{"id":75217,"date":"2025-03-03T22:44:42","date_gmt":"2025-03-03T19:44:42","guid":{"rendered":"https:\/\/amlak.net.sa\/?p=75217"},"modified":"2025-11-25T23:18:12","modified_gmt":"2025-11-25T23:18:12","slug":"%d8%aa%d9%82%d8%b1%d9%8a%d8%b1-%d8%b3%d8%a7%d9%85%d8%a7-%d8%aa%d8%b1%d8%a7%d8%ac%d8%b9-%d8%a7%d9%84%d8%aa%d9%85%d9%88%d9%8a%d9%84-%d8%a7%d9%84%d8%b9%d9%82%d8%a7%d8%b1%d9%8a-%d8%a7%d9%84%d8%b3","status":"publish","type":"post","link":"https:\/\/amlak.net.sa\/en\/75217\/","title":{"rendered":"Saudi Arabia's Residential Real Estate Financing Declines Is the market starting to slow down?"},"content":{"rendered":"

A recent report by Saudi Central Bank<\/a> <\/strong>(SAMA) reported a significant decline in the size of the Real estate finance<\/a><\/strong> New housing finance provided to individuals by banks in the Kingdom decreased by 12.3% at the end of January, reaching about 10.46 billion riyals compared to about 11.94 billion riyals in December 2024.<\/p>\n

Villas lead the way in real estate financing<\/span><\/h4>\n

This decline comes against a backdrop of significant changes in the performance of various real estate sectors, as data showed that Real estate finance<\/a><\/strong> The new residential housing for individuals was distributed across three main sectors, led by villas, which accounted for the largest share of SAR 6.63 billion at the end of January, compared to SAR 8.12 billion in the previous December, thus recording a clear decline in financing values.<\/p>\n

As for apartments, the volume of Real estate finance<\/a><\/strong> The land sector witnessed an increase in financing to about 3.35 billion riyals by the end of January, compared to 3.48 billion riyals at the end of December, while the land sector witnessed an increase in financing to about 475 million riyals by the end of January, compared to about 335 million riyals in the previous month, reflecting an increasing interest in this type of real estate investments.<\/p>\n

Fewer real estate finance contracts<\/span><\/h3>\n

With regard to the number of contracts concluded, the market witnessed a decline during January 2025, as the total number of contracts amounted to 13,411 thousand contracts, compared to 15,294 thousand contracts in December, indicating a relative lull in the appetite of individuals for real estate financing at the beginning of this year.<\/p>\n

Despite the noticeable decline in the volume of new residential mortgage financing for individuals, SAMA data showed an increase in the total mortgage loans provided by commercial banks, which amounted to about 883.27 billion riyals by the end of the fourth quarter of 2024, compared to about 846.48 billion riyals at the end of the third quarter of the same year.<\/p>\n

These loans were distributed between individuals and companies, where the volume of real estate loans directed to individuals amounted to about 681.24 billion riyals by the end of the fourth quarter, compared to 656.88 billion riyals in the third quarter, while real estate loans to companies witnessed a significant jump to reach 502.03 billion riyals in the fourth quarter, compared to about 189.59 billion riyals in the third quarter, indicating an increase in financing directed to investment and commercial real estate projects.<\/p>\n

Underperformance of finance companies<\/span><\/h4>\n

At the level of financing companies, the Central Bank data showed a limited decline in the volume of new residential real estate financing provided to individuals by financing companies, as it decreased by 4.6% during January 2025, reaching 224 million riyals compared to 235 million riyals in December 2024.<\/p>\n

The data revealed that residential real estate financing provided by financing companies was also distributed among the three sectors, as the volume of financing directed to villas reached about 38 million riyals in January, compared to about 110 million riyals in December, while financing directed to apartments rose to 157 million riyals compared to 112 million riyals in the previous month, while land financing rose to 29 million riyals in January, compared to about 13 million riyals in December.<\/p>\n

Despite the decline in financing volume, the number of financing contracts concluded through finance companies increased slightly to 280 in January 2025, compared to 262 in December 2024, reflecting continued demand despite the relative decline in the value of financing.<\/p>\n

In total, the total real estate financing provided by finance companies during the fourth quarter of 2024 amounted to about SAR 690 million, compared to about SAR 556 million in the third quarter, which reflects a remarkable growth in real estate financing activities through these companies despite the challenges witnessed by the market.<\/p>\n

 <\/p>","protected":false},"excerpt":{"rendered":"

Reading time: <\/span> 2<\/span> Minutes<\/span><\/span>A recent report issued by the Saudi Central Bank (SAMA) revealed that the volume of new residential real estate financing provided to individuals by banks in the Kingdom decreased by 12.3% at the end of last January, reaching about 10.46 billion riyals compared to about 11.94 billion riyals in December 2024. This decline comes in light of remarkable changes in the performance of the real estate sectors ... Read more<\/a><\/p>","protected":false},"author":27,"featured_media":84019,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_seopress_robots_primary_cat":"0","_seopress_titles_title":"","_seopress_titles_desc":"","_seopress_robots_index":"","footnotes":""},"categories":[119],"tags":[],"class_list":["post-75217","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-real-estate-finance"],"acf":{"amlak_post_excerpt":"\u0633\u0627\u0645\u0627: \u0627\u0644\u062a\u0645\u0648\u064a\u0644 \u0627\u0644\u0639\u0642\u0627\u0631\u064a \u0627\u0644\u0633\u0643\u0646\u064a \u0627\u0644\u062c\u062f\u064a\u062f \u0644\u0644\u0623\u0641\u0631\u0627\u062f \u064a\u062a\u0631\u0627\u062c\u0639 12.3% \u0641\u064a \u064a\u0646\u0627\u064a\u0631 \u0625\u0644\u0649 10.46 \u0645\u0644\u064a\u0627\u0631 \u0631\u064a\u0627\u0644","amlak_post_excerpt_source":{"label":"Amlak post excerpt","type":"text","formatted_value":"\u0633\u0627\u0645\u0627: \u0627\u0644\u062a\u0645\u0648\u064a\u0644 \u0627\u0644\u0639\u0642\u0627\u0631\u064a \u0627\u0644\u0633\u0643\u0646\u064a \u0627\u0644\u062c\u062f\u064a\u062f \u0644\u0644\u0623\u0641\u0631\u0627\u062f \u064a\u062a\u0631\u0627\u062c\u0639 12.3% \u0641\u064a \u064a\u0646\u0627\u064a\u0631 \u0625\u0644\u0649 10.46 \u0645\u0644\u064a\u0627\u0631 \u0631\u064a\u0627\u0644"}},"featured_image_urls":{"full":["https:\/\/amlak.net.sa\/wp-content\/uploads\/2025\/09\/pro-3IRPl0vs.jpg",747,509,false],"thumbnail":["https:\/\/amlak.net.sa\/wp-content\/uploads\/2025\/09\/pro-3IRPl0vs-150x150.jpg",150,150,true],"medium":["https:\/\/amlak.net.sa\/wp-content\/uploads\/2025\/09\/pro-3IRPl0vs-300x204.jpg",300,204,true],"medium_large":["https:\/\/amlak.net.sa\/wp-content\/uploads\/2025\/09\/pro-3IRPl0vs.jpg",747,509,false],"large":["https:\/\/amlak.net.sa\/wp-content\/uploads\/2025\/09\/pro-3IRPl0vs.jpg",747,509,false],"1536x1536":["https:\/\/amlak.net.sa\/wp-content\/uploads\/2025\/09\/pro-3IRPl0vs.jpg",747,509,false],"2048x2048":["https:\/\/amlak.net.sa\/wp-content\/uploads\/2025\/09\/pro-3IRPl0vs.jpg",747,509,false],"trp-custom-language-flag":["https:\/\/amlak.net.sa\/wp-content\/uploads\/2025\/09\/pro-3IRPl0vs.jpg",18,12,false],"event-thumbnail":["https:\/\/amlak.net.sa\/wp-content\/uploads\/2025\/09\/pro-3IRPl0vs-300x200.jpg",300,200,true],"event-medium":["https:\/\/amlak.net.sa\/wp-content\/uploads\/2025\/09\/pro-3IRPl0vs-600x400.jpg",600,400,true],"event-large":["https:\/\/amlak.net.sa\/wp-content\/uploads\/2025\/09\/pro-3IRPl0vs.jpg",747,509,false],"event-hero":["https:\/\/amlak.net.sa\/wp-content\/uploads\/2025\/09\/pro-3IRPl0vs.jpg",747,509,false]},"author_info":{"info":["\u0623\u0645\u0644\u0627\u0643 \u0627\u0644\u0639\u0642\u0627\u0631\u064a\u0629"]},"category_info":"\u062a\u0645\u0648\u064a\u0644 \u0639\u0642\u0627\u0631\u064a<\/a>","tag_info":"\u062a\u0645\u0648\u064a\u0644 \u0639\u0642\u0627\u0631\u064a","comment_count":"0","_links":{"self":[{"href":"https:\/\/amlak.net.sa\/en\/wp-json\/wp\/v2\/posts\/75217","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/amlak.net.sa\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/amlak.net.sa\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/amlak.net.sa\/en\/wp-json\/wp\/v2\/users\/27"}],"replies":[{"embeddable":true,"href":"https:\/\/amlak.net.sa\/en\/wp-json\/wp\/v2\/comments?post=75217"}],"version-history":[{"count":0,"href":"https:\/\/amlak.net.sa\/en\/wp-json\/wp\/v2\/posts\/75217\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/amlak.net.sa\/en\/wp-json\/wp\/v2\/media\/84019"}],"wp:attachment":[{"href":"https:\/\/amlak.net.sa\/en\/wp-json\/wp\/v2\/media?parent=75217"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/amlak.net.sa\/en\/wp-json\/wp\/v2\/categories?post=75217"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/amlak.net.sa\/en\/wp-json\/wp\/v2\/tags?post=75217"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}