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Conclusion
Al Mazaya Report forecasts that non-
oil sectors are going to attain further
growth in terms of productivity and
contribute to the ongoing diversification
of Oman’s income sources. The share
of non-oil activity, in Oman, increased
by 4.7 per cent, by the end of 2015,
sparking confidence that the private
sector will play an increasingly important
role in advancing and activating
investment activities, in the country. Of
course, this will largely depend on the
Sultanate's continued commitment to
enacting comprehensive infrastructural
development,includingtheports,airports,
roads, and communication networks.
15
Young Adults and Affordable Housing
– Oman
Al Mazaya’s Report notes that there is
a significantly young demographic of
buyers in Oman, all of whom are looking
to own affordable housing units and
take their first steps onto the property
ladder. It is worth mentioning that the
construction of relevant real estate
units is currently lacking; however,
demand is high, so these locations
should not be affected by market
fluctuations, in the medium term.
Affordable or low-cost real estate units,
aimed specifically at young adults and
first-time buyers is expected to drive
construction of such projects, based on
the premise that demand for all-inclusive
housing communities at affordable prices
will increase over the next few years. On
the other hand, oil price declines and
its associated negative impact could
affect the ability of young adults to
own property, which may increase the
likelihood of an upsurge in the pricing of
housing units. The knock on effect may
then have a negative impact on the pace of
real estate investment into the Sultanate.
Taking into consideration that the Omani
government is focused on energising
both domestic and foreign investments
across a large number of industry
sectors, key opportunities – and high
returns – exist for investors in areas such
as: public services, healthcare, logistics,
manufacturing, tourism, and mining.
In short, the real estate sector is a key
priority for the Omani government
and this presents huge opportunities
for
real
estate
developers
and
investors, in the medium to long-term.
Mazaya Monthly Real Estate Report -
Week 3 - May 2016