The ”Real Estate Sector Performance" report showed that the sector's GDP grew by 3.3% compared to the same period in 2024, while the sector's contribution to the non-oil private sector reached 25.5%, confirming its vital role in diversifying sources of income and supporting sustainable economic growth.
According to the report, the real estate sector recorded a contribution of 13.8% to the national economy during the second quarter of 2025. <According to the report, construction and building activities recorded a remarkable growth of 3.8% compared to Q2 2024, while its contribution amounted to 7.7% of GDP and 14.2% of non-oil private sector GDP. Real estate activities achieved a growth in its GDP by 2.6%, contributing 6.1% of GDP and 11.3% of the non-oil private sector.
Real estate activities also achieved a growth in its GDP by 2.6%, contributing 6.1% of GDP and 11.3% of the non-oil private sector. The report indicated that the real estate sector continued to achieve positive growth in employment, as the number of Saudi workers within real estate activities increased by 18.7% year-on-year, reaching 38.8% of the total workers in the sector, reflecting remarkable progress in localization efforts.
The report noted that the real estate sector continued to achieve positive growth in employment. Investment transactions in the real estate management and development sector recorded a year-on-year increase of more than 96%, along with a growth of 48% in the value of investments in real estate ETFs, reinforcing the real estate market's position as a safe and attractive destination for local and foreign capital.
In terms of prices, this reflects remarkable progress in localization efforts. In terms of prices, the real estate index showed mixed performance, with the residential sector recording a slight increase, while the commercial sector achieved the highest levels of growth driven by rising commercial land prices, while the agricultural sector continued to decline.
The report concluded. <The report concluded by noting that the Consumer Price Index (CPI) for both actual residential rents and estimated owner-occupied rents witnessed a year-on-year increase, despite the quarterly slowdown, as the market awaits recent regulatory measures and their expected impact on demand and supply levels.
