An excessive number of housing projects are reducing the average monthly rent for residential apartments in Bahrain.
The vacancy rate in Bahrain’s residential market stands at around 28%, despite which plans for more housing projects continue.
The average current value for a residential apartment stands at BD 4.60/sq.m/month, more than a 10% drop compared to the same period last year.
With the vacancy rate for office real estate crossing 22%, landlords continue to remain under pressure to find tenants to occupy vacant office spaces despite the monthly rent declining 0.5%.
The statistics were published by Kuwait-based KAMCO Investment Company KSC (KAMCO), a subsidiary of United Gulf Bank which specialises in asset management and financial services in Kuwait and the Middle East and North Africa (MENA).
Earlier this year, PropertyFinder, an online real estate platform, ranked West Riffa, Riffa Al Sharqi, and North Riffa as the most affordable residential areas for apartments.
North Riffa, Diyar Al Muharraq and West Riffa were ranked the most affordable areas for villa rentals while Seef District and Manama remain the highest priced for office rentals.