IN SAUDI ARABIA, YOUNG GET PRICED OUT: A 20 per cent spike in home prices in 12 months – that’s what Riyadh’s residential property market is going through and with more increases to follow. While Saudi developers will be pleased, it does leave the market with vulnerabilities. Especially as to who can afford to buy when prices get too overheated. According to Knight Frank, the UK property consultancy, Riyadh has emerged as the go-to destinations for Saudi citizens, especially those who want to join the now booming job market. As homes turn pricier in the financial capital, there has been a near 30 per cent drop in property deals. This is something that the Saudi real estate space cannot afford, especially in the Kingdom where policies have been crafted to raise property buying among the young. They cannot be priced out by an upturn. [COMMENT BY: Manoj Nair, Business Editor]
Reuters