60 billion riyals real estate deals in January, an increase of 5%

The volume of real estate transactions rose during last January to nearly 60 billion riyals, an increase of 5% compared to the same period last year 2020. This is due to the improvement in liquidity levels, economic activity, oil prices and the breakthrough in the Corona crisis by distributing vaccines, albeit relatively slowly in light of the increase in requests. The supply is limited. According to a monitoring conducted by Al-Madina, according to the index of real estate deals issued by the Ministry of Justice, the Riyadh region recorded an increase in deals by 9,722 deals compared to 9,159 deals for the same period last year 2020. While Makkah Al-Mukarramah recorded 5274 deals during January 2021 compared to 5005 deals, and the region continued Eastern Province, the increase by 4,368 deals compared to 4,155 deals in January 2020. Meanwhile, real estate deals in Madinah decreased by 1,000 deals compared to 1,197 deals for the same period of 2020. According to monitoring, the total value of real estate deals in the Riyadh region for the year 2020 was about 37.066 billion riyals, and in Makkah, 9,091 One billion riyals, the Eastern region 5.363 billion riyals, and Medina by 4.749 billion riyals, and the number of real estate deals in Makkah Al-Mukarramah increased in 2020, due to the projects of the ministries of housing, transport and communications, and the “electricity and real estate” sectors formed the majority of the contracts in Makkah by 477 million riyals or 32 The projects included the construction of subsidiary power stations and real estate housing projects, and it acquired contracts worth 4.6 billion riyals during the third quarter of 2020. According to the Ministry of Housing, work is currently underway in more than 60 projects. The availability of 130 thousand units in various regions, and the decrease in demand for rents is due to the departure of more than 1.5 million expatriates during the last two years, against the backdrop of ongoing reforms in the labor market and the high cost of accommodation. The prices of housing and apartments continued their decline due to the decrease in the demand for rents by 2.4% during the month of January, the largest decline since 2020, which increased the pressure on prices downward, and contributed to the decline in the inflation rate in December by 0.2%.

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