Brokerage Law Prompts Competitiveness in Saudi Real Estate Sector

 Real Estate Brokerage Law benefits the establishments, real estate brokerage, brokers, real estate auction owners, and property and facilities managers. (Asharq Al-Awsat)
Real Estate Brokerage Law benefits the establishments, real estate brokerage, brokers, real estate auction owners, and property and facilities managers. (Asharq Al-Awsat)
TT

Brokerage Law Prompts Competitiveness in Saudi Real Estate Sector

 Real Estate Brokerage Law benefits the establishments, real estate brokerage, brokers, real estate auction owners, and property and facilities managers. (Asharq Al-Awsat)
Real Estate Brokerage Law benefits the establishments, real estate brokerage, brokers, real estate auction owners, and property and facilities managers. (Asharq Al-Awsat)

CEO of Saudi Arabia's Real Estate General Authority (REGA) Abdallah al-Hammad said the adoption of the brokerage law will help create an attractive competitive environment in the sector according to governance that raises the quality of services, overcomes obstacles and preserves the rights of brokers.

He stressed that the sector will help achieve sustainable development, ensure good quality in its dealings and services, and support real estate establishments.

In late June, the Saudi cabinet approved the Real Estate Brokerage Law to regulate the services and reduce disputes.

The law helps govern transactions and ensures the brokerage contracts are reliable.

It covers all real estate activities and services and is exercised exclusively by licensed and qualified parties.

The regulation benefits the establishments, real estate brokerage, brokers, real estate auction owners, and property and facilities managers.

Hammad stressed that the law is a part of the legislation developed to maintain real estate rights.

It promotes the quality of services and reduces disputes, he remarked, adding that under the law, mediation is required by licensees.

The new law helps achieve Vision 2030, which aims to increase the Kingdom's global real estate indicators classification.

Hammad made the remarks during an event organized by the Real Estate Commission of the Riyadh Chamber of Commerce and Industry on Thursday.

The event was attended by businessmen and women who discussed the newly approved law.

Hammad underlined the role played by the Kingdom’s chambers to achieve the law’s objectives, namely supporting real estate establishments in various regions, raising the efficiency of human capital and the awareness of the target audience in the real estate sector, and striving to enable the sector to provide quality real estate services in line with the Kingdom’s Vision 2030.

All these goals aim to achieve the growth, sustainability and development of the real estate sector.



Gold Eyes First Weekly Gain in Four on Cooling US Inflation

Gold bars from the vault of a bank are seen in this illustration picture taken in Zurich November 20, 2014. REUTERS/Arnd Wiegmann/File Photo
Gold bars from the vault of a bank are seen in this illustration picture taken in Zurich November 20, 2014. REUTERS/Arnd Wiegmann/File Photo
TT

Gold Eyes First Weekly Gain in Four on Cooling US Inflation

Gold bars from the vault of a bank are seen in this illustration picture taken in Zurich November 20, 2014. REUTERS/Arnd Wiegmann/File Photo
Gold bars from the vault of a bank are seen in this illustration picture taken in Zurich November 20, 2014. REUTERS/Arnd Wiegmann/File Photo

Gold prices rose on Friday and were on course for their first weekly gain in four, as US economic data indicated a softening of price pressures, fuelling optimism that a rate cut by the Federal Reserve might be forthcoming.
Spot gold was up 0.4% at $2,311.39 per ounce, as of 0654 GMT. Bullion has gained 0.5% so far for the week.
US gold futures rose 0.4% to $2,326.40, reported Reuters.
"Market will try to take cues from what type of comments are coming from Fed officials. But overall, we see that market is set for two interest rate cuts this year, because inflation numbers are softening and moving in a desirable direction for the Fed," said ANZ commodity strategist Soni Kumari.
"There could be sentiment-driven pullback in gold prices in the short-term. But that will be a buying opportunity for most of the investors who missed the rally initially."
Data on Thursday showed that US producer prices unexpectedly fell in May, another indication that inflation was subsiding, keeping hopes of a Fed rate cut in September alive.
The data followed a cooler-than-expected CPI report released just ahead of the Fed meeting on Wednesday, where the central bank pushed out the start of rate cuts to perhaps as late as December.
Traders are seeing a 67% probability of a rate cut in September, according to the CME FedWatch Tool, compared to 63% before the producer prices data.
Lower interest rates would reduce the opportunity cost of holding non-yielding bullion.
"The best recipe for gold would be continued weakness in inflation, then that recessionary appeal of gold will start to come through as a bit of an extension of expectations of potential rate cuts this year," said Kyle Rodda, a financial market analyst at Capital.com.
Spot silver rose 0.1% to $29.02 per ounce, platinum was up 1.2% at $957.75 and palladium gained 0.6% to $888.52. All three metals were headed for weekly losses.