Housing demand in Saudi Arabia to surge 50% by 2030 – PwC

Housing demand in Saudi Arabia to surge 50% by 2030 – PwC

Saudi Arabia’s housing demand is expected to increase by more than 50 percent to reach 153,000 houses by 2030 from 99,600 dwellings in 2021, PwC Middle East said in a new report.

Over the coming decade, the Kingdom will need to create approximately 1.2 million new homes to reach a housing stock of 4.96 million houses by 2030.

Saudi Arabia has made remarkable progress in transforming its housing sector in the past decade. The Kingdom is predicted to achieve its objectives of 70 percent home ownership and a housing sector that contributes 8.8 percent of the national GDP by 2030.

“The government’s robust policies and initiatives, including the activation of numerous finance products, is propelling the sector forward, addressing the key challenges faced by the housing market, and making homeownership a possibility for new generations of Saudis,” the consultancy said.

The Kingdom developed the housing programme in 2018 to increase access for Saudi families to affordable, quality, safe, and well-located housing.

PwC’s report, Transforming the Housing Sector in Saudi Arabia, pointed out some key initiatives that have positively impacted the Kingdom’s transformation.

Addressing the barriers created by a high mortgage interest rate environment, the financing dimension directly targets the challenge of unaffordable houses through several government-backed