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Saudi Arabia’s residential property prices decline 17 per cent

Value of deals on residential villas declined by more than 60 per cent until the end of last week

The economic and financial pressures on the local Saudi real estate market doubled as the market is passing through a long period of recession during the current year.

This long period of recession led the market losing roughly 22 per cent of its liquidity (SAR232.9 billion), compared to the same period last year (SAR297.0bn).

It also caused a decline in number of various sold real estate by about 13 per cent (197,600 units), compared to the same period last year (225,900 units), reports Saudi-based Aleqtisadiah.

The residential unit’s deals’ liquidity declined to lowest level during the current year, as the value of deals on residential villas declined by more than 60 per cent until the end of last week, to settle at SAR1.5bn, compared to SAR3.7bn last year.

The decline in the number of sales exceeded 56 per cent, to settle at selling 1,084 residential villas, compared to the sale of about 2478 residential villas during 2014, followed by declines in the value of residential houses deals by more than 56 per cent.

(SAR1 = AED0.98, at the time of publishing)