Saudi Arabia’s residential property prices remain resilient despite softening transactions figures in Q3 2023, says CBRE

Saudi Arabia’s residential property prices remain resilient despite softening transactions figures in Q3 2023, says CBRE

Riyadh:– Saudi Arabia’s residential property prices remain resilient despite softening transactions figures in the third quarter of the year.

In the year to Q3 2023, the total number of residential transactions totaled 61,473, equating to a total value of SAR 45.9 billion. In comparison to the same period in 2022, the total number of transactions demonstrated a drop of 7.0%, while the total value for these transactions decreased by 11.3%. The total number of mortgage contracts in the year to date to Q3 2023 fell by 37.5%, where the total value registered, which totaled SAR 18.40 billion, fell by 38.3%. Single-family homes accounted for 69.8% of the total value of lending, followed by apartments and land at 24.8% and 5.4% respectively.

In Riyadh, as at September 2023, the average price for apartments rose to SAR 4,780 per square metre, a growth of 16.1% compared to a year earlier. During this period, Khobar’s average apartment prices saw an uptick of 2.9% to reach SAR 3,424 per square metre, while Dammam’s average apartment prices rose by 2.4% to stand at SAR 2,862 per square metre. The only apartment market to regress in terms of prices was in Jeddah, where average apartment prices