Investors: Residential Apartment Demand Drops by 30%
Amman3 min read
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The housing sector is facing increasing pressure, amid rising financing costs and construction material prices, along with the ongoing repercussions of regional circumstances, which has affected market demand, according to investors in the sector.
Investors in interviews with (Alrai) said that demand for residential apartments has recorded a noticeable decline during the current period, exceeding 30% compared to the same period last year, noting that the rise in mortgage interest rates and construction costs has limited the citizens' ability to own property and affected market activity.
Real estate trading volume in Jordan during the first five months of the current year amounted to about 2.458 billion Jordanian Dinars, a decrease of 5% compared to the same period in 2025, according to the Lands and Survey Department report for May.
Ownership indicators for non-Jordanians showed positive results last month, despite the decline in trading volume since the beginning of the year, as the estimated value of ownership transactions for non-Jordanians increased by 26% compared to the same month of 2025, and by the same percentage compared to the previous month, reaching 19.65 million Jordanian Dinars.
The number of ownership transactions for non-Jordanians during the first five months of 2026 decreased by 11% compared to the same period in 2025, with apartment sales decreasing by 2% and land sales by 23%.
The number of ownership transactions for non-Jordanians during May also decreased by 16% compared to the same month of 2025, despite an increase compared to the previous month, while land sales for non-Jordanians decreased by 40% compared to the same month of 2025, and by 12% compared to the previous month.
Conversely, apartment sales for non-Jordanians during May increased by 6% compared to the same period in 2025, and by 16% compared to the previous month, while the number of ownership transactions for non-Jordanians during May increased by 5% compared to the previous month.
Housing sector engineer Mounir Al-Kilani confirmed that the rise in housing loan interest rates, regional circumstances, and rising construction material prices have negatively impacted the sector.
Al-Kilani pointed out that the demand for residential apartments has declined significantly, with the decline rate reaching 30% during the current period compared to the same period last year.
Housing sector investor Abdul-Naimat confirmed that the regional circumstances and rising construction material prices have negatively impacted the sector.
He pointed out that the demand for apartments has decreased significantly during the current period compared to the same period last year.
