Saudi Arabia to Reveal Zones for Non-Saudi Property Ownership

Riyadh: The General Authority for Real Estate (REGA) will soon release a comprehensive document outlining specific areas where non-Saudis can own property in the Kingdom.

Real EstateProperty OwnershipSaudi ArabiaForeign InvestmentVision 2030Real EstateNov 07, 2025

Saudi Arabia to Reveal Zones for Non-Saudi Property Ownership
Real Estate:Riyadh: The General Authority for Real Estate (REGA) will soon release a comprehensive document identifying the specific areas where non-Saudis will be allowed to own property in the Kingdom, as reported by the Arabic daily Okaz.

The document will include detailed maps of ownership zones across Riyadh, Jeddah, Makkah, Madinah, and other cities, specifying permitted ownership percentages, property rights, