In the fourth quarter of 2023, the Saudi real estate sector contributed 5.9% to the Gross Domestic Product (GDP), highlighting its significant role in driving Saudi economic growth.
During just one week in June 2024, the Saudi Real Estate Exchange recorded 518 transactions totaling over 331.7 million Saudi Riyals, involving an area of approximately 900,000 square meters. The highest price per square meter in these transactions reached around 15,000 Saudi Riyals, with an average price of 371 Saudi Riyals.
Among regional transaction data, Al-Wisam district in Jeddah recorded the highest transaction value at 89.3 million Saudi Riyals, followed by Arid district in Riyadh at 63.5 million Saudi Riyals. Other notable regions include Al-Rimal district in Riyadh (55.9 million Saudi Riyals), Jawharat Al-Arous district in Jeddah (39.8 million Saudi Riyals), and Al-Bukayriyah district in the northwest (0.7 million Saudi Riyals).
Internet
Experts generally view real estate as a safer and more stable investment compared to other options such as stocks and gold. The robust growth of the Saudi real estate market is bolstered by investor confidence in government policies, particularly significant projects like Qiddiya, NEOM, and the Red Sea Development injecting substantial funds.
Market observers highlight significant growth and sustained demand in the Saudi real estate market, reflected in the volume and scale of transactions recorded by the Saudi Real Estate Exchange. This strong performance is partly attributed to economic reform measures implemented by the government as part of Vision 2030.
The real estate sector in Saudi Arabia not only serves as a cornerstone of the national economy but also contributes significantly to the GDP through extensive investments and major development projects. Government regulations and promotional measures have stimulated economic vitality, created extensive employment opportunities, fostered new skills required by the real estate industry, helped reduce unemployment rates, and promoted sustainable development initiatives.
