Diverse designs

Prince Saud explained: The design of the residential units will be varied and of various sizes, including villas, apartments and townhouses, and that the beneficiary of the off-plan sales program can modify his chosen residential unit as he sees fit, provided that this is in accordance with the regulations and requirements set by the Ministry of Housing for real estate developers, explaining that the delivery date takes a maximum of 3 years from the date of allocation, and the beneficiaries will be announced monthly through the electronic portal of the (Sakany) program.

Prince Saud explained that the beneficiaries will be announced every month through the electronic portal of the (Sakany) program.

Region Shares

His Highness explained in a press interview that the allocation mechanism determined each region's share of 120,000 housing units during the current year, according to the following distribution: Makkah (33505), Riyadh (9647), Madinah (9280), Qassim (2906), Sharqiyah (31891), Asir (9418), Tabuk (8703), Hail (3520), Northern Borders (2333), Jazan (3467), Najran (3579), Al-Baha (217) and Al-Jouf (1534).

Stages of allocation

And that the mechanism of allocating housing and financing products will take place in stages, and new payments will be announced in the middle of each calendar month, whether it is ready residential lands or through the issuance of financing support, or by allocating a housing product to be delivered within 3 years in partnership with the private sector, knowing that the (Sakani) program, which was recently launched. The program includes 280,000 housing and financing products for allocation and delivery in all regions of the Kingdom, as the products include 120,000 housing units in partnership with the private sector, as well as 75,000 residential land ready for construction, in addition to 85,000 subsidized financing support from the state, in partnership between the Real Estate Development Fund and banks and financing institutions.. He pointed out that the ministry has already announced a number of partnerships with the private sector, some of which are local companies and some of which are international.

Less than the average market price

He added: The allocation process starts with the customer's stage to obtain the product from the «Housing» portal, then the ownership paths, after that he is allocated a state-subsidized housing product that suits his financial capabilities and social needs through the off-plan sales program "Wafi", noting that the average price of the housing product, chosen by the beneficiary, is lower than the average market price in the region, followed by the citizen obtaining financing from local banks compatible with Islamic law to cover the costs of the selected housing unit.

Subsidized Products

had preceded the launch of subsidized financing products by the Ministry of Housing with a decision to reduce the payment rate for housing loans (for the first time) from 30% to 15%, as it decided to increase the maximum mortgage financing granted by banks and banks to citizens to own the first home from 70 percent to 85 percent, as this step is consistent with the national housing goals, in a manner that does not violate the safety requirements of the banking sector or financial stability and enables banks and banks to provide various products to serve the citizen and meet the needs of the market.

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In addition to this step, the Ministry of Housing has begun strengthening the alliance with local real estate development companies to participate in securing housing, and concluding agreements with Saudi banks and private companies to provide housing finance programs, and the sector itself is expected to witness more positive shifts within the framework of the National Transformation Program 2020, which called for the provision of about one million new housing units, an average of 250,000 units every year. The National Transformation Program, which was launched earlier this year, is the first empowerment of beneficiaries within the housing support program.