The number of real estate deals in Kuwait worth $1.3bln has been distributed between 70 agencies and 1,271 contracts. Despite the Covid-19 pandemic that negatively affected the economy, the price of real estate in residential areas in Kuwait is still high and even surged compared to last year.
The real estate sector of Kuwait witnessed a dramatic increase in sales in June as it recorded a total of 1,271 deals worth almost $1.3 billion or KD392 million. The Al Ahmadi Governorate real estate agency garnered the maximum share of the total deals. The value of trading of private housing activity rose to 7.7 percent.
The total trading for June this year compared to last year increased to around 407 percent, with a jump from about KD77.2 million to KD391.9 million.
The rise in the real estate deals included the liquidity of investment housing activity by 309.9%. The liquidity of private housing activity increased by 447.4%, and the liquidity of commercial activity by 176.6%.
The real estate’s key player Al Ahmadi Governorate got a lion’s share, representing about 67.7% of the total number of real estate transactions. This Governorate got 861 deals of the total number of transactions. Another Governorate that made 143 deals, representing about 11.3 % is Hawalli Governorate. The lowest number of real estate deals were by Jahra Governorate that managed 27 transactions represented by 2.1%.
The value of real estate transactions for June 2021 is 46.1% higher compared to the average. The real estate sector, in general, continues to generate attractive profits in light of its value as one of the main necessities for residents and citizens.
Kuwait’s real estate market had witnessed a remarkable activity in June when the number of deals increased to 1,166 transactions compared to 1,059 deals in the previous month. There could be many factors for the rise in this activity such as; a huge increase in numbers of expatriates, a young demographic profile, increasing disposable incomes, and growing private sector participation have supported this growth. Consequently, the real estate prices in Kuwait are expected to continue to grow even in the coming months.
