NBK reports surge in Kuwait’s Q2 2017 real estate sales
Kuwait's real estate market picked up momentum in Q2-2017 with May sales alone surging to their highest level in 18 months says a recent National Bank of Kuwait (NBK) report
Kuwait's real estate market picked up momentum in Q2 2017 with May sales alone surging to their highest level in 18 months hitting $951m (KD289m), up 37% compared to the previous year, according to a report by the National Bank of Kuwait (NBK).
The residential and investment sectors provided significant support to Kuwait's real estate market, with sales increasing by 23% and 38% year-on-year (yoy), respectively in this period, stated the report.
Activity has been relatively volatile in recent months, with three of the last six months seeing increased sales, a development that could be signalling an end to the two-year slowdown. Real estate prices across most sectors continued to rise, currently up 9-10% yoy the report continued.
According to NBK, the residential sector also bounced back in April with sales jumped to $456m (KD138m) during the month on 406 transactions. Sales improved by 23% yoy, supported by a 46% rise in the number of transactions from a year ago.
A surge in home purchases was witnessed during the last two months; 233 and 203 homes were sold in April and May respectively, the highest since March 2015.
Investment sector activity was strong in June 2017. Sales came in at $290m (KD87.7m), up 38% yoy. The number of transactions improved as well, advancing by 10% from the previous year.
Investment building prices logged a slight gain in June 2017. The NBK investment building price index stood at 185.1 points, up 1.7% for the month, registering a five-month high.