Saudi Arabia’s residential housing segment underwent significant expansion in 2019 following several years of muted growth. The government has been the primary driver of this recent uptick in activity, launching a number of regulatory reforms and financing initiatives to increase the availability of affordable housing. Current trends in the segment include an expanding mortgage market, more first-time buyers and the development of large-scale housing projects. On the commercial side, major…
Real Estate & Construction
From The Report: Saudi Arabia 2020
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With a young population and an increasing number of Saudis entering the workplace, the demand for housing and offices is expected to remain high. As housing preferences evolve, with a move away from extended family homes to those based around nuclear families, appetite for smaller affordable units are set to increase. This will boost construction of residential units and drive continued demand for mortgages. Beyond this, various mega- and giga-projects and large residential housing schemes will drive sector activity. The Kingdom’s growing tourism industry is also expected to be a force in construction planning. As Saudi Arabia prepares for a greater number of visitors due to a new tourist visa, the country will need to analyse its infrastructure requirements, including accommodation and urban transport.