Saudi Arabia’s real estate market witnessed a drop in the volume and value of transaction during the past year, according to CBRE analysis.
According to the analysis, Jeddah’s market witnessed the biggest impact in the Kingdom.
Even though there was an increase in property prices in the country, the value of real estate transactions showed double digit decline compared to the value recorded in the third quarter (Q3) of last year.
The total number of residential transactions in KSA were 61,473, accounting to a total value of SAR 45.9 billion ($12.2 billion).
During the same quarter in 2022, the number of transactions witnessed a seven percent drop, and the total value dropped by 11.3 percent.
The total number of mortgage contracts fell by 37.5 percent this year, totalling SAR18.4 billion ($4.9 billion).
Total value of lending of single-family homes in Saudi Arabia reached 69.8 percent, followed by apartments and land at 24.8 percent with 5.4 percent respectively.