Saudi's home financing contracts grow 53% YoY to $3bn in July 2020

The Saudi Arabian Monetary Agency (SAMA) shows a 54% YoY growth in funding to reach $3bn (SAR11.1bn) in July 2020

Saudi's home financing contracts grow 53% YoY to $3bn in July 2020 [representative image]
CW archives
Saudi's home financing contracts grow 53% YoY to $3bn in July 2020 [representative image]

The number of new home financing contracts in Saudi Arabia has grown to 24,432 contracts to reach a value of more than $3bn (SAR11.1bn) in July 2020, marking a 53% YoY growth in contracts compared to 15,961 contracts in July 2019, and a 54% YoY growth in funding compared to a value of $1.9bn (SAR7.2bn) during the same period last year.

The monthly statistical bulletin issued by the Saudi Arabian Monetary Agency (SAMA) showed that new home financing contracts continued to grow through 2020, reaching 156,250 contracts within the first seven months of the year, marking an 85% year-on-year growth.

In addition, the volume of financing also grew to $19.28bn (SAR72.34bn) between January 2020 and July 2020, achieving an 88% growth compared to the same period in 2019.

SAMA revealed that nearly 97% of the value of mortgage finance contracts submitted to individuals in July 2020 was through banks, while approximately 3% of it was through mortgage companies in the kingdom.

Meanwhile, villa financing contracts accounted for 79% of the financing at approximately $2.35bn (SAR8.83bn); apartment contracts accounted for 15% of the financing worth $426.5m (SAR1.6bn); and residential lands accounted for the remaining 6% of the financing with a value of $172.7m (SAR648m).

SAMA statistics also showed a growth in the number of real estate loans provided to individuals during the past year, according to the state-run Saudi Press Agency.

Most popular

Awards

CW Oman Awards 2020: Meet the winners
A round of the thirteen winning names at the Construction Week Oman Awards 2020 that

Conferences

Leaders UAE 2020: Building a sustainable, 'resilient' infra
AESG’s Phillipa Grant, Burohappold’s Farah Naz, and Samana's Imran Farooq on a sustainable built environment
CW In Focus | Inside the Leaders in KSA Awards 2019 in Riyadh
Meet the winners in all 10 categories and learn more about Vision 2030 in this

Latest Issue

Construction Week - Issue 767
Sep 01, 2020