Require real estate offices to authorize the “Wafi” program before selling and marketing

The Council of Saudi Chambers has informed all real estate offices or relevant institutions to abide by prohibiting the practice of selling, marketing or offering activities for any real estate project before or during the implementation phase without obtaining the necessary licenses from the “Wafi” program concerned with organizing off-plan sales. The program formally undertakes the issuance of licenses to engage in the activity of selling real estate units off-plan, and certificates of registration in the register of real estate developers in order to protect the rights of the beneficiaries and achieve their satisfaction. Off-plan sales, according to the controls in force, contribute to reducing the costs of owning real estate units and preserving the rights of buyers through the systems and procedures that guarantee this and raising the level of transparency in the real estate market. It also contributes to developing and stimulating the spirit of competition between developers and increasing supply through the development of real estate projects, enhancing the ability of development companies to shift from individual to institutional work, reducing speculative operations that negatively affect real estate prices and obtaining high-quality real estate units. According to the off-plan sale and lease program, “Wafi”, the total number of projects supervised by the program reached more than 100 projects, providing nearly 143,000 housing units with a total value of 100 billion riyals. During the first quarter of last year, the program issued 23 licenses, including 4 licenses for off-plan sales in partnership with the private sector, 3 licenses for small and medium enterprises, and 14 licenses for internal and external marketing. The off-plan sales program contributes to providing quick cash flows to complete projects on time without waiting for completion and marketing, in accordance with controls that guarantee the rights of all parties.

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