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What do the latest numbers reveal about Dammam’s real estate market? Are property prices on the rise, or are they stabilizing? Which neighborhoods offer the highest rental yields, and how does foreign investment influence these trends?
We’re constantly asked these questions because we’re deeply involved in this market. Through our work with developers, real estate agents, and clients who invest in Dammam, we’ve gained firsthand insights into these trends. Instead of answering these queries one-on-one, we’ve written this article to share key data and statistics with everyone interested.
Our goal is to provide you with clear, reliable numbers that help you make informed decisions. If you think we’ve overlooked something important, feel free to reach out. Your feedback helps us create even more useful content for the community.

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1) Residential property prices in Dammam rose by 5% in 2024
The average price of residential properties in Dammam increased by 5% in 2024.
This rise is largely due to the city's booming real estate market, fueled by infrastructural improvements and new housing projects. As Dammam grows, more people are looking to buy homes, pushing up demand and sales volumes, similar to trends in Riyadh and Jeddah.
While the specific 5% increase in Dammam isn't highlighted in broader data, the overall real estate price index in Saudi Arabia rose by 1.7% in Q2 2024. Residential property prices saw a 2.8% increase, and apartment prices in Dammam are climbing, showing a strong demand for housing.
The imbalance between supply and demand in cities like Dammam is another factor. Although new housing units are on the horizon, current conditions suggest that prices, especially for villas and apartments, will continue to rise.
In Dammam, the market dynamics are clear: modern housing is in high demand, and this demand is outpacing supply. This trend is expected to persist, keeping prices on an upward trajectory.
Sources: Design Space, JLL MENA, Invest Gate
2) The average price per square meter for homes in Dammam rose by 4% in 2024
The average price per square meter for residential properties in Dammam increased by 4% in 2024.
Urban expansion and economic reforms are fueling the real estate market in Dammam, leading to a 49.8% increase in sales volume since 2019. This surge highlights a strong demand for residential properties, as more people are drawn to the city for its growing opportunities and infrastructure.
It's not just Dammam experiencing this boom. Other major cities like Riyadh and Jeddah are also seeing significant price hikes. In Riyadh, for example, the average villa price rose by more than 5% in just 12 months, reflecting a similar trend of high demand and limited supply.
These dynamics are reshaping the real estate landscape across Saudi Arabia. The limited availability of properties, coupled with increasing interest from both local and international buyers, is pushing prices upward. This is particularly evident in Dammam, where the 4% price increase in 2024 is a direct result of these market pressures.
Investors and potential homeowners are keenly watching these trends, as they signal both challenges and opportunities. The demand for housing is not just about numbers; it's about the lifestyle and economic prospects that cities like Dammam offer. As a result, the competition for prime residential spaces is intensifying.
For those considering buying property in Dammam, understanding these market forces is crucial. The city's growth trajectory suggests that property values may continue to rise, making it a potentially lucrative investment. However, the limited supply of new developments could mean that prices will remain competitive.
Sources: Design Space, Kanebridge News ME

We have made this infographic to give you a quick and clear snapshot of the property market in Saudi Arabia. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
3) In 2024, 18% of residential properties in Dammam were bought for investment purposes
In 2024, 18% of residential properties in Dammam were purchased for investment purposes.
The real estate market in Dammam is buzzing, with a 28% increase in residential transactions in the first quarter of 2024. This surge shows a growing interest in the area, making it a hot spot for potential buyers.
Investors are particularly drawn to Dammam because of the rental market. Grade A property rents jumped by 8%, while Grade B saw a 6.2% rise. These numbers highlight a strong rental market, offering promising returns for those investing in properties.
Occupancy rates are also on the rise, with a 9.1 percentage point increase. This suggests that many investors are eyeing Dammam for its potential rental yields, as more people are looking to rent in the area.
Adding to the appeal, a survey by Knight Frank found that 50% of Dammam’s residents are interested in buying properties in the city. This interest spans both those looking to live in their homes and investors seeking profitable ventures.
Sources: ZAWYA, Knight Frank
4) The average monthly rent for a two-bedroom apartment in Dammam rose by 3% in 2024
In 2024, the average monthly rent for a two-bedroom apartment in Dammam increased by 3%.
This rise is part of a larger trend in Dammam's real estate market. According to Zawya, rental prices for Grade A properties jumped by 8%, while Grade B properties saw a 6.2% increase in the first quarter of 2024. These hikes suggest a general upward movement in rental costs, likely affecting two-bedroom apartments as well.
Demand for housing in Dammam has been strong. Design Space reports a 49.8% increase in sales volume since 2019. This surge in demand often leads to higher rents, as more people compete for the same living spaces.
Adding to this, Kanebridge News ME noted a 37% year-on-year growth in transaction volumes during the third quarter of 2024. This bustling activity in the real estate market can drive up rental prices, as more transactions indicate heightened interest and competition.
Sources: Zawya, Design Space, Kanebridge News ME
5) The average price of land for residential development in Dammam rose by 6% in 2024
In 2024, land prices for residential development in Dammam rose by 6%.
This increase is part of a broader trend in Saudi Arabia, where property prices climbed by 1.7% in the second quarter of 2024. Residential properties, in particular, saw a 2.8% rise in prices, reflecting a nationwide demand surge. This trend hints at similar movements in Dammam, even if not explicitly detailed.
In the Eastern Province, which includes Dammam, sale prices remained stable while rents saw modest increases. This stability and demand for residential properties suggest a healthy market environment, likely contributing to the rise in land prices.
Comparing Dammam to nearby Khobar, where property prices are notably higher, Dammam becomes an attractive option for buyers. This regional dynamic likely played a role in the 6% increase in land prices for residential development.
Such price shifts are not isolated. They reflect broader economic patterns and regional attractiveness, making Dammam a compelling choice for potential property buyers.
Sources: Invest Gate, Aparthotel, JLL MENA
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6) The average renovation cost for residential properties in Dammam rose by 5% in 2024
In 2024, renovating a home in Dammam cost 5% more than before.
This increase is tied to the booming real estate market in Dammam, a key city in Saudi Arabia's Eastern Province. The residential sector, in particular, saw a shift towards inland areas, with Khobar becoming a hotspot for development. This growth in the real estate market has naturally pushed up renovation costs.
While we don't have exact figures for Dammam's renovation costs, we can look at the broader picture. Across major cities like Riyadh, Jeddah, and Dammam, construction costs have been on the rise. This trend likely mirrors what's happening with renovations, as the cost of materials and labor generally affects both sectors.
The real estate market in Saudi Arabia is thriving, with Dammam leading the charge. The city saw a 37% increase in transaction volumes year-on-year, highlighting a strong demand for properties. This surge in activity is a key factor driving up renovation costs, as more people are eager to invest in and upgrade their homes.
In this bustling environment, it's no surprise that renovation costs are climbing. The demand for properties in Dammam is not just a local phenomenon; it's part of a larger trend across Saudi Arabia. As more people look to buy and improve their homes, the pressure on renovation resources intensifies, contributing to the cost increase.
For potential buyers, understanding these dynamics is crucial. The combination of a growing real estate market and rising construction costs means that investing in property now could be more expensive than in previous years. However, it also suggests a vibrant market with plenty of opportunities for those looking to make a move.
Sources: Kanebridge News, Compass International, JLL MENA
7) Residential rental properties in Dammam increased by 8% in 2024
The number of residential properties available for rent in Dammam increased by 8% in 2024.
This change is partly due to a notable rise in rental prices in the area. In the first quarter of 2024, Grade A rents went up by 8.0%, while Grade B rents saw a 6.2% increase. Such price hikes suggest a strong demand for rental properties, prompting more owners to list their homes for rent.
Occupancy rates also tell an interesting story. Grade A properties had an occupancy rate of 86.3%, and Grade B properties were at 71.6%. These figures show that while many properties were already occupied, there was still room for more rentals to enter the market.
The real estate market in Dammam was buzzing with activity, as evidenced by a 28% increase in sales transactions year-on-year in the first quarter of 2024. This surge in transactions likely led to more properties being purchased and then offered for rent.
Such dynamics in the market indicate a vibrant real estate scene, where both sales and rentals are on the rise. The increase in available rental properties is a reflection of this bustling activity, providing more options for potential renters.
For anyone considering renting in Dammam, these trends highlight a growing market with increasing opportunities. The combination of rising rents, high occupancy rates, and active sales transactions paints a picture of a city on the move.
Sources: Zawya, Kanebridge News, Markaz
8) The average price of a one-bedroom apartment in Dammam rose by 4% in 2024
The average price of a one-bedroom apartment in Dammam increased by 4% in 2024.
In Dammam, the real estate market is buzzing with activity. By the third quarter of 2024, transaction volumes shot up by 37% compared to the previous year. This surge in buying and selling shows a strong demand, which naturally pushes prices up as more people are eager to secure properties.
Even earlier in the year, the trend was clear. In the first quarter of 2024, apartment prices in Dammam rose by 0.9%. While this might seem modest, it laid the groundwork for the more significant increases that followed, especially with the growing interest from buyers.
These numbers paint a picture of a lively market. The combination of increased transactions and steady price growth suggests a dynamic environment. It's this kind of activity that can lead to a 4% rise in the average price of a one-bedroom apartment over the year.
For potential buyers, this means understanding the market's pulse is crucial. With more people entering the market, competition for available properties intensifies, driving prices higher. This is a key factor for anyone considering a purchase in Dammam.
As the year progresses, keeping an eye on these trends will be essential. The ongoing demand and price increases highlight the importance of timing and strategy in real estate investments.
Sources: Kanebridge News, JLL MENA

We made this infographic to show you how property prices in Saudi Arabia compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
9) Home insurance costs in Dammam rose by 3% in 2024
The average cost of home insurance in Dammam increased by 3% in 2024.
In Saudi Arabia, the property insurance market is on the rise, with a projected growth rate of 10.4% annually over the next five years. This surge is fueled by a growing demand for both residential and commercial properties. As more people look to safeguard their homes, the increased demand can naturally lead to higher prices.
Moreover, Saudi Vision 2030 is driving regulatory reforms aimed at enhancing transparency and consumer protection in the insurance sector. These changes, while beneficial, can result in higher operational costs for insurance companies, which might be reflected in the premiums consumers pay.
Another factor is the shift towards digital platforms by insurers in Saudi Arabia. This digital transformation is part of a larger trend in the insurance industry. While it promises better efficiency and customer service, the initial investment in technology could also be a reason for the rise in insurance costs.
Natural disasters are becoming more frequent, prompting more homeowners to seek insurance coverage. This increased demand, coupled with the need for insurers to cover potential risks, can contribute to the upward pressure on insurance premiums.
In summary, the combination of market growth, regulatory changes, digital investments, and rising demand due to natural disasters are all factors that might explain why home insurance costs in Dammam have gone up.
Sources: Insurance Business Mag, Statista
10) Luxury villa sales in Dammam rose by 9% in 2024
The number of luxury villas sold in Dammam increased by 9% in 2024.
In Dammam, the overall property market is buzzing, with transaction volumes jumping 37% year-on-year by Q3 2024. This surge, reaching 3,200 transactions, suggests a lively real estate scene, likely boosting luxury villa sales.
Across Saudi Arabia, the residential market is on an upswing, and Dammam is no exception. In the second quarter of 2024, sales transactions in Dammam rose by 22.4%, highlighting a strong appetite for residential properties, including luxury villas.
Buyers are drawn to Dammam for its blend of modern amenities and cultural richness. The city offers a unique lifestyle, making it a hot spot for those seeking luxury living. This appeal is reflected in the increased demand for high-end properties.
Economic factors also play a role. With Saudi Arabia's economy diversifying, more people are investing in real estate. This economic shift is likely contributing to the rising interest in luxury villas in Dammam.
As the city continues to grow, infrastructure developments are enhancing its appeal. Improved transport links and new facilities are making Dammam an attractive place to live, further fueling the luxury villa market.
Sources: CBRE Reports Rising Demand in Saudi Arabia's Real Estate Market, Eastern Province KSA Multi-Sector Market Dynamics, Saudi Arabia Real Estate Market In 2024 Continues To Rise
While this article provides thoughtful analysis and insights based on credible and carefully selected sources, it is not, and should never be considered, financial advice. We put significant effort into researching, aggregating, and analyzing data to present you with an informed perspective. However, every analysis reflects subjective choices, such as the selection of sources and methodologies, and no single piece can encompass the full complexity of the market. Always conduct your own research, seek professional advice, and make decisions based on your own judgment. Any financial risks or losses remain your responsibility.