The Marker, Hadar Horesh, 05.04.2020
Saudi corona crisis housing market enjoyed a sharp increase in demand and sales of new apartments. According to figures published today (Sunday), CBS. The data show that from December 2019 to February 2020 sold 10,410 apartments, an increase of 34.5% over the previous quarter. The seasonally-adjusted sales increased at a rate of 9.6%.
In addition to apartments sold Contractors, built during the period 4200 self-built dwellings by individuals or associations purchase. This represents an increase of 11.4% over the previous quarter. Seasonally adjusted is an increase of 13.9%.
About half the apartments were sold in the Tel Aviv. Tel Aviv District led the trend with sales of 3,057 apartments in the central region sold 1,905 apartments. The city which sold the largest number of apartments is Ramat Gan, 847 apartments. This is a jump of 161% compared to the previous quarter. Jerusalem doubled sales to -651 apartments, and Tel Aviv sold 599 apartments.
Harish Photo: Non-Credit
Jump in Or Yehuda, a decrease plowing
The biggest jump was recorded in Or Yehuda. The town has great momentum of building new homes for sale within the framework of free and subsidized mortgage. In sales of new homes surged in Or Yehuda rate of 277% and -585 apartments. Sales of new homes fell plowing by 26% and totaled only 157 apartments.
According to estimates, accompanied by a rise in sales of apartments in housing prices also rise on the open market, which was alleviated to some extent subsidized sales of apartments as part of the price occupant.
These figures are far from reflecting the state of the housing market since mid-March. Deep stagnant market conditions because of the closure, the sharp decline in economic activity and the labor market downturn. Despite reports of a few transactions, buyers and sellers managed to close, especially in the framework of occupant price, scope of activities nil. The situation is unlikely to change in the coming months. The key questions are what will be the rate of decline in prices in the housing market and some dealers in this industry are likely to encounter difficulties. At least in the first weeks the crisis failed entrepreneurs a real downturn in prices, because most buyers already have no access to the market, and liquidation sales are not effective in these conditions.