Riyadh, Residential new mortgage loans for individuals reached 208,505 contracts, valued more than 96.7 billion, provided by all real estate financing institutions and banks, until the third quarter 2020.
According to the monthly report issued by the Saudi Arabian Monetary Authority “SAMA”, they registered a growth of 90% in the number of loans and about 84% in loans compared to the same quarters of 2019.
The report announced that mortgage loans in September 2020 recorded the highest historical number with 27,889 contracts by increase 66%. Housing loans last month worth SR 13.3 billion with 87% grow comparing to September 2019, that recorded 16,812 contracts with a value of 7.1 billion. September mortgage loans also increased by 26% and 32% in value from the previous month, August 2020.
“SAMA” report indicates that 97% of newly signed mortgage loans were concluded through banks, while 3% of them through financing companies. The 26,779 housing product loans subsidized by government programs concluded in September 2020, constituted 96% of the total number of contracts with a value of 12.6 billion, or about 94% of the value of the funds.
In September, residential villas acquired the largest portion of funding with 10.7 billion, or about 80% of the total funding provided by banks and financing companies. Residential apartments came in second with 1.9 billion (15%). Residential lands come in third with 6.5 million (5%).
Real estate mortgage in 2019 jumped 3 times in a historical performance with 179,217 contracts with value of SR 79,128 billion comparing to that offered in 2018 of 50,496 contracts with a value of 29.5 billion, in 2017 about 30,833 contracts with value of 21,025 billion, while 2016 was about 22,259 contracts worth 17,096 billion.
Source: Saudi Press Agency