Knight Frank: A third of the population in Saudi Arabia wants to buy a residential property

A third of the Saudi and residents in the Kingdom of Saudi Arabia want to buy a home in 2025, while the gap between the prices of housing units and the ability of individuals to bear costs continues, according to a new “Knight Frank” report. At the end of 2023, the ownership of residential real estate between Saudi citizens reached 63.7%, which means that the Kingdom is one of the targets of “Vision 2030” seven years before the date, as the vision is aimed at reaching this percentage to 70% at the end of the contract. According to “Knight Frank”, revenue growth was not in line with the level of inflation in real estate prices. In Riyadh, for example, which recorded the highest revenue growth rate at the regional level, the average monthly income available for spending increased by 62.4% compared to levels from 2018 to about 26 thousand Saudi -Riyale, while the prices of apartments rose 67% during the same period. The report found that 40% of the Saudi is ready to spend up to 1.5 million Saudi -Riyals on a new home, and most of them are preferred, but villas prices in a city like Riyadh are about 2.8 million Saudi -Riyals, which reflects the gap between expectations and reality. The poll, conducted by the Consulting Real Estate Company, included about 90% of the Saudi and 10% of the other nationalities. Financial solutions The demand for the purchase of dwelling units has been influenced by the high borrowing costs over the past five years, but this has coincided with the efforts of the Saudi authorities to ensure financing solutions that help the citizens to buy, which are reflected in the size and growth rates of the sales of housing units and the stimulating of the outlooking units and the stimulating housing units and the stimulating housing units and the stimulation of housing units and the stimulation of the housing units. Kingdom, according to “Knight Frank”. The Saudi Housing Minister of Housing plans to launch more than 20 thousand housing units for citizens supported directly on the current year, according to the Minister of Municipalities and the housing of Majid Al -Hogail in early January. According to the General Real Estate Authority in Saudi Arabia, the number of housing support programs scored a 20% growth during 2024 after giving 11 financing solutions to the beneficiaries, as 93 thousand families have already moved to the “Sakani program sponsored by the ministry of housing, and also 21 thousand families of their housing. “On the other hand, the report indicates the importance of providing financing options for non -saudis residents, especially with the changes that have taken place on laws that foreigners have in Saudi Arabia. Dollar is priced (about 3.7 million Riyals), which threatens a surplus in the supply of luxury housing, which is the purchasing power of most Saudi families. of residential real estate prices, according to the General Authority for Statistics.