Understanding real estate in Kingdom of Saudi Arabia by GregorTarquin


شقق تمليك الرياض - http://www.shoqah.com/ - Saudi Arabia lure large number of expatriates to leave their home country and move out. Currently, engineering jobs in Saudi Arabia are most looked forward to after the revival of its economy.

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									          Understanding real estate in Kingdom of
                      Saudi Arabia
                                        The Kingdom of Saudi Arabia is seeing substantial action
                                        in real estate auction in a bid to draw attention of more real
                                        estate developers, land dealers and investors. Recent
                                        industry reports reveal that ‫ شقق تمليك جدة‬and ‫ششقق‬
                                        ‫ تمليششك الريششاض‬offers some of the world's best
                                        investment opportunities. This is because of the strong
                                        domestic housing demand, an attractive project pipeline
                                        and an expanding hospitality sector.

                                     If you look at the astonishing figures, then you will be
                                     surprised to see how the Government's efforts have
                                     resulted in massive growth in real estate investment. With
                                     more than US$ 36 billion of FDI and over US$ 500 billion
                                     of real estate projects already underway, the Kingdom of
Saudi Arabia presents some of the most lucrative and accessible opportunities for regional and
international real estate investors.

Investment in real estate industry is one of the most attractive options for any investor because it
gives higher capital appreciation and there is an option of generating fixed income by means of
rent. Finding a house property is an investment of a lifetime for many people and thus it is always
a very difficult decision as there are various factors, which are to taken into consideration. Saudi
Arabia's young population is filled with first time homebuyers. The population growth is 2%
annually and about 45% of the country's population is below 20 years old. Moreover there are 5.5
million expat workers in the country as well. This sharp rise in population figures is causing
housing demand to outstrip the supply. But as Saudi Arabia is experiencing a bonanza from high
oil prices, we see positive ripples of it in the economy especially real estate sector.

Saudi Arabia's unprecedented real estate boom is reflected in the progress in ‫شقق تمليك جدة‬
and ‫ .شقق تمليك الرياض‬With favorable demographics and a strong economy, both these cities are
performing strong in the real estate segment.

In the past year, if we look at Jeddah, there was a 15% rise in average sales price of single-family
dwellings i.e. villas and duplexes to SAR 3,980 (US $1,061) per sq. m., while the average sales
price of multi-family dwellings i.e. apartments rose by 14% to SAR 2,450 (US $653) per sq. m. In
the capital city of Riyadh, things are no different. There was a 9% rise in the average price of
single-family dwellings i.e. villas and duplexes, to SAR 3,150 (US $840) per sq. m. Likewise,
there was an 8% rise in the average price of multi-family dwellings i.e. apartments to SAR2,860
(US$762) per sq. m..

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