The CEO of the Real Estate General Authority, Abdullah Al-Hammad, acknowledged that real estate prices are high, in addition to the existence of a gap between demand and supply, stressing that the authority is not satisfied with the high real estate prices, and this rise is negative for the real estate sector as a whole, but he stressed that the real estate market is an open market. It is subject to supply and demand.
He added, "The rise in real estate prices is negative for all parties, as the economy is in continuous rotation, and the state is working to enable demand in a way that achieves economic balance for the real estate sector."
He disclosed that the largest percentage of real estate seekers today do not have the purchasing power, and the price of the property today is higher than the purchasing power, and therefore it is not easy to obtain a suitable property. This came during a television interview for the "Al-Liwan" program on "Gulf Rotana".
And he indicated that the investors were affected by the high prices of the real estate, due to the high prices of the land, and the landowners became unable to move easily, and when the landowner wanted to sell, he lowered the price in order to be able to sell it.
Al-Hammad stressed that the new system for foreign ownership of real estate is in its final stages, and will be issued in a short period, as it is broader and more comprehensive than the current system for real estate ownership.
He indicated that foreigners will be allowed to own real estate soon, as they will be allowed to own real estate of all kinds (commercial, residential and agricultural). According to controls, noting that the initial reading of the system allows foreigners to own property everywhere in the Kingdom (including Mecca and Medina according to controls).
And he indicated that the negative effects of foreign ownership of the property were monitored in advance to avoid them, as solutions were developed for all problems and unacceptable practices.
Regarding the imposition of fees on white lands, the CEO of the Real Estate Authority stated that the fees began in 2017, and finally the Ministry of Municipal and Rural Affairs began working on proposals to increase or raise the efficiency of fees, especially since the fee may reach a maximum of 10%.
Okaz (Jeddah) @okaz_online