Housing Minister Majid al-Hogail revealed that the ministry plans to establish a development company and start launching a mortgage fund to encourage banks to increase lending. The ministry will also regulate the developer companies, but the final ownership of the product will be with another government entity.
Hogail said that the new development company will give companies plots of land to build houses and help them secure financing by providing some loan guarantees, and financial assistance will be extended to some homebuyers. The new development company will give companies plots of land to build homes and help them secure financing by providing some loan guarantees, and financial assistance will be extended to some homebuyers.
Haqeel explained that the new development company will give companies plots of land to build homes and help them secure financing by providing some loan guarantees, and financial assistance will be extended to some homebuyers. In an interview with Bloomberg yesterday, Al-Hoqeel shed light on the mortgage market in Saudi Arabia, which is estimated at 94 billion riyals at the moment, considering it a “small market”, but explained that it is growing by 20-30 billion riyals per year, which will boost the mortgage loan portfolio to about 250 billion riyals by 2020.
Housing Minister Majid Al-Hoqeel stressed that the new development company will provide land plots for the construction of houses through some loan guarantees, and that financial assistance will be extended to some homebuyers. Housing Minister Majid Al-Hogail emphasized that building 1.5 million homes is the real need to solve the housing crisis in Saudi Arabia needs about eight years, explaining that the ministry is currently working on all solutions that will provide adequate housing for the citizen.
Minister Al-Hogail explained that the Ministry of Housing is currently working on all solutions that will provide adequate housing for the citizen. Minister Al-Hogail explained that the ministry intends to improve the performance and productivity of real estate developers at home as well as attract developers from abroad to work on solving the housing crisis. In the long term, the ministry seeks to act as a regulator and catalyst to balance supply and demand without carrying out direct development operations.
Minister Al-Hogail explained that the ministry is currently working on all solutions that will provide adequate housing for the citizen.
