Despite the decline, Iraqis top the list of real estate buyers in Jordan

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Despite the decline, Iraqis top the list of real estate buyers in Jordan

According to official financial data from Jordan, there has been a notable decrease in real estate purchases by foreigners and Arabs in the past year, amounting to 28 percent. There has been a decline of 29 percent in apartment sales to them and a 26 percent decrease in land sales compared to last year.

According to data from the Department of Land and Survey, non-Jordanians (including Arabs and foreigners) have seen a decrease in the estimated value of sales by 33% in the past year, compared to 2022, which amounts to 202.2 million dinars ($285.2 million). The total trading volume in the Jordanian real estate market was 6.961 billion dinars ($9.82 billion) in the past year. Most of the sales were for residential apartments, lands for all uses, commercial complexes, and other properties.

Iraqi nationals ranked first in real estate sales last year, with 597 properties sold for 75.3 million dinars. This was followed by Syrian nationals, who sold a total of 463 properties for a value of 23 million dinars. Saudi nationals came in third, selling a total of 367 properties for a value of 19 million dinars (1 dinar equals 1.41 dollars). Kamal Al-Awamleh, a real estate expert, provided this information.

According to a former head of the Housing Sector Investors Association, the decrease in non-Jordanians buying real estate in Jordan over the past year can be attributed to several reasons, with the most significant being the Israeli aggression on the Gaza Strip. This event caused a negative impact on various sectors, including the real estate market. The demand for residential apartments and lands in Jordan has also decreased during this period, and the situation may continue as is due to the rising fears of developments in the region while the pace of aggression against Gaza remains the same. All sectors have been affected by this situation.

He stated that the real estate industry is a vital contributor to the national economy and provides a boost to many sectors. Therefore, any decline in this industry will have an adverse effect on the treasury’s revenues, requiring the continuation of a stimulus package to increase the local real estate trade. It is also important to attract Arab and foreign buyers within the necessary legal parameters and criteria.

Based on the available data, the revenue generated by the Jordanian real estate market witnessed a decline of 5 percent in the past year as compared to 2022. It reached 257.7 million dinars. Furthermore, the revenue generated in December 2023 was 18 percent lower than that of December 2022. It also decreased by 2 percent as compared to the previous month, reaching 18.3 million dinars. Additionally, the real estate sales activity in Jordan decreased by 5 percent last year.