The Ministry of Housing and the Real Estate Development Fund announced the launch of the second phase of the “Sakani” program for the year 2018 AH, which is the largest since the establishment of the Ministry of Housing and the Real Estate Development Fund. It includes 300,000 housing units and financing options for allocation across all regions of the Kingdom, They clarified that the offerings include 125,000 housing units in partnership with the private sector, 75,000 developed residential plots provided free of charge, and 100,000 subsidized financing packages through partnerships between the Real Estate Development Fund, banks, and financial institutions.
The Largest Batch of Financing Products
This was clarified by Khalid Al-Amoudi, Director General of the Real Estate Development Fund and supervisor of the “Sakani” program, who noted that these housing and financing products coincide with the announcement of the “Budget of Goodness” for our beloved homeland, and in accordance with the directives of our wise leadership and the facilities and support it has provided and continues to provide to increase homeownership rates, in line with the objectives of Saudi Vision 2030 and the National Transformation Program 2020.
Al-Amoudi stated that during the second phase of the “Sakani” program, the largest allocation of financing products since the Real Estate Development Fund was established 40 years ago will be announced, consisting of the allocation of 100,000 units in partnership with banks and financial institutions, with the goal of serving 50% beneficiaries of the Real Estate Development Fund by the end of 2018, He noted that these allocations are an extension of the first phase of the ”Sakani“ program, during which more than 282,000 housing and financing products were allocated in 2017.
Units to be delivered within 36 months
Al-Amoudi revealed that several measures have been approved to facilitate access to appropriate financing, including self-build agreements adopted in 2017, adding that the 2018 ”Sakani” program, in partnership with the private sector, is working to allocate 125,000 housing units of various specifications and sizes on a monthly basis starting in the middle of next month, which will be delivered within 36 months of contract signing. The program also includes the allocation of 75,000 developed residential plots across various regions of the Kingdom, emphasizing that these projects will help meet a significant portion of the housing demand nationwide.
Al-Amoudi said: “These housing and financing products are a continuation of numerous programs and initiatives launched previously in an effort to increase the homeownership rate and achieve greater economic and social well-being and stability for all citizens, in addition to achieving an optimal balance between supply and demand in the housing market and regulating and facilitating a balanced and sustainable housing environment.
Stimulating real estate supply and increasing productivity
The Fund’s General Supervisor emphasized that these programs will contribute to developing appropriate solutions to provide suitable housing for all citizens eligible for housing support at an appropriate quality and price, thereby achieving strategic objectives that include stimulating real estate supply and increasing productivity to provide housing products at appropriate prices and quality, enabling citizens to access suitable housing finance, and improving the performance of the real estate sector and increasing its contribution to GDP.”
It is worth noting that the “Sakani” program launched its first phase in mid-January of this year, allocating more than 280,000 housing units and financing packages, and the Ministry announced this month that it had exceeded its main target, having allocated 282,744 housing units and financing packages across all regions of the Kingdom, including ready-to-move-in housing units, and off-plan units in partnership with the private sector, in addition to developed land provided free of charge and subsidized financing in partnership with banks and financial institutions.
