Jeddah property prices 'to inflate further over next two years'

(MENAFN- Arab News) The majority of Saudis believe that real estate rates in Jeddah will not only hold value but keep going up at least for the next two years according to a survey conducted earlier in March this year.
The survey conducted by YouGov and commissioned by National Exhibitions Company the company that organizes the upcoming Cityscape Jeddah Jeddah Urban Development and Real Estate Investment Event discovered that 58 percent of the respondents expect real estate values to remain constant or increase over the coming two years. Thirth-six percent of respondents stated that the proposed transport infrastructure improvements in the Western region would push prices higher.
The survey also revealed that twenty-six percent of the respondents consider hospitals to be among biggest requirements in Jeddah.
'This survey solidifies confidence in the Red Sea city's real estate market' said Abdullah bin Mahfouz chairman of the National Exhibitions Company. 'Homeowners and investors can feel safe investing in a city where demand is never in danger of waning.'
'Also given that the Kingdom's prosperity has created a rising middle class it is not surprising that 61 percent of Jeddah residents or 41 percent of young Saudis believe that developing affordable middle class housing is a priority for Jeddah.'
Thirty-four percent of the respondents came from Riyadh 31 percent from Jeddah and the remaining 35 percent distributed among Makkah Madinah Taif Dammam Alkhobar Abha and Tabuk. The sample consisted of 64 percent males and 36 percent females 41 percent mainly between 25 to 34 years old of which 48 percent are married with children.
Mo Alam YouGov MD-Saudi Arabia commented: 'Our findings highlight the citizens of Saudi Arabia require infrastructure to support a community and not just the provision of housing stock. Hospitals schools supermarkets and recreation facilities will all need to be developed to foster a sense of community and belonging. With almost half of all respondents believing property prices will inflate further over the next two years the government and banks will need to work hard to educate property buyers and provide appealing residential finance programs to assist with their housing purchases.'
The full results of the survey will be revealed to the general public at the 6th annual Cityscape Jeddah which will be held from April 5-7 at the Jeddah Center for Forums and Events. The event consists of the two-day real estate workshops and the three-day exhibition featuring over 50 exhibitors with more than 10000 visitors expected to turn up.
Cityscape Jeddah 2015 offers participants the opportunity to influence and network with leading institutional investors real estate developers government authorities architects consultants and other senior-level real estate professionals and decision-makers involved in the design and construction of major public and private commercial real estate developments.
'Cityscape Jeddah 2015 is taking place this year against a backdrop of comprehensive government reform and unprecedented commitment to support the real estate industry and close the gap between supply and demand therefore we look forward to seeing some encouraging developments and outcomes at this year's event' Mahfouz stated.
'Over the past six years Cityscape Jeddah has been established as the leading real estate event in the Kingdom and we are proud to continuously support the government's vision for growth in the real estate industry and highlight iconic architecture and innovative development in the region's biggest real estate market' he added.