There is new hope for many in Saudi Arabia who dream of owning their own homes as it has been reported that there is a new law is in the pipeline that could see the supply of Mortgages increasing by as much as 50% in the coming months.
This new law under consideration could see those in the low and middle income sectors being able to access mortgages for the first time. At present existing mortgage policies do not cater for this group of the population and for many owning their own home is still not possible. Therefore it is now proposed to change this law and allow financial institutions more scope to introduce mortgage packages that were unavailable until now.
Mortgage lending at present is very low in Saudi Arabia and only approximately 35% of Saudi nationals are homeowners. It is hoped that this will not be the case in five years time and many analysts are already predicting that the new law will lead to a housing boom for the region. At present just under 50% of businessmen in the area agree that property is currently the most profitable investment market in the country.
On June the 7th next there will be a three day conference held by Cityscape Jeddah which is the countries most successful real estate and property development company. There will be a large amount of information available on every aspect of the property sector within Saudi Arabia. The potential for the new mortgage law will be analyzed in depth along with many other facets of the industry.Paul Holdsworth, Staff Writer, Gulf Jobs Market News