Further enhancing investor confidence whilst facilitating financial services for developers, Sohar International introduces Escrow Accounts. This financial solution comes in line with Royal Decree No. 30/2018 promulgating the law on escrow account for real estate development and Ministerial Decision No. 72/2019 issued by the Ministry of Housing and Urban Planning.
As the country witnesses key legislative reforms with new laws and regulations, as well as the introduction of strict measures to ensure implementation of good governance, Sohar International is keen to contribute and support the government’s efforts in providing impetus to the real estate sector. The introduction of escrow account is key to this objective, as it protects deposits of investors following the purchase of real estate developments within the country.
Commenting on the introduction of Escrow Account, Mr Khalil Al Hedaifi, Chief Retail Banking Officer at Sohar International said, “Keeping pace with recent intricate and sophisticated development of Omani real estate sector and supporting the government’s efforts in regulating the sector, our new financial product aims at enhancing confidence of real estate developers, investors, as well as vendors, whilst protecting their interests.”
Opening up an Escrow Account with Sohar International requires a few easy steps. Once the account is active, it can then be communicated to the potential investors by the developers which will not only increase the investors’ confidence, but will also regulate and ensure the developers are paid on time which will enhance the overall experience. It is important that the developer interested in opening the Escrow Account submits all the necessary documents in any of the bank branches.
The regulations under Escrow enhance control and provides confidence to the buyer, especially for those investing in under-construction projects. The developer, too, is ensured of such comfort. With several commercial, tourist and residential projects underway and in-pipeline in the Sultanate, Escrow is an essential to provide stimulus to the burgeoning sector, as it protects the public by minimizing the risk prevalent in any real estate purchase. This will significantly contribute to the long-term socio-economic development in the country.
Sohar International is committed to providing new products, services, features that further enhance customer’s banking experience. The Bank effectively continues to cater the needs of all its customer segments and the new Escrow account services comes in the framework of enabling all parties to grow and deliver enhanced performance enabling them to Win.