JEDDAH: Oman’s real estate price index recorded a 17.3 percent increase in the third quarter of 2025 compared with the same period in 2024, according to official data. 

The commercial property price index rose 14.6 percent, driven by a 19 percent increase in commercial land prices, while the cost of commercial shops fell by 8.5 percent, as per the country’s National Centre for Statistics and Information, or NCSI, based on figures from the Ministry of Housing and Urban Planning. 

Industrial land prices posted a moderate increase of 5.5 percent, while residential property prices recorded stronger growth of 18.7 percent year on year, the Oman News Agency reported. 

The rise in Oman’s real estate price index comes amid broader momentum across Gulf property markets, where residential activity remained resilient in the third quarter of 2025. Higher demand in major cities across the region, supported by population growth and ongoing infrastructure investment, helped underpin price gains, even as some markets faced tighter financing conditions. 

“As for the residential property price index, it achieved clear growth in the third quarter of 2025, with a rate of 18.7 percent compared to the third quarter of 2024, as residential land prices increased by 19.6 percent, residential apartments by 22.4 percent, in addition to the growth of villa prices by 16.5 percent, while the prices of other houses decreased by 0.5 percent,” the ONA report stated. 

Oman’s residential land prices climbed 19.6 percent, with apartments rising by 22.4 percent, while villas increased by 16.5 percent. Prices of other types of houses saw a slight decline of 0.5 percent. 

At the governorate level, Muscat recorded the highest increase in residential land prices at 48.3 percent, followed by Musandam at 29.7 percent, Al-Dakhiliyah at 12.3 percent, Al-Batinah South at 8.7 percent, North Al Batinah at 8.1 percent, and Dhofar at 4 percent. 

On the other hand, some governorates saw declines in residential land prices, with Al-Dhahirah down 25.8 percent, Al-Buraimi down 24.6 percent, Al-Wusta down 13.3 percent, Al-Sharqiyah North down 4 percent, and Al-Sharqiyah South down 2.2 percent. 

“This increase reflects continued demand in Oman’s real estate market, with residential properties in Muscat and Musandam driving much of the growth,” the ONA report added. 

The data also show clear differences across regions, with price gains concentrated in major urban areas. Strong demand in Muscat and coastal governorates was supported by population growth, investment, and infrastructure spending, while some interior regions recorded declines as market activity softened.