The “Mecca Real Estate” index rose by 30 percent during the month of Jumada al-Awwal compared to Rabi’ al-Thani, driven by a deal worth 1.5 billion in the Jabal al-Ka’ba neighborhood of Mecca. The total value of transactions in Jumada al-Awwal reached approximately 5.8 billion riyals, with residential transactions estimated at 5.4 billion and commercial transactions at 391 million riyals.
A report issued by the Makkah Chamber of Commerce and Industry indicated that the Holy City ranks second in terms of residential capital inflows, with Riyadh ranking first at approximately 6.6 billion, and Jeddah ranking third at 3.9 billion.
Riyadh tops the list of cities in terms of real estate liquidity for the month of Jumada al-Awwal, with approximately 9.8 billion, followed by the Holy City with a total of 5.8 billion, then Jeddah with approximately 5 billion, followed by Dammam with 1.4 billion, and Al-Khobar with approximately 1.2 billion.
As for commercial real estate, Riyadh leads in real estate liquidity for the month of Jumada al-Awwal, with 3.1 billion, followed by Jeddah in second place with 1.1 billion, and Al-Khobar in third place with approximately 509 million, and Mecca comes in fourth with a total of 392 million riyals.
The report noted a 7 percent increase in the number of transactions in the month of Jumada al-Awwal compared to Rabi’ al-Thani, while the total number of transactions in Jumada al-Awwal of this year reached 1,352, a 6 percent decrease from last year’s average.
It also indicated that Makkah ranked third in terms of real estate activity during the month of Jumada al-Awwal, with Riyadh topping the list as the most active Saudi city in terms of the number of transactions, whether residential or commercial, with 5,906 transactions—a 22 percent increase from the month of Rabi’ al-Thani—followed by Jeddah in second place with a total of 2,671 transactions, a 3 percent decrease from the previous month, Dammam ranked fourth with a total of 1,086 transactions. According to the report, a comparison of financial liquidity between Jumada al-Awwal and Rabi’ al-Thani of this year shows a 55 percent change, However, it should be noted that a single transaction worth 1.5 billion in Jabal al-Kaaba in Makkah had a significant impact on the overall index performance, indicating that without this transaction, the increase would have been 15 percent.
The report confirmed that the average price per square meter for residential properties in the month of Jumada al-Awwal saw a significant decline of 61 percent compared to the previous month, with 3,591 transactions recorded in Rabi’ al-Thani, while it fell to 1,383 residential transactions—a figure that is also lower compared to last year’s average of 1,932 transactions per square meter. The report indicated that this decline amounted to 28 percent, As for commercial transactions, the average price per square meter rose by 54 percent from the previous month, reaching 5,309 transactions, compared to 3,445 transactions in Rabi’ al-Thani.
The report confirmed that, according to real estate indicators issued by the Ministry of Justice, Riyadh has the highest number of transactions in Saudi Arabia, and the number of transactions often reflects commercial activity in the region; the number of residential transactions in Riyadh stood at 5,723, and commercial transactions at 855, Mecca, meanwhile, ranks fourth in terms of commercial activity, with 1,272 residential transactions and 86 commercial transactions, Jeddah ranks second with 2,689 residential transactions and 236 commercial transactions, while Dammam ranks third with a total of 2,000 residential transactions and 152 commercial transactions.
