Kuwait real estate to recover by the beginning of 2022

Kuwait’s real estate market witnessed a “noticeable rebound” during the third quarter of this year, particularly in the investment and residential sectors as well as a rise in demand for sea chalets, recovering from the ramifications of the coronavirus pandemic, experts said.

However, commercial and industrial sectors as well as farmlands are still suffering from temporarily stagnation mainly due to high prices of lease contracts and electricity as well as lack of some services, they said.

The experts expected the real estate market to recover by the beginning of next year. This might be driven by economic incentives to be discussed by the National Assembly during its current session, which will positively impact economic sectors, including real estate, according to KUNA reports.

Ahmad Al-Duwaihees, Secretary General of the Real Estate Union, said the residential sector witnessed a rise in supply, but sales were minimal.

He expected prices to recover in 2022 following the introduction of economic incentives which would support the investment sector that was devastated by the pandemic, as operation costs were higher than occupancy. He added prices in the commercial sector were “inflated and overrated in most areas”.