Mortgages Jumped 84% in April 2021 with 25,731 New Contracts, SAMA Report Says

Riyadh, The Saudi Arabian banks and financial institutions issued 25,731 new mortgages in April 2021 worth SAR14.3 billion, according to the monthly report issued by Saudi Central Bank “SAMA” which added that the loans for individuals recorded 84% growth and 43% in value.

SAMA’s report emphasized that, the first four months in 2021 jumped to 117,842 contracts with 29%, while the value 55% with SAR62.3 billion comparing to the same period in 2020.

The report revealed that 97% of newly mortgages were issued through banks, while 3% of them through financing companies. In April 2021, 80% of the fund provided by banks and financing companies is for residential villas, apartments (17%), and lands (3%).

The mortgage in 2020 was an outstanding performance. It concluded 295,590 contracts at the value of SAR140.7, over four years (2019, 2018, 2017 and 2016). In 2019 mortgage jumped three times in a historical performance with 179,217 contracts worth SAR 79,128 billion compared to 2018 that recorded 50,496 contracts worth SAR29.5 billion. In 2017 about 30,833 contracts were concluded at a value of SAR21,025 billion, compared to about 22,259 contracts worth SAR17,096 billion in 2016.

Source: Saudi Press Agency