The Real Estate Development Fund announced the launch of the “Tatweer” program with the aim of enabling real estate developers to obtain appropriate financing from financial institutions, and to support real estate development companies and institutions in increasing the supply of housing to achieve the Housing Program’s targets of raising the homeownership rate among Saudi families to 70% by the end of 2030.

The “Tatweer” program as an extension of the Housing Program’s goals to stimulate demand and increase supply by removing obstacles facing the sector to promote market balance. It is part of efforts to create financing programs that support companies and institutions operating in residential real estate development in accordance with the Fund’s strategy and to encouragefinancial institutions to engage with them to secure the necessary financing to develop and expand their activities in the real estate market across all regions of the Kingdom.

Mansour bin Madi, CEO of the Real Estate Development Fund , explained that “Tatweer” is a platform designed to facilitate real estate developers“ access to financing from banks and financial institutions, enabling them to develop high-quality residential projects at competitive prices that meet the needs and preferences of beneficiaries of the ”Sakani"-subsidized mortgage. It noted that the initiative was launched with the signing of the first framework agreement with Riyad Bank, and that additional agreements will be signed with other financing institutions in the coming period.

It emphasized that the ”Tatweer" program will have a positive and effective impact on the development and sustainability of small and medium-sized enterprises in the real estate sector by helping to increase the supply of real estate and attracting a new segment of sector enterprises that have not previously dealt with financial institutions, andstrengthen their role in helping to achieve the goals of Vision 2030. He explained that financing for real estate developers will be provided through a joint committee comprising the Real Estate Development Fund, the Ministry of Municipal, Rural Affairs, and Housing, and the SME Partnership Program.

Key Objectives of the ”Tatweer" Program

– Creating new financing programs.

– Expanding the activities of financing entities in the real estate market.

– Attracting a new segment of borrowers.