According to Sakan’s first-ever residential market report, the Gulf Cooperation Council (GCC) real estate sector witnessed massive growth throughout 2024, with total transactions exceeding $383 billion.
Key Highlights:
Total Transactions: Over $383 billion in real estate deals across the GCC.
Dubai’s Dominance: Approximately $207 billion (54% of the total) in transactions occurred in Dubai.
Saudi Arabia’s Contribution: $75.7 billion (14% of the total) in transactions were recorded in Saudi Arabia.
Annual Growth Rates:
Saudi Arabia: 47% increase in yearly transactions.
Sharjah: 47% growth in annual transactions.
Kuwait: 33% rise in yearly transactions.
Oman: 30% uptick in annual transactions.
Overall GCC Growth: Estimated 25% increase in transactions across the region.
Apartment Yield Insights:
Bahrain and Kuwait: Leading with average yields of 7.9%.
Saudi Arabia: Close behind at 7.8%.
Qatar: Yields averaging 6.4%.
Oman: Average yields at 6.1%.
UAE: Yields around 5.8%.
Such figures reflect a gentle and steady increase in the apartment residential market throughout the region.
CEO’s Perspective:
Abdullah Al Saleh, CEO of Sakan, commented on the findings:
“We are delighted to unveil the launch of our first residential property report for the Gulf region, highlighting key trends and events affecting the GCC’s real estate sector. With more than $383 billion in transactions, the GCC real estate market is on an unprecedented growth trajectory. PropTech is no longer an option; it is a necessity. At Sakan, we are committed to bridging the gap between buyers, investors, and real estate opportunities, ensuring transparency and accessibility for all.”
Conclusion
The year 2024 saw a great uptick in the real estate market of the GCC, with great interest zones in Dubai and Saudi Arabia. Such attractive growth rates among member countries along with fruitful yields on apartments serve to emphasize the attractiveness of the region to investors. The introduction of property technology (PropTech) is likely to increase transparency and accessibility in markets and maintain the growth trajectory of the sector further.
