Significant growth of mortgage lending over the last three yearsTruth Consultancy
Reda Mosallam, the economic expert, pointed out that the increase in the annual growth rate of real estate loans over the last three years on a monthly basis confirms the activity and vitality of the real estate sector. He pointed out that this vitality is due to the increase of the economic growth of the country in general and in an average of about 3% during the past three years.
He pointed out that it is wrong to consider real estate financing as directed to buy or rent housing units only, but the financing of this sector also include financing the construction of offices and units allocated to factories, farms and shopping centers, all these services enter within the real estate sector clearly and attract an unfavorable part of its finances.
Another reason for the increase in mortgages is the marked increase in lending to citizens to build their new homes. He pointed out that restricting personal loans by only four years has prompted many citizens to apply for real estate loans to build their villas, especially in Abu Dhabi.
He pointed out that the increase in real estate finance is good both on an annual basis and in three years, depending on the region’s conditions, as well as the requirements of the continuous and growing demand for its services.