Ammon News - By Alaa Elayyan

AMMONNEWS - The government's recent decision to float prices of oil derivatives is expected to cause a substantial hike in prices of real estate, head of the Real Estate Sector Investors said.

Investors in the Jordanian real estate sector expect the prices of real estate to increase 15-20 percent as a result of the government's decision to lift subsidies on fuel derivatives, head of the Jordanian Real Estate Sector Investors Kamal Awamleh told Ammon News on Sunday.

He noted that the hike in prices is expected as the cost of construction material and transportation of raw materials will rise substantially because of the government's decision.

Awamleh noted that the real estate market is currently "calm," yet stressed that citizens are wary as to the impact of the government's decision on apartments.

He added that investors expect the prices of real estate to jump early next summer.

Among property owners, 80-85 percent are Jordanian citizens, Awamleh said, adding that Syrians own under 2 percent of real estate in Jordan, and the influx of Syrian refugees has had a direct impact on the real estate market particularly in the northern governorates.