https://arab.news/r28p9
RIYADH: Saudi Arabia’s residential property sales rose 17 percent month over month and 18 percent year over year in June, while the rental market also expanded, reflecting sustained demand, official data showed.
Residential sale transactions increased to 19,844 during the month, while non-residential sales climbed 10 percent from May and 21 percent from a year earlier to 2,130, according to the Real Estate General Authority’s monthly real estate market report.
The figures underscore continued momentum in Saudi Arabia’s property market as government initiatives aimed at raising homeownership, attracting private investment and improving market transparency support residential development. The Kingdom is targeting a 70 percent homeownership rate by 2030.
“At the level of real estate transaction values, the value of residential transactions reached about SR15.02 billion, with monthly growth of 6 percent and stability on an annual basis, while the value of non-residential transactions rose to about SR8.65 billion, with monthly growth of 2 percent and annual growth of 24 percent,” the report stated.
Despite stronger transaction volumes, average deal values declined across both residential and commercial property segments.
Apartment sales totaled 4,499, up 16 percent from May but down 1 percent from a year earlier. Villa sales reached 1,793, rising 13 percent month over month and 37 percent year over year.
Residential land transaction value stood at about SR7.29 billion ($1.94 billion), down 2 percent month over month but up 4 percent year over year.
The rental market also expanded in June. Residential lease contracts rose to 261,363, up 10 percent from May and 42 percent year over year.
Average deal values decline
Average transaction values declined despite the rise in deal activity. The average residential sale transaction fell to SR706,282, down 1 percent month over month and 7 percent year over year.
The average non-residential transaction value declined to SR1.89 million, down 11 percent from May and 19 percent from a year earlier.
Within residential sales, land accounted for the largest number of transactions, rising to 11,175 deals, up 15 percent month over month and 16 percent year over year.
Non-residential lease contracts rose to 68,995, up 13 percent month over month and 75 percent year over year. The number of residential rental transactions climbed to 291,401, while non-residential rental transactions reached 97,959.
Rental transaction values showed mixed annual trends. Residential rental transaction value reached SR2.86 billion, up 4 percent from May but down 22 percent year over year.
Non-residential rental transaction value rose to SR5.97 billion, up 28 percent month over month and 150 percent year over year.
Riyadh dominates activity
The Riyadh region recorded the Kingdom’s highest sales activity, accounting for 5,437 transactions, or 24.74 percent of the total, with transaction values reaching SR8.04 billion, representing 33.97 percent of nationwide sales.
The region also led the rental market, recording 127,804 rental transactions valued at SR3.79 billion.
The report said sales data is compiled from official records maintained by the Ministry of Justice and the Real Estate Registry, while rental data is sourced from the Kingdom’s Ejar platform.