After stock market losses. Saudi Arabia's real estate market opens its arms to new investors

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<Real estate specialists predicted the migration of investors in the Saudi capital market to the real estate market due to the decline in the stock map and index during the past two months, which will revive to a certain extent the investments directed to the real estate market and its growth, and experts emphasize that the majority of Saudi citizens are well aware of the economic feasibility of investing in the real estate market, but they saw over the past years in the capital market an easy investment sector, which may bring them abundant profits in speculative operations that take only a few minutes, but the decline in the capital market during the past weeks confirms that the market is fraught with great risks that would lead to an increase in the number of investors in the real estate market.

Real estate fields accommodate new investors

In the same context, Abdulrahman bin Adnan Al Muhaidib, CEO of Wathrah Real Estate Investment and Development Company, confirmed that the real estate market will be an attractive investment environment for investors and guarantees them stable profits, by pumping money into specific areas within the sector, such as buying white lands and reselling them again at higher prices, working in the field of maintenance and finishing or participating in the construction of ready-made houses and reselling them to those who wish, and advised new investors in the field to be patient and gain experience to achieve the greatest profitability gains.

Muhaidib advised new investors in the field to be patient and gain experience to achieve the greatest profitability gains.

Decline and risks in the stock market

<The stock market trading had witnessed heavy losses until the beginning of this week, as the index lost about 2.5 percent of the market value, and the 15 market sectors closed on mixed declines, led by the transportation sector, which fell by 7.50 percent, then real estate development by 4.22 percent, construction and construction by 3.60 percent, and industrial investment by 3.54 percent, while the retail sector was the least declining sector by 0.94 percent, the petrochemical sector fell 3.21 percent, the banking sector fell 1.75 percent, and cement by 1.70 percent, which encouraged analysts to emphasize that this decline may be the beginning of more losses in the future, prompting small investors to sell their shares and exit the market as soon as possible, in anticipation of further losses.

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The next real estate boom

Analysts indicate that the Saudi real estate sector is preparing for a major boom in the coming months, relying on the housing crisis in the country and the government's keenness to solve this crisis and provide housing for all citizens. Specialists believe that the housing crisis will have a major benefit, pushing everyone to work more in housing projects, stressing that the decision of the Ministry of Housing to open the way for real estate development companies to work in housing projects will have a positive impact on the sector, expecting that this will divert many investments from the capital market to the real estate sector, which proved the best investment and most stable.

Real estate sector in Saudi Arabia.