Demand for smaller apartments rises by 20% as Kingdom’s housing market shifts priorities - stakeholders

AMMAN — As 2024 draws to a close, Jordan’s housing market continues to navigate a landscape shaped by economic pressures, changing buyer priorities, and rising costs, according to stakeholders.

From Amman to Zarqa, real estate specialists and buyers are sharing mixed views on what has been a turbulent year for the sector.

In response to growing affordability concerns, many developers have shifted focus toward smaller, more budget-friendly units. 

"Buyers are prioritising affordability and functionality over luxury," said Mahmoud Salah, a land developer and housing investor.

He noted that there has been a 20 per cent increase in demand for smaller units and apartments, particularly in Amman.

The rising cost of property has prompted many prospective buyers to reassess their options, Salah said adding that while some are still determined to purchase homes, others are postponing their decisions due to financial constraints.

Qais Irshaid, a land developer,  told The Jordan Times, "Real estate remains a strong asset, but fewer buyers in the market translates to weaker resale potential." 

Irshaid stressed that continued affordability challenges could have an impact on property values moving forward.

Suad Hasan, a property agent, said that investors in Jordan are closely monitoring buyer hesitation, offering differing views on how it will shape the housing market. 

"Some see the end-of-year period as an opportunity to capitalise on deals, while others are concerned about the long-term health of the market," she said.

Hasan added that “some view end-of-year as a moment to seize opportunities, while others express concern over long-term market health.”