Savills Middle East has released its latest Oman Property Market Report – Q4 2025, providing an overview of macroeconomic conditions and key trends across the residential and office markets in Muscat.
The report highlights:
- Oman’s GDP reaching OMR 26.6 billion by Q3 2025, reflecting 2% year-on-year growth, supported by both oil and non-oil sector performance.
- Total property transaction values of OMR 2.8 billion as of end-November 2025, with contract volumes rising 17.9% year-on-year, indicating continued buyer activity.
- Stable rental performance across Muscat’s residential and office markets, with prime lifestyle locations such as Al Mouj continuing to command a premium, particularly in the villa segment.
- Limited evidence of major shifts in tenant behaviour, with demand remaining resilient despite modest rental softening in some apartment segments.
- A balanced office market, with rental rates holding steady across key submarkets, reflecting aligned supply and demand dynamics.
The report also explores the impact of the formalisation of the short-stay sector and long-term residency incentives linked to property ownership, which are expected to support occupancy levels and sales demand over the medium to long term.
Ihsan Kharouf, Head of Oman at Savills Middle East, commented:
“Oman’s real estate market continues to demonstrate stability, supported by a resilient macroeconomic backdrop and steady demand across both the residential and office sectors. While we have seen some modest rental softening in lower grade apartments, locations such Bowsher, and price ITC locations such as Al Mouj continue to command a premium, particularly in the villa segment. The formalisation of the short-stay sector and long-term residency incentives linked to property ownership are also expected to support occupancy levels and sales activity over the medium to long term.”
For further insights and detailed analysis, download the full Oman Property Market in Minutes Q4 2025 report here.