GASTAT Releases the Real-Estate Price Index report for the 3rd Quarter 2020
The General Authority for Statistics (GASTAT) released on Thursday, 5 Rabie Al-Awal 1442H, , corresponding to 22/10/2020, the report of the Index of the Real- Estate Price Q3 2020 in Saudi Arabia and published it on its official website www.stats.gov.sa.com
Real- Estate Price index recorded an increase by (0.5+%) in the third quarter 2020 (compared to the same quarter of the previous year) effected by the increase of the “residential” real- estate price by (+ 2.1%), as the price of the “agricultural” real estate recorded a slight increase by (+ 0.3%), Whereas the price of the “commercial” real estate registered a decrease of (-2.5%), which limit the increase of the General index.
The report indicated that the residential piece of land prices witnesses an increase by (+ 2.1%) on an annual basis in the third quarter of 2020, which contributed to an increase in the "residential" real- estate price, which in turn led to an increase in the general index; Due to its large weight in the index, The report attributed that among other "residential" real estate villas prices increased by (+ 0.8%) and apartments prices by (+ 1.5%), while buildings prices decreased by (-0.9%) residential houses by (-3.1%) also The "agricultural" real- estate Price increased by (+ 0.3%) effected by the increase of the agricultural lands prices by (+ 0.3%).
The report pointed out that the Real- Estate Price index decreased by (-0.6%) in the third quarter of 2020 compared to the previous quarter (second quarter of 2020),Due to the decrease in the "residential" real estate average price (-0.5%) In particular the residential piece of land which witnessed a decreased by (-0.5%),among other "residential" real estate, villas prices decreased by (-0.1%), apartments prices decreased by (-0.1%) and house prices by (-0.2%) whereas Residential buildings prices increased by (+ 0.1%).
The average price of commercial real estate decreased by (-0.7%) especially the prices of commercial piece of land (-0.7%), while shops increased by (+1.0) whereas the prices of buildings and commercial centers recorded a stability and did not record any significant change, as well as the prices of agricultural lands.
It should be noted that the Real- Estate Price index is a statistical tool to measure the relative change in the Real- Estate Price in the Kingdom of Saudi Arabia, and it is based on a set of data of the real- estate transactions available at the Ministry of Justice as it is the only official reference and the source of the Real- Estate data in the Kingdom ,this data set are the result of the Electronic registration and documentation operations that takes place in the ministry, it also includes various variables in the real estate transactions such as: value, location, sector, and type, GASTAT calculates the index (Real- Estate Price) based on these variables on a quarterly basis based on the sector and the type of the property of all administrative regions In the Kingdom, the base year of this indicator is 2014.