In light of continued developments in the Kingdom's residential real estate market, data from Saudi Central Bank (SAMA) revealed that commercial banks recorded new real estate loans to individuals amounting to 27.77 billion riyals during the first quarter of 2025, down by an estimated 7.9% compared to the previous quarter.
Residential villas take the largest share.
Residential villas take the largest share
According to SAMA data, residential villas maintained their position as the most demanded real estate units, accounting for more than SAR 17.4 billion in financing, reflecting consumer confidence and preference for this type of housing.
According to SAMA data, residential villas maintained their position as the most demanded real estate units. <As for apartments, the value of mortgage loans provided for their purchase amounted to about 9 billion riyals, indicating a stabilization in demand within this sector. In contrast, residential land financing recorded about SAR 1.3 billion, indicating a growing trend towards self-building and long-term investment.
Financing boom in March
SAMA data also showed that March 2025 alone pumped 8.4 billion riyals in new real estate loans to individuals, equivalent to more than 30% of the total first quarter financing, indicating remarkable lending activity by the end of the period, possibly as a result of promotional offers or seasonal factors that prompted consumers to make purchasing decisions.
