Two million housing units in Syria by 2035: How will the real estate investment landscape change?

The real estate market in Syria faces an unprecedented equation: a housing stock estimated at around 4.25 million units, of which nearly 1.32 million units have been damaged to varying degrees, and a housing gap that will reach about 1.9 million units in 2025 and is expected to widen to 2.5 million units by 2030 if supply does not accelerate. In contrast, the Ministry of Public Works and Housing has announced a goal to produce and address about two million housing units by 2035.

These numbers do not only describe a housing crisis, but also outline the next phase of real estate development: which areas will expand, which project models will advance, and where partnerships between the state and developers will head. The question that matters to buyers and investors is not just the size of the deficit, but: how does the housing gap in Syria become a calculated purchase decision, and what should be checked before making it?

The Housing Gap in Syria by the Numbers: What Do Official Indicators Reveal?

Short answer: Official sources estimate the housing gap in Syria at about 1.9 million units in 2025, with the possibility of rising to 2.5 million units by 2030 if the current pace of supply continues. These estimates were announced by the Deputy Minister of Public Works and Housing for Planning and Studies Affairs, Imad Al-Masri, in statements to SANA in September 2026.

The table reveals that a large part of the problem lies within the existing stock, not outside it; the damaged units alone are close to a third of the existing housing. This explains why the plan is not limited to new construction but also includes rehabilitation and reconstruction.

Housing Need Is Not the Same as Effective Demand

One of the most overlooked points in news coverage is that the housing gap measures the need for housing, not the actual demand capable of paying. A family may need a home but lack the purchasing power or necessary financing to buy, and may resort to renting, shared housing, or repairing a damaged home.

Therefore, the size of the gap is an indicator of the potential market expansion in the long term, but it alone does not determine which price segments will see demand or where it will be concentrated. This difference becomes more important as demand is linked to the return movement; SANA cited data from the UNHCR indicating that more than 1.7 million Syrians returned from abroad between December 2024 and April 2026, along with about 1.97 million internally displaced people, with difficulty accessing housing being the main obstacle to return.

How Is Syria Planning to Address Two Million Housing Units by 2035?

Short answer: The ministry relies on four parallel tracks: completing existing and stalled projects, rehabilitating repairable homes, rebuilding damaged homes, and increasing new supply according to actual demand in each governorate.

It is important to read the phrase “production and treatment” carefully: the two million units do not mean two million new units, but a mix of units built from scratch, existing units rehabilitated, and others completed after stalling. The share of each track in the total has not yet been announced.

Official statements indicate that the General Housing Establishment continues to address stalled projects and accelerate the delivery of ready units in Rural Damascus, Homs, Hama, Latakia, Tartous, Aleppo, and Deir ez-Zor. Announced examples include the delivery of 240 apartments within the "Dhi Qar" youth housing project in Hama.

From Housing Unit to Integrated Urban Community

The most prominent shift in the plan is the move to “integrated urban communities” that combine housing, services, educational and commercial facilities, and are connected to road and transport networks. Examples cited by the ministry include the "Abyat Hills" project in Qudsaya suburb with about 2,000 units, the "Modern Urban Gathering" in Bajaa with about 20,000 units, and the "Sham View" project between Qudsaya and Dummar, which exceeds 7,500 residential units within a mixed-use complex.

The gap between announcement and implementation remains a decisive factor; the success of these projects depends on infrastructure and services preceding the housing process, as experts interviewed by SANA emphasized.

What Does the Housing Gap Mean for the Future of Real Estate Investment in Syria?

Short answer: The gap means the market is heading toward an expansion in organized supply, but opportunities will not be equal; the feasibility of any investment will be determined by location, purchasing power in the area, developer quality, and execution pace—not just by the national deficit size.

Modern Housing Projects

As the state moves toward integrated communities, the gap between organized projects with services and traditional scattered buildings is likely to widen. The opportunity here lies in units that meet what the market lacks: urban planning, nearby services, and clear ownership deeds. What should be studied: the developer's ability to deliver, and the actual state of surrounding infrastructure—not just what’s on paper.

Properties Under Construction

Buying during the construction phase usually allows entry at a lower price and with installment plans, suitable for medium-term investors. You can browse models of properties under construction in Syria to compare locations and payment plans. Risks: delayed delivery and the possibility of significant competing supply in the same area before the project is completed.

Integrated Residential Complexes

These complexes combine housing with rental opportunities for returning families and expatriates seeking an organized environment. What should be studied: service and management fees after delivery, and how complete the promised facilities are.

