2025, reflecting 2% year-on-year growth, while inflation remained low at 0.94%, supporting business and investor confidence across all sectors including real estate. Prime lifestyle locations continue to lead the way, with four-bedroom villa rents in Al Mouj increasing 15% quarter-on-quarter, reinforcing strong end-user and lifestyle-led demand.- Savills
Oman’s real estate sector is entering a more mature and disciplined phase, driven by structural reforms, shifting investor preferences, and steady growth in the non-oil economy — transitioning from speculative development to income-generating, demand-led assets. Key hubs across the country are each finding their own momentum: Muscat remains the most mature and liquid market, accounting for an estimated 60–70% of total real estate transactions in Oman, while Duqm continues to attract multi-billion-dollar investments through its Special Economic Zone, and Suhar is developing into a prominent logistics and industrial hub with occupancy levels above 80% in key zones.- OMANETOMANET
New regulations introduced in April 2025 allow full property ownership for non-Omani individuals in Special Economic Zones, expanding freehold opportunities for expatriate buyers. Rental yields between 5.6% and 8.3% remain highly attractive relative to regional peers, drawing buy-to-let investors from neighboring GCC economies who are drawn by the Sultanate’s tax-free rental income. – Mordor Intelligence
Looking ahead, the Oman residential real estate market is estimated at USD 4.96 billion in 2025 and is projected to grow to USD 7.34 billion by 2031, reflecting a compound annual growth rate of 6.74%. With Vision 2040 infrastructure investments, relaxed ownership laws, and a pipeline of landmark developments across Muscat, Salalah, and beyond, the Sultanate’s property market offers compelling long-term prospects for investors and end-users alike.- Mordor Intelligence
At Al Osool Group, we are proud to be at the forefront of this exciting market transformation — offering expert brokerage, property management, and advisory services to help you make the most of Oman’s growing real estate landscape. Contact our team today to explore your next property opportunity.
