<Yesterday, the Cabinet issued a decision to form a committee from the ministries of finance, housing, justice, trade, industry, economy and planning: Finance, Housing, Justice, Commerce, Industry, Economy and Planning, the Saudi Arabian Monetary Agency and the Capital Market Authority, to develop executive plans to reach the strategic goals set by the general policies for real estate financing, and follow up on the implementation of those plans, linking them to specific time periods and performance measurement indicators, in conjunction with creating a real estate credit registry and clearly defining the target segments of real estate financing.
The Cabinet issued a decision yesterday to form a committee from the Ministries of Finance, Housing, Justice, Commerce, Industry, Economy and Planning.
Mechanism for regulating land fees
Sources indicate that the decision to impose a tax on white lands will be applied to lands with an area of 10,000 square meters and more, for residential lands in which all services have been completed. The white land tax project aims to reduce the cost of obtaining suitable housing, especially for those with limited or low incomes.
White land tax project aims to reduce the cost of obtaining suitable housing, especially for those with limited or low incomes. After the project was approved by the Council of Ministers, it was transferred to the Shura Council to study it within thirty days, along with a package of upcoming regulations through coordination with government agencies involved in the housing sector such as municipalities, trade, and justice to speed up licenses and encourage investment.
The regulation on the land tax was announced after the expiration of the deadline set by the Council of Economy and Development for the concerned authorities. The new regulation includes a mechanism that achieves the goal of establishing the tax, based on points that determine each of the services that reach the land, in addition to the value of the land, in order to control prices and pump more developed land within the urban area into the housing market and turn it into residential products.
The new regulation includes a mechanism to achieve the goal of establishing the tax, based on points that determine each of the services that reach the land, in addition to the value of the land.
Restructuring the real estate sector
<These steps coincide with several trends, including the Ministry of Housing's vision to construct and build 1.5 million housing units in partnership with the private sector of developers, while the number of families enrolled in the housing support program and the Real Estate Fund is 1.It is also consistent with the announcement of the establishment of a governmental authority for the real estate sector (expected) within the system of the new structure of the sector, which will achieve a qualitative leap, and a regulation that protects all beneficiaries from consumers and investors, and all these steps are hoped to restructure the real estate sector after launching a package of regulations for the real estate sector, and transform it into a sector that serves the economy and supports housing development through the expansion of housing construction and enhance competitiveness for the category of housing quality and prices..
Approval of Real Estate Finance
Policies In the same direction came the approval of the general policies of real estate financing; coupled with the creation of a real estate credit registry, identifying the target segments of real estate financing, with the aim of reducing the prices of housing finance products for citizens, promoting competition in Murabaha prices for these products among local financial institutions for the benefit of the consumer, and launching a joint venture between the Real Estate Fund and banks, where the former will be the guarantor in specific financing products for the benefit of beneficiaries of housing loans.
Approval of the general policies of real estate financing.
