Jordan Real Estate Analytics

Property market metrics including price-to-income ratio, rental yields, and price trends

Price to Income

7.5x

Ratio of property prices to annual income

Rental Yield

5.7%

Average annual rental return

Price to Rent

17.5

Ratio of property prices to annual rent

Price to Income Ratio

Ratio of median house price to median annual household income

Rental Yield

Annual rental income as percentage of property value

Price to Rent Ratio

Ratio of property price to annual rental income

Additional Insights

Expert analysis of Jordan Real Estate trends and investment implications

Market Overview

Jordan's property market exhibits signs of overheating, with a high price-to-income ratio and a declining rental yield. The market's current cycle appears to be at or near its peak, suggesting caution for new investors. Opportunities may exist in targeted areas where rental yields still offer competitive returns relative to local interest rates.

Key Findings

Data-driven insights

•The price-to-income ratio has increased by 38.9% since 2009, reaching 7.5, indicating reduced affordability.
•Gross rental yields have decreased by 46.7% since 2009, currently at 5.7%, suggesting lower income potential from rentals.
•The price-to-rent ratio rose by 86.2% to 17.5, making buying less attractive compared to renting.
•The market's rental yield of 5.7% could still be competitive against current interest rates, but caution is advised.

Market Trends

Historical patterns

•A significant increase in the price-to-income ratio suggests a long-term trend of decreasing affordability.
•The declining rental yield trend indicates reduced profitability for buy-to-let investments over the 15-year period.
•The sharp rise in the price-to-rent ratio points towards an increasingly less favorable environment for property purchases.

For Investors

Actionable takeaways

•Consider waiting for potential market corrections before making large-scale investments as the market may be at or near its peak.
•Look for specific properties or regions where rental yields exceed 5.7% to ensure better returns, especially if interest rates rise.
•Evaluate the benefits of renting vs buying in high price-to-rent areas as renting may be more economical.
•Monitor upcoming policy changes or economic shifts that could impact property affordability and market dynamics.

Market Context

Jordan's property market has matured significantly over the past decade, with substantial price increases and declining yields. While the market is sophisticated, it currently presents challenges for new investment entry due to high prices and low yields, requiring strategic investment approaches.

💡 Insights based on historical data. Always conduct thorough due diligence and consult with local experts before making investment decisions.