Saudi property finance sector needs SAR 60-80 bln per year: minister

Saudi Arabia’s real estate finance sector needs SAR 60 billion to SAR 80 billion per year, housing minister Majed Al-Hogail said during the REDF Saudi Housing Finance Conference 2019.

“The Saudi government aims to increase Saudis’ ownership of houses by 6-7 percent a year,” Al-Hogail said, stressing that the housing market is growing.

“The goal is to raise the number of home-owning families to 15,000 per month,” he continued, adding that the number will soon be achieved thanks to the government and private sector’s support.  

In cooperation with Saudi Real Estate Refinance Company, promising meetings with many foreign investors were held, proving limitless trust in the Saudi housing sector, he noted.

“While the financing sector is growing, delinquency has also grown,” Al-Hogail said, adding that “the ministry has set-up a preventative and long-term support programs for those who are not able to pay their loans on time.”

During a panel discussion, the housing minister also said that the ministry’s programs will show significant results this year and next year.

“The private sector will play a key role in boosting the Kingdom’s real estate sector in the coming period,” Al-Hogail added.