According to Julian Roche, the Chief Economist at Property Consultancy and Chartered Surveying firm Cavendish Maxwell “Bahrain’s real estate market has outperformed many major investment destinations this year with the national pandemic response set to spur recovery across sectors” according to a new report.
According to a study in 2019 that was done with an extensive survey including 20,000 respondents from 64 destinations, the Kingdom of Bahrain has been voted to be the best destination for expatriates to work and live in
Let’s go through some of the top reasons why you should invest in Bahrain’s real estate:
● In the beating heart of the GCC: The central location of Bahrain makes it easy to travel and do business with any country in the region. For example, you can grab a 50-minute flight to either Dubai and Riyadh, while Muscat and Kuwait are just an hour away.
Have work or a business in Saudi Arabia? The Saudi/Bahrain causeway grants great access to the Saudi Eastern Province. In 2019, Bahrain registered a daily record of 72,083 visitors via the causeway only (highest record in history).
● 100% foreign ownership: Bahrain is the only country in the Gulf, where property owners can benefit from 100% foreign ownership. This alone makes it one of the best places to invest in real estate in the region
● The Gulf’s longest-established financial services center: Bahrain has been a prominent financial hub with a long history of being a pioneer in financial services. Bahrain is now laying the foundation for a new wave of FinTech companies to flourish. The island is home to MENA’s largest FinTech center ‘The Bahrain FinTech Bay’, where several tech accelerators and incubators, and a forward-thinking central bank has implemented the sandbox to test a new infrastructure. In addition, the Kingdom has introduced several tech-friendly regulations more than any other country in the GCC.
● Open culture and friendliest population: Bahrain has a rich and cultural heritage yet its population is quite diverse, and the island's openness to new cultures is outstanding. Bahrain is known to be an expatriate-friendly country that welcomes diversity with open arms.
● Gross rental yield is among the highest in the GCC: Bahrain’s rental market provides a steady and stable income, compared to other countries in the region. The percentage rates of profitability that comes out of real estate investment in the Kingdom: renting rates range between 7% to 12% and selling rates range between 8% to 40%
● The presence of major developers and projects: There are several domestic real estate players in Bahrain developing luxurious large scale projects. Furthermore, Bahrain has a lot of foreign-owned firms that are also active in the Bahraini market. The Gateway Gulf investor forum that was held in May 2017 showcased a total project pipeline worth $26 billion, which includes investment-ready projects worth $18 billion.
● New reforms and regulations: Lately, the industry has been undergoing many important regulatory changes. This led to the establishment of a new body, the Real Estate Regulatory Authority (RERA), to oversee the sector and resolve disputes arising within it. Its roles include the licensing of the real estate industry such as developers, property managers, evaluators, and real estate brokers.