According to the data from the General Directorate of Land Registry and Cadastre (LRC), the number of Real estate (RE) transactions which may include one or more realties, went up by a yearly 44.30% to stand at 39,274 transactions by June 2021. In its turn, the value of total RE transactions stood at $5,912.6M by June 2021, compared to $5,396.3M in the same period last year, up by 9.57%.
Monthly speaking, the number of RE transactions stood at 9,260 in the month of June 2021, compared to 8,339 transactions on June 2020. For instance, a substantial 1,826 transactions, or 19.72 % of total RE transactions, were concentrated in the region of the Baabda alone in the month of June 2021. North, Zahle and South followed, each grasping the respective shares of 15.90%, 11.04%, and 11.66% of the total RE activity in June 2021.
Moreover, the breakdown of RE activity regionally for June 2021 showed that Beirut is the one that grasped the lion’s share of the total value of RE transactions, equivalent of 24.90% and worth $344.09M, while Metn and Baabda followed, constituting 19.23% and 18.43% of the total, each worth $265.67M and $254.7M, respectively.
The real estate sector in Lebanon has been observed as a long-term investment to a high number of expats and tourists willing to buy local houses for vacation purposes as well as a hedging tool for depositors willing to limit a haircut on their bank deposits, while property developers were willing to sell at a fast track to settle their debts. However, by end of 2020, most developers had repaid their loans, and prices had gone back to the same level as before if calculated on the fresh dollars instead of the dollar banker check.
For the month of June 2021, we observe an uptrend in real estate transaction, projecting good news for property developers who are currently holding many unsold properties in their stock. Some apartments which have remained unsold for several years have once again become attractive to customers.
RE transactions by June 2021
Source: Cadastre, BlomInvest