Real-estate sector starts to see positive signs following gov’t incentives

AMMAN — The recently launched economic incentives plan has increased the number of real-estate transactions by an average of 9 per cent, whereby the sale of lands and apartments grew by 10 per cent and 7 per cent respectively in October, compared with the same period of last year. 

The notable improvement is the result of the incentives bundle issued in the fourth quarter of October, the decision to expand registration fee exemption and reduction measures, the Jordan News Agency, Petra, reported. 

On October 30, the Cabinet decided to expand registration fee exemption and reduction measures pertaining to the sale of apartments and lands as part of real rejuvenation procedures and to facilitate ownership of suitable housing. 

The new decisions included exempting the first 150m of residential apartments and lands from registration and property transfer fees until the end of the year, regardless of the seller, apartment size and number of apartments, in addition to subjecting the aforementioned costs to 50 per cent fee and tax reductions, in comparison with the legally stipulated rate. 

The decisions also slashed land sale fees by 50 per cent, including amongst relatives and business partners, and will be valid until December 31 of this year. 

Acting Director of the Department of Land and Survey Mohammad Sawafeen said that since the issuance of the decision, transactions across land and survey departments have doubled, including the fee-exempted sale of lands and apartments and transfer of properties. 

More than 19,000 land plots and apartments have entered into real estate circulation since the Cabinet’s decision on May 9, benefitting from transfer fee exemptions, according to Petra.

The new decisions and procedures are a response to the demands of citizens who hope to benefit from the incentives launched by the government under the category of “stimulating the economy and investments”, and aim to help Jordanians, mainly limited-income populations, own apartments.