Jordan: gross rental yields good at 6.5% to 9%

Residential Valuation Specialist | December 17, 2017

Last Updated: Dec. 17, 2017
AMMAN - Apartments COST (US$) YIELD (p.a.) PRICE/SQ.M. (US$)
TO BUY MONTHLY RENT TO BUY MONTHLY RENT
150 sq. m. 218,250 1,605 8.82% 1,455 10.70
300 sq. m. 407,700 2,196 6.45% 1,359 7.32
All yields are gross - i.e., before taxes, repair costs, ground rents, estate agents fees, and any other costs. Net yields (what you´ll really earn) are typically around 1.5% to 2% lower.
Districts researched
Abdoun, Deir Ghbar, Jabal Amman, Sweifieh, Um Uthainah
Source: Global Property Guide Definitions: Data FAQ See also: Update Schedule

Property prices. Typically, it costs around US$1,850 per square metre to buy an apartment in Jordan´s capital Amman - less at the lower end, more for larger apartments, according to our sample (though this may not apply to the very smallest apartments).

Property rents. Rental rates in Amman are rather high, due no doubt to the large number of refugees who have poured in to the country. Smaller apartments yield significantly more than larger apartments.

Property returns. Gross rental yields on apartments in Amman are good.

Yields on villas are somewhat lower. We researched villas in previous years but this year were unable to gather data. The lower yields are because villas tend to cost substantially more on a per square metre basis, because of the land value.

Property buying costs. Round trip transaction costs on the purchase of residential property in Jordan are moderate to high, especially in comparison with the rest of the Middle East. See our Jordan residential property Buying Guide and Residential property transaction costs in Jordan compared to the rest of the Middle East.