Latest news with #AlHogail
Gulf News
02-05-2025
- Business
- Gulf News
Saudi Arabia hikes White Land Tax to 10% in major real estate reform
Dubai: Saudi Arabia has approved a major overhaul of its real estate taxation policy, raising the White Land Tax from 2.5 percent to 10 percent annually on undeveloped land and introducing, for the first time, a separate levy on vacant properties that remain unused without justification. The changes, approved during a Cabinet meeting, aim to stimulate land development and increase the availability of housing as the Kingdom grapples with a surge in real estate prices, particularly in urban centres like Riyadh. The new legislation also broadens the tax base. While the original White Land Tax was restricted to residential and commercial plots, the updated framework applies to any undeveloped land deemed suitable for construction. Additionally, tax application stages have been unified, and holdings totalling 5,000 square metres or more, whether individual or combined, within designated urban zones will now be subject to the annual levy. In a press conference, Minister of Municipal and Rural Affairs and Housing Majed Al Hogail said the reforms are part of ongoing efforts to raise Saudi homeownership to 66 percent by the end of 2024. He also announced new housing initiatives in partnership with private developers, with prices ranging from 250,000 to 1.2 million Saudi riyals. The government will issue detailed regulations for the revised White Land Tax within 90 days. Guidelines for the newly introduced vacant property tax are expected to be released within a year. Al Hogail highlighted the sharp increase in property prices in Riyadh and said Crown Prince Mohammed bin Salman had issued 'clear and firm directives' to bring real estate values in line with economic growth, including industrial, agricultural, commercial, and housing development targets.
Zawya
29-01-2025
- Business
- Zawya
Saudi: Al Hogail outlines plans for 20k housing units at RFF2025
Majid Al Hogail, Saudi Minister of Municipalities and Housing, unveiled plans to deliver 20,000 housing units in 2025 at prices less than SAR 450,000. Al Hogail also stated that the government will team up with the private sector to secure more than 140,000 housing units with an average price of less than SAR 850,000 in all major cities. His remarks came during the Real Estate Future Forum (RFF), which is taking place at the Four Seasons Hotel in Riyadh under the theme 'Future for Humanity: Shaping Dreams into Reality'. The minister indicated that the rate of home ownership exceeded 64% by the end of 2024, supporting the goals of Saudi Vision 2030. He outlined the pivotal role of real estate and municipal activities in driving economic growth through technology and shaping a sustainable future for the Kingdom. 'Real estate activities contributed 6.49% to the GDP in the third quarter (Q3) of 2024, reflecting a 14% increase compared to 2023,' the minister noted. He added: 'Meanwhile, construction and building activities contributed 5.64%, showing a 7% increase. Experts estimate that municipal activities will contribute 14% by the end of 2024.' All Rights Reserved - Mubasher Info © 2005 - 2022 Provided by SyndiGate Media Inc. (
