The indicators and figures that have emerged in recent years have confirmed the growing sales of ready-made apartments in the city of Riyadh, where the sales of ready-made apartments in Riyadh have increased by more than 100% during the past six years, as the index recorded 2229 sales in 2015, which is a clear change in the housing culture of the residents of the capital, by accepting to live in an apartment within a building, instead of living in a private building.
Riyadh's real estate market has changed in recent years.
11365 apartment sales contracts in 6 years
Riyadh's apartment purchase index declined in 2016 by 17.7%, compared to 2015.
Ministry of Housing field studies and research
The Ministry of Housing considers 2015 as the year of the sale of apartments in Riyadh. The Ministry of Housing considers 2015 to be an exceptional year in terms of the number and value of deals executed in residential apartments in Riyadh, due to the decrease in the average price per apartment, as well as the average price per square meter, which reached 2780 riyals, the lowest price in the last three years.
Ministry of Housing considers 2015 to be an exceptional year in terms of the number and value of deals executed in residential apartments in Riyadh.
Distribution of deals to Riyadh neighborhoods
Distributing the total deals executed according to the geographical division of Riyadh (north, south, west, west, east, industrial area) in 2016 shows that the neighborhoods in the north of Riyadh accounted for about one-third (33.7% of the 621 apartment purchases, representing about 37% of the total sales value and 32% of the total area sold, while the neighborhoods in southern Riyadh attracted the smallest number of apartment seekers after the industrial area. With 299 purchases, representing only about 12% of the total sales, and about 16% of the total areas sold, the neighborhoods of East and West Riyadh shared half of the apartment purchase deals concluded in 2016, equivalent to 468 million riyals, with an area of 157 thousand square meters.
Promoting the citizen's housing needs
<In this regard, Ali Al Jaber, Undersecretary of the Ministry of Housing, Studies and Programs in charge, confirms that the ministry has changed its methodology and mechanism of work, by enhancing the needs of citizens of subsidized housing products, explaining that the ministry developed the “Iskan” program to provide housing support in its various forms to the beneficiaries of housing support, the model of providing support was based on building first, then matching available products for beneficiaries according to their priorities and choices, which does not take into account the differences between the actual needs and wishes, as well as their ability to afford the cost, which leads to creating housing products that are not diversified, and may be subsidized.
