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
 Jul 24 2016 - Two Israeli Reconnaissance Planes Violate Lebanon's AirspaceQatar News Agency
(MENAFN - Qatar News Agency) Beirut, July 23 (QNA) - An Israeli reconnaissance plane has violated the Lebanese airspace above Lebanon's Alma Shaab and flew over Iqlim Kharroub region, as indicated by ...

 Jul 24 2016 - Mass Hunger Strike in Protest of Israel's Detention of PalestiniansQatar News Agency
(MENAFN - Qatar News Agency) Ramallah, July 23 (QNA) - A mass hunger strike across Israeli prisons continued on Saturday in protest of Israel";s detention of Palestinians without charge or trial, ...

 Jul 24 2016 - EU Condemns Kabul AttacksQatar News Agency
(MENAFN - Qatar News Agency) Brussels, July 23 (QNA) -The EU has condemned an attack in Kabul earlier today at a march in which 80 people were killed and over 200 injured. A statement by Maja ...

 Jul 24 2016 - Turkey Forms State of Emergency Coordination CommitteeQatar News Agency
(MENAFN - Qatar News Agency) Ankara, July 24 (QNA) - Turkey has formed a state of emergency coordination committee chaired by Prime Minister Binali Yildirim, according to the Official Gazette. The ...

 Jul 24 2016 - Israeli Army Injures One Palestinian, Arrests Three OthersQatar News Agency
(MENAFN - Qatar News Agency) Ramallah, July 24 (QNA) - Israeli soldiers invaded, at dawn Sunday, the town of Silwad, east of the central West Bank city of Ramallah, shot and seriously wounded one ...

 Jul 24 2016 - Bahrain to launch USD526m market revampMENAFN
(MENAFN) Bahrain's government has announced a USD526 million project to revamp Bahrain's Manama Central Market.In detail, the project is still awaiting approval, six months after it was suspended ...

 Jul 24 2016 - Enec, KHNP shake hands on support services dealMENAFN
(MENAFN) The Emirates Nuclear Energy Corporation (Enec) and Korea Hydro & Nuclear Power (KHNP) have inked an operating support services agreement (OSSA) for the Barakah nuclear power plant in Abu ...

 Jul 24 2016 - QIA, Douglas Emmett acquires USD225m LA office buildingMENAFN
(MENAFN) Qatar Investment Authority (QIA) has announced the acquisition of a mega office property in Los Angeles in joint venture with Douglas Emmett, a real estate investment trust (REIT.In detail, ...

 Jul 24 2016 - WEEK AHEAD: Blue-chips aplenty due to update marketProactiveInvestors - UK
(MENAFN - ProactiveInvestors - UK) The week ahead is set to be a busy one as blue-chips race to get their results out before people head off on holiday. The first of the big companies reports on ...

 Jul 24 2016 - Italian banking crisis may not spill over to global economy: QNBGulf Times
(MENAFN - Gulf Times) Italian banks are in 'trouble” because of their 'large stock of bad loans” QNB said although it does not foresee the trouble 'spilling over” to the wider ...

more...


 





Google

Easy Forex

 
 

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