Saeed Al-Zahrani: The real estate unit ownership and classification system is one of the most important strategic projects in the sector

Lulwah Al-Raziq: Pioneering government projects have revitalized the market, making it more active after the recession

Mutaib Al-Mutairi: Developers face the dilemma of securing bank financing while implementing future plans

Saeed Al-Zahrani: Raising the Quality of Services

Real estate expert Saeed Al-Zahrani affirmed that the General Real Estate Authority’s decision to approve the executive regulations for the system governing the ownership, classification, and management of real estate units is one of the most important decisions, as the system contributes to empowering the real estate sector and making it organized and effective in developing the national economy and supporting GDP, and it also has a positive impact on the reality and daily lives of property owners.

Al-Zahrani believes that the Real Estate Unit Ownership System regulates the relationship between all parties and enhances the quality of the co-ownership experience, while also raising the quality of services in jointly owned real estate units, which include residential apartments occupied by Saudi families—441,000 according to data from the General Authority for Statistics— In addition, it constitutes one of the most important pillars of stability in the real estate system, as it safeguards the rights of all parties—owners and developers alike—and provides unique opportunities for engineering firms to participate in supporting this process through the design of common areas and various units.

Al-Zahrani emphasized that the decision is one of the most important strategic projects falling under the real estate regulation initiatives and its “Ownership and Classification of Real Estate Units,” which aims to regulate the relationship between owners and occupants of jointly owned real estate units through the development of systems and regulations and the organization of property, complex, and facility management services, thereby contributing to the protection of rights.

Lulwah: Using the database is a civilized approach

For her part, Lulwah Obaid Abdulrazig, a real estate consultant from Jeddah, praised the General Real Estate Authority’s role in regulating the real estate market, noting the recent decisions that will have a significant impact on the real estate market, She explained that numbering and the use of the database reflect the civilized face of the real estate sector.

Lulwa Abdulrazig noted that the decision to impose fees on vacant land has a positive impact on real estate in terms of protecting rights, expediting completion, reducing working hours and waiting times, boosting the local economy, and creating new investment opportunities, as it is a long-term investment.

Lulwah said that the government’s current flagship projects have revitalized the market, making it more active following the recession caused by the COVID-19 pandemic and the shutdown of all activities compared to last year; specifically, the lack of demand for real estate despite falling prices. and in the coming period, the real estate market will become more active and vibrant compared to last year, as the real estate market in 2022 will see increased activity, which will impact a number of related sectors, He suggested reducing interest rates on housing loans because they are considered an obstacle, especially since the real estate sector in Saudi Arabia is considered one of the safest and most stable sectors.

Al-Mutairi: Three Decisions Regulated the Real Estate Market

At the beginning of his remarks, Mr. Muteb bin Abdulaziz Al-Mutairi, of Amlak Real Estate Development and Investment Company, expressed his thanks, appreciation, and gratitude to our wise government and to His Excellency Majed Al-Hogail, Minister of Municipal, Rural Affairs, and Housing, for the efforts made to achieve the goals of the Vision 2030 housing program, emphasizing the company’s vision to increase the housing supply in the Kingdom in partnership with relevant authorities.

Regarding the most significant decisions recently made in the real estate sector, Al-Mutairi highlighted three decisions, stating: “The adoption of advertising regulations will help filter out fraudulent listings and empower the Real Estate Exchange to regulate market operations, in addition to the real estate registration system, which limits disputes related to property units.”

Al-Mutairi noted that current indicators are linked to the pandemic, which threatens to impose another round of lockdowns; yet the Saudi real estate sector is experiencing accelerating growth, alluding to the Housing Minister’s statement regarding increased demand for subsidized financing contracts, with approximately 500,000 new residential financing contracts expected over the next five years.

Mutaib Al-Mutairi explained that developers face the dilemma of obtaining bank financing while implementing future project plans, and the sector is looking forward to a decision that would streamline financing procedures, thereby accelerating the fulfillment of real estate market requirements in cooperation with the Ministry as part of its initiatives for off-plan sales projects.