Commercial and Administrative Properties

The effects of urban expansion are not limited to housing; every new residential community generates demand for shops, offices, and services. In Damascus in particular, part of the demand is directed toward modern office spaces, such as in offices for sale in Marota City within the Park Lane project, a commercial and office project independent of the government housing plan. What should be studied: the actual economic activity around the property and occupancy rates in similar buildings.

Location and Purchasing Power

The decisive factor in all of the above is the match between the property price and the income of the target segment in the area. An excellent project in an area with weak purchasing power may face slow sales or rentals, regardless of the local housing gap.

Partnership with the Private Sector: Are Real Estate Projects Entering a New Phase?

Short answer: Yes, at the level of the announced approach; the ministry relies on a mix of government investments, private sector partnerships, and foreign investment, but the actual impact will become clear as agreements move to execution.

The most prominent partnership model announced is for the state to provide the land while the investor develops the project and infrastructure, as in "Abyat Hills" on land owned by the General Housing Establishment. This model allows for increased supply without placing the full cost on the treasury.

On a larger scale, the Syrian Sovereign Fund and the UAE-based "Arada" Group signed an agreement in August 2026 to implement the "New Damascus" project worth about $7 billion, including 11,000 housing units. October 2026 also saw the signing of an Eagle Hills agreement to develop the Telal Damascus project and a tourism project in Latakia.

What does this mean for buyers? Three things:

• Greater variety of options between apartments, villas, townhouses, and mixed-use units.

• Higher competition standards in planning, finishing, and complex management.

• The need to distinguish between a project with a signed agreement and a project that has actually started implementation and whose units have been offered with clear prices and delivery schedules.

Where Can Real Estate Investment Opportunities in Syria Be Concentrated?

Short answer: Official data points to notable activity in Damascus, Rural Damascus, Homs, and Aleppo, with the nature of opportunities differing from one governorate to another. The following table does not rank governorates by return, due to a lack of comparable data, but clarifies the types of opportunities and what needs to be checked.

Those interested in the capital can browse properties for sale in Damascus to compare projects and spaces.

The World Bank, according to SANA, estimated the cost of reconstructing physical assets in Syria at about $216 billion, with damages concentrated in Aleppo, Rural Damascus, and Homs. Concentration of damage means concentration of need, but not necessarily concentration of effective demand.

Will the Housing Gap Lead to Higher Real Estate Prices in Syria?

Short answer: Not necessarily. The housing gap is a pressure factor on demand, but the direction of real estate prices in Syria is determined by the interaction of several factors and cannot be inferred from the size of the deficit alone.

• Supply and demand: Lack of supply supports prices when there is demand capable of paying, not just need.

• Purchasing power: Limited income restricts effective demand to certain price segments and weakens the impact of the gap in higher segments.

• Construction costs: The prices of building materials and energy set the minimum price for new units.

• Real estate financing: Limited housing loans keep demand dependent on cash payments and developer installments.

• New supply: The entry of thousands of units in certain areas may balance or pressure prices there.

• Location and services: The price gap between serviced and unserviced neighborhoods widens, even within the same city.

In other words, some locations with strong services and demand may see upward pressure, while other areas may stabilize or decline as supply expands. The right decision is based on local comparison, not a general national headline.

How to Choose a Suitable Real Estate Investment Opportunity in Syria in the Coming Phase?

Short answer: Start by defining your goal, then check ownership, licensing, and the developer; compare price, location, and payment plan before committing.

1. Define your goal: housing, rental, resale, or commercial activity; each goal has different criteria for location and space.

2. Check ownership and licenses: type of deed, regulatory status of the property, building permit.

3. Evaluate the real estate developer: record of delivered projects, adherence to previous deadlines.

4. Compare price per square meter: with similar projects in the same area, considering finishing level and services.

5. Study the location and services: roads, transportation, electricity, water, and schools as they are today.

6. Review the contract and payment plan: payment schedule, delay terms, guarantees, and what happens if the project stalls.

There is no absolute best option; ready property reduces uncertainty, while property under construction allows wider entry with a divided budget in exchange for higher execution risks.

Invest in the Future of the Syrian Real Estate Market with Imtilak Real Estate

The housing gap in Syria and the plan to address it until 2035 open a new phase in the market, but it is a phase that rewards careful decisions, not hasty ones. In a market where projects are expanding and their quality varies, access to accurate information and clear comparison becomes an essential part of the investment itself.

The Imtilak Real Estate team helps you explore available properties and projects in Damascus, its countryside, Aleppo, and Homs, compare locations, spaces, and prices, understand available payment options, and choose the property that suits your goal, whether it is for housing, rental, or long-term investment.

Contact Imtilak Real Estate now and explore opportunities to buy property in Syria with the help of a specialized team to help you make an informed decision.