In a workshop held remotely in the Asharqia Chamber
Al-Barr: 3 billion riyals of revenues from the real estate valuation market by 2030
A specialist in the real estate market called for the introduction of real estate appraisal as a primary or secondary subject in university curricula, similar to international experiences, especially since all data indicate the emergence of a state of specialization in the evaluation activity, as the residential real estate evaluator and the industrial one will appear, and so on, especially since the revenues resulting from The evaluation process is large, and job opportunities are both direct and indirect.
This came in a workshop organized by the Asharqia Chamber (remotely) yesterday, Wednesday 3/17/2021, as the resident and trainer accredited by the Saudi Authority for Accredited Residents and the General Organization for Vocational and Technical Training Muhammad bin Ali Al-Bar said that the proceeds of real estate appraisal will touch the three billion riyals by The year 2030 compared to 500 million riyals in 2019 and 800 million last year, which is expected to exceed the limits of two billion riyals in 2025.
During the workshop moderated by a member of the Real Estate and Housing Development Committee, Imad bin Ali Al-Dilijan, Al-Barr presented a detail of the expected returns from providing the service according to the beneficiaries, as it is expected that the proceeds of the evaluation directed to financing agencies such as banks and financial companies will reach (270 million riyals), and for real estate companies whose number exceeds 5,000 companies. (800 million riyals), for government agencies (18 million riyals), for bodies such as the Real Estate Authority and the Endowment Authority (1.5 billion riyals), for Gulf and foreign companies (17 million riyals), for individuals (300 million riyals), and the courts (40 million riyals). In this regard, he noted that the evaluator's decision is binding because it is based on a set of criteria, and some agencies that benefit from the evaluation may resort to more than one evaluator and more than one body providing evaluation service, where the price of the service ranges between 600 and 700 riyals for each report.
Al-Barr added that the real estate appraisal market will provide 30,000 support jobs and 14,000 direct jobs by the year 2030 against 3,000 direct jobs and 8,000 support jobs in 2019, and this number has increased to 4,000 direct jobs and 1,000 support jobs last year, with the hope that the number will reach To 9,000 direct jobs and 20,000 support jobs in 2025 ... indicating that this growth in the need for jobs (direct or support) according to the mega projects that the country is witnessing, which need this service and its support services. All phases of projects at any party dealing with real estate, and these developments culminated in the launch of the Real Estate Resident Authority, which is concerned with providing many programs and granting licenses to practice the profession based on certain standards drawn following local and international experiences.
Al-Barr concluded by saying that the evaluation sector has witnessed successive developments since 2011, and the Kingdom stood on global experiences with long experience. Real estate was and still is one of the important economic components and an important tributary in distributing the investment pool, as the names and bodies related to real estate differ from the beginning in the Kingdom. The Ministry of Finance, through the Ministry of Municipal and Rural Affairs, the Ministry of Justice, and other ministries and competent authorities, where the powers and tasks were distributed according to the general strategy of the state and the organizational structure, and many achievements have been made, but the real estate sector remains without reference to you. It has a more positive impact on the development of the sector, until in 2017 the Real Estate Authority was established under the umbrella of the Ministry of Housing in the Kingdom, as it is considered to usher in a new era full of changes in the real estate structure in the Kingdom in terms of regulatory, legislative and supervisory aspects and defining the general framework of The Saudi economy, being a promising sector full of activity, is saving a large number of jobs, and the financial returns from it are good, as well as that his service brings a higher level of equity.
