Local housing market in urgent need of stimulus packages, says sector representative

AMMAN — The local housing market has witnessed a drop during the first eight months of 2023 in comparison with the same period of last year, revealed housing experts and developers.

Despite the decrease in sales of real estate properties, the Jordanian housing market attracts a significant number of Arab investors. 

It is estimated to have a trade volume of around JD5.5 billion by the end of the year, according to Jordan Housing Developers Association former president Kamal Awamleh.

He pointed out that “there is an urgent need to adopt stimulus packages that support sector operators”.

Awamleh further noted that the Land and Survey Department’s republishing of the monthly survey relating to the housing sector is a positive step forward and added that a weekly report would also be helpful.

Commenting on the current situation, Housing specialist Azzam Bani Mustafa said: “The instability of legislation related to the housing sector discourages new investments, such a situation leads to having continuous adjustments, changes and eventually confusion.”

According to a recent report on local real estate trading published by the Department of Land and Survey, the estimated value of sales to non-Jordanians decreased by 25 per cent during the first eight months of 2023 when compared with the same period of 2022.

“The low demand and high inflation rates have led to decreased sales and results that are below market expectations,” Mahmoud Salah, a housing expert, told The Jordan Times.

Salah said that there is a trading pullback in the past period and the main reason is the erosion of incomes.