Quotes: MENA   Enter Symbol: NewsLetter: Search: advanced

Saudi - Property prices poised to drop 25% in 2014  Join our daily free Newsletter

MENAFN - Arab News - 02/01/2014
No. of Ratings : 0
Add to Mixx!



(MENAFN - Arab News) Prices of property, including lands and housing units, are predicted to drop by 25 percent in 2014, local media said quoting property experts.


The experts attributed the expected drop in property prices to a number of factors, including growth of stock market which will attract huge liquidity from the real estate sector, and completion of housing projects earlier announced by the Ministry of Housing in different parts of the Kingdom.
The latter reason will play a key role in solving considerable portion of the housing woe, they said.


Economic expert Fadl Abo-Ainain said the price fall of property is governed by two things; the ability of real estate decision-makers to keep the property market cohesive and avoid rush to have their money reinvested in other investments such as stock market and, secondly, to keep the present status of market in terms of recession and gradual slowdown.
According to the economic expert, the pricing fall will mainly be concentrated in metropolitan cities while smaller cities and towns will witness gradual fall in their properties.
For his part, head of Sabhan Property Development and Investments Group Naif Al-Sabhan said the new year will be a testing year for the real estate market, either to grow, decline or remain recessed.


He recalled same reasons which were behind the price fall but added that a number of real state development firms will finalize their projects soon, a matter that will make supply surmount demand on property units and, accordingly, push prices downward.



Monopolizers, brokers and speculators of lands, villas and apartments were behind the cohesiveness and stability of prices over the past year (2013), particularly in the first half of it.

However, policies of the Ministry of Housing to develop new housing plans and provision of lands and loans came to curb price inflation, he said.
He expected that the price fall will be clearly felt in the peripherals of major cities and smaller towns where finished housing projects, initiated by the Ministry of Housing, will be distributed to citizens at affordable prices and will, hence, lead to price decrease in lands and housing units, which were earlier targeted by land manipulators.


In the mean time, property expert Abdullah Al-Shihri cited other factors supportive to possible price decline of property in the new year, including accessibility to funds, the introduction of the mortgage law and imposition of fees (zakat) on white (vacant) lands.


He said prices of real estate in the past year registered record levels, which made it difficult for seekers of lands or houses to provide the required values despite the fact that the Real Estate Development Fund (REDF) earlier raised property loans to nearly SR500,000.

 


Arab News




  MENA News Headlines
 Feb 11 2016 - 7th Qatar International Food Festival to be held in MarchBangladesh Monitor
(MENAFN - Bangladesh Monitor) Doha, Qatar: Qatar Airways and Qatar Tourism Authority (QTA) have jointly announced that the Qatar International Food Festival (QIFF) will be held in March. The annual ...

 Feb 11 2016 - Gulf Air boosts regional connectivityBangladesh Monitor
(MENAFN - Bangladesh Monitor) Manama, Bahrain: Gulf Air, national carrier of Bahrain, has been boosting its regional connectivity this month by increasing its Jeddah service. The new four flights ...

 Feb 11 2016 - Jet Airways offers Luck-E-TicketBangladesh Monitor
(MENAFN - Bangladesh Monitor) daily- A Monitor Report Jet Airways, Indian airline based in Mumbai, has announced an offer "Luck-E-Ticket" giving its guests an opportunity to win two free return ...

 Feb 11 2016 - Nearly 80 thousand movements in UAE airspace in January: SZC reportBangladesh Monitor
(MENAFN - Bangladesh Monitor) - A Monitor Report Dubai, UAE: Shaikh Zayed Air Navigation Centre's (SZC) latest reports reveal that total air traffic movements in UAE airspace reached 77,887 last ...

 Feb 11 2016 - BSE SME trades in red on Wednesday morningKNN India
(MENAFN - KNN India) Mumbai, Feb 10 (KNN) The BSE SME plunged by 0.05 per cent on Wednesday morning with the market capitalization falling to Rs 7,081.96 crore. Out of 108 companies listed with the ...

 Feb 11 2016 - Future of MSMEs in India is bright, says Ajay ShankarKNN India
(MENAFN - KNN India) New Delhi, Feb 10 (KNN) The future of micro, small and medium enterprises (MSMEs) in India seems to be bright, said Ajay Shankar, Chairman, Expert Committee of Ministry of ...

 Feb 11 2016 - WB CM to lay the foundation stone of IT hub of ITC Infotech todayKNN India
(MENAFN - KNN India) Kolkata, Feb 10 (KNN) West Bengal Chief Minister Mamata Banerjee will lay the foundation stone of the IT hub of ITC Infotech in Rajarhat, called Information Technology Park, ...

 Feb 11 2016 - RBI Governor to inaugurate 'India MSME Summit 2016'KNN India
(MENAFN - KNN India) Thiruvananthpuram, Feb 10 (KNN) The fourth edition of the 'India MSME Summit 2016' to be held here on February 15 will be inaugurated by the Reserve Bank of India (RBI) Governor ...

 Feb 11 2016 - Government collects tax of Rs 10.66 lakh cr in first 11 months of current fiscalKNN India
(MENAFN - KNN India) New Delhi Feb 10 (KNN) The tax collections stood at Rs 10.66 lakh crore in the first eleven months of the current financial year, which was 73.5% of the Budget target of Rs 14.49 ...

 Feb 11 2016 - Sensex bleeds expert blames it on NPAs, GST and global factorsKNN India
(MENAFN - KNN India) Mumbai, Feb 10 (KNN) The Bombay stock Exchange (BSE) closed at 21-month low following downtrend in global stocks that fell on alarming concerns about the health of world banks. ...

more...


 






Google

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country

Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Economic Calendar
Financial Glossary


Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2014 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help