Saudi Arabia’s real estate loans grew to a record SR883.3 billion ($235.54 billion) by 2024, fueled by retail and corporate demand. Corporate loans increased by 26.23 percent, while individual loans rose by 12.19 percent. Real estate financing occupies approximately 30 percent of total bank loans, reflecting confidence in the market and ongoing economic diversification efforts under Vision 2030.
Saudi Arabia’s real estate sector witnessed a historic surge in loans, reaching SR883.3 billion ($235.54 billion) by the close of 2024, reflecting a 15.12 percent year-on-year increase. Demand from retail and corporate borrowers shaped this growth, with corporate loans growing by 26.23 percent to SR202.04 billion, while individual loans climbed by 12.19 percent to SR681.24 billion, comprising 77.13 percent of the total.
Saudi Arabia’s real estate landscape is evolving rapidly, driven by increasing demand and significant investments. The rising prices in urban areas highlight a need for innovative financing solutions. The shift in focus towards mixed-use developments and the collaboration with the Ministry of Housing signals a forward-thinking approach to real estate, bolstered by institutional capital and strategic partnerships that facilitate efficiency and project execution.
Original Source: www.arabnews.com
