VAT hike in Saudi prompts housing market to move towards rentals – ZAWYA
- Date: 22-Jul-2020
- Source: Zawya
- Sector:Economy
- Country:Saudi Arabia
VAT hike in Saudi prompts housing market to move towards rentals – ZAWYA
The residential sector in saudi arabia is expected to see a shift towards the rental market, thanks to the tripling of vat from july 1 to help the coronavirus-hit economy.according to real estate advisory firm jll, expected high levels of unemployment and a reprioritisation of household spending as a result of raising the vat will make the rental market in the kingdom gain momentum."a reprioritisation of household spending will continue, and we expect to see a shift towards the rental market as it becomes comparatively more attractive and cost competitive,“ dana salbak, head of research for jll mena said.according to real estate advisory firm jll, expected high levels of unemployment and a reprioritisation of household spending as a result of raising the vat will make the rental market in the kingdom gain momentum.the residential sector in saudi arabia is expected to see a shift towards the rental market, thanks to the tripling of vat from july 1 to help the coronavirus-hit economy."a reprioritisation of household spending will continue, and we expect to see a shift towards the rental market as it becomes comparatively more attractive and cost competitive,“ dana salbak, head of research for jll mena said."this could see performance