Ministry of Housing to regulate real estate prices in Oman

Business Sunday 09/October/2016 20:30 PM
By: Times News Service
Ministry of Housing to regulate real estate prices in Oman

Muscat: Oman’s Ministry of Housing will regulate the real estate prices in the country.
A senior official working with the ministry confirmed that it has already issued a price list.
“The decision was taken to determine the actual prices of real estate properties in the Sultanate. The ministry has divided the real estate properties into three categories, depending upon their location. All properties will be classified into three categories depending upon whether these are located in the centre of the wilayat, in the remote area or in other areas,” said Abdullah Al Mukhaini, Secretary of Land Registry at the Ministry of Housing.
He added that the price list will be updated thrice a year.
“The real estate prices will be updated every four months, depending on the market conditions. Price inputs were gathered from three approved real estate companies and an average was derived to reach the real price of these properties in the Sultanate,” Al Mukhaini said.
The ministry said the list will be a reference point for real estate deed transactions, and would help regulate individual assessments by real estate authentication officers at the ministry.
Earlier, it was noticed that certain individuals did not clearly state the actual price of the real estate while making transactions in the ministry.
“Since some people were not clear about the actual price of their properties, the ministry had to find a way to reach the real price. The new price list will indicate the actual real estate prices, and will facilitate people when they decide to sell or buy any property in the Sultanate,” said Al Mukhaini.
He added that all the concerned authorities, including the Real Estate Association in Oman,were involved in the latest move.
Earlier too, the Ministry of Housing had initiated a similar move but various public and official voices had not supported it.
At that time, the representatives of the real estate sector had explained that the prices stated by the ministry did not tally with the actual prices, and it affected the real estate market negatively.
Also, the Majlis Al Shura had asked the Ministry of Housing to explain the issue as it was not involved in the decision making process. As a result, the ministry had to scrap the new system.