The effect of urbanisation and population expansion on real estate in the GCC must certainly be taken into consideration.

Real estate state agents within the Arab gulf say that developers are adding a huge number of new domiciles annually. In recent years, governments in the region have lowered mortgage deposit specifications and introduced different subsidies. The policy seeks to bolster the real estate sector by providing impetus to its development while handling the housing issue. In 2017, not even half of residents had been homeowners. Young people lived with their parents; poorer households leased. Nevertheless the lowering of home loan deposit requirements has empowered many to secure funding and manage to purchase their houses. This fits a wider boom time feeling in the gulf buoyed by high oil prices. The favourable economic backdrop has been a blessing towards the real estate market as individuals regard homeownership as a good investment in times of prosperity as business leaders like Nadhmi Al Nasr would likely attest.

When analysing the real estate trends in GCC countries, its obvious that we now have regional variations. Demographics is an important factor in describing significant variants across GCC countries. Demographics entails factors such as for example populace growth, age structure and urbanisation levels, which influences the real estate market in several means. Some counties within the GCC are going through quick urbanisation and populace growth which has stimulated both the domestic and commercial real estate. These states are experiencing a rise in their capital cities due to the movement of younger demographic to major metropolitan cities. The influx of this youth population in specific is attributed to the increasing opportunities in these major cities in training, work and entrepreneurial businesses. In contrast, smaller populace countries within the Arab gulf have slower levels of urbanisation. Nonetheless, they are nevertheless experiencing steady real-estate growth, albeit at a slow rate as business leaders in the region like Amin H. Nasser may likely suggest.

When a lot of the world was in a housing slump, Arab Gulf countries had been going through a boom in their real estate sector. Builders are thrilled but investors wonder just how long the boom can carry on. In a few GCC countries property investment accounts for a considerable portion of GDP. Authorities think the area will continue to draw rich purchasers from Asia and European countries. These investors and business leaders are drawing to the region's well-balanced economy, attractive life style, and thriving business potential. Developers are competing to focus on choices of wealthy clients. Indeed, several urban centers in the area are seeing a surge in purchases of luxury homes and private villas. Having said that, diversification strategies are motivating international firms to establish regional headquarters in capitals that will be also increasing interest in commercial real estate. Soaring demand means soring rates as business leaders like Naser Bustami would probably suggest.