(MENAFN - Arab Times) KUWAIT CITY, Jan 15: Chairman of Kuwait Real Estate Union Faisal Al-Sharhan says the instructions of the Central Bank of Kuwait to local banks to reduce the number of mortgage properties in the banking sector will raise the supply in the real estate market, reports Aljarida daily.
He indicated that the rental values will be affected by the increase in supply of apartments and office spaces in addition to the trend of demolishing dilapidated properties and establishing new ones with more floors, thereby increasing the number of residential apartments and reducing the rents.
Al-Sharhan explained that allowing expatriates to own real estate in Kuwait for the purpose of residence and not for renting out will refl ect positively on the real estate sector. It will revive the trade significantly especially since there is a large segment of expatriates who have been staying in the country for a very long time.
They deserve to be granted the right to own properties. He said, 'From time to time, the real estate market needs new decisions and laws to regulate and keep pace with the current developments. Therefore, concerned authorities are required to study the real estate market to know and identify the changes and the requirements'.
Al-Sharhan revealed that the new board of Kuwait Real Estate Union has developed a strategic plan since it took over, adding that some the key aspects of the strategic plan are facilitating the functions of brokerage offices to complete their transaction in public institutions, and regulating and developing the market in general