Kuwait

Liquidity improved materially in 2025: NBK estimated Q2 2025 sales at KD 1.005bn (+17.7% y/y), with the investment segment (KD 483m) up +116% y/y and residential sales up +24% y/y. Pricing remained bifurcated-NBK's price index was +2.9% y/y in Q2 2025, driven by investment prices (+7.1% y/y) while residential prices were near-flat (-0.5% y/y), consistent with affordability constraints in private housing. Land values in prime investment and commercial micro-markets posted low-to-mid single digit gains in Q1 2025 (e.g., Kuwait City commercial land +7.7% y/y; Hawalli commercial land +12.5% y/y), and rents were mostly stable with select pockets of growth (e.g., Mahboula +5.5% y/y for 3bed investment apartments). 2025-2026 watchpoint: the vacant residential land antimonopoly fee (starting Jan 2026) is expected to push some owners to sell or develop, potentially moderating land-price inflation while boosting transaction activity near implementation. Upside scenario depends on housing-finance reform; Reuters reported a mortgage law in drafting to expand bank/finance-company participation.

AI is emerging primarily through data/automation rather than consumer-facing generative tools. On the public side, MOCI's digital real-estate portal covers brokerage, appraisal and advertising licensing, and Kuwait's Electronic Real Estate Broker System was positioned as a paperless workflow to reduce transaction time and improve transparency-foundational infrastructure for automated checks and rule-based compliance. On the private side, portals are investing in richer digital inventory: 4Sale Realty markets 3D virtual tours and verification-style experiences; Bayut/Dubizzle's ecosystem is integrating market intelligence and valuation products (e.g., Dubizzle Group's acquisition of Property Monitor, a data analytics platform providing valuations). Near-term (2025) adoption signals to track: automated valuation models (AVMs) embedded in portals, smarter lead routing to agents, and computer-vision style listing QA to enforce photo/description authenticity where regulator scrutiny is increasing.

Regulatory tightening is directly targeting listing integrity. A 2024 ministerial decision (reported by Kuwait Times) restricted real-estate advertising to licensed brokers, required written owner approval, and mandated a Municipality property identification letter for advertising within Kuwait; it also required truthful pricing, genuine images and disclosure of material defects. MOCI also formalized licensing for publishing real-estate advertisements (including fees and documentation requirements), and provides complaint channels via its digital portal. Structural integrity reform: the AntiMonopoly Law on vacant residential lands (approved 2023; effective Jan 2026) introduces escalating annual fees above 1,500 sqm per person and includes enforcement mechanisms that restrict transfers when fees are unpaid. Digital execution is also increasing: the Electronic Real Estate Broker System integrates multi-agency checks (including Municipality certification) to reduce fraud points, and early 2026 saw new digital tenancy oversight signals such as PACI lease notifications via the Sahel app.

Portal/proptech consolidation is a visible regional theme touching Kuwait. Kuwait-based proptech Sakan acquired Qatar's Hapondo (Aug 2024) to expand capabilities and regional reach. In 2025, Dubizzle Group (operator behind Bayut and dubizzle) acquired Property Monitor, a market intelligence and valuation platform-signaling increasing vertical integration of classifieds + analytics. On the local real-estate corporate side, Arkan Al Kuwait Real Estate Company completed a strategic merger with AlOula for Real Estate Investment in April 2025, explicitly positioning for scale and future acquisitions. Net-net: while Kuwait portal market M&A remains limited, adjacent proptech/data and listed real-estate consolidation increased in 2024-2025.

2025 was policy-active. On supply-side housing delivery, Kuwait accelerated a privatesector partnership model under the 2023 housing development framework (PPP-style city development) and in Aug 2025 amended the housing developers law (Decree Law No. 89/2025) to allow more flexible project-company structures and more housing formats (apartments/duplexes/compounds, etc.). On market fairness, the AntiMonopoly Law on vacant residential lands (approved Nov 2023; start Jan 2026) created fee-based incentives to reduce land hoarding. On participation rules, foreign ownership was partially liberalized: UNCTAD notes Decree Law No. 7/2025 expanded ownership rights for KDIPA-licensed entities, listed companies and certain licensed funds/companies for operational/employee-housing purposes, while later 2025 guidance (Decree No. 195/2025) ringfenced private housing from nonKuwaiti participation. On transaction transparency, Kuwait tightened real-estate ad standards (2024 decision) and advanced digital broker workflows; and financing reform remained a catalyst risk/opportunity with a mortgage law reported in drafting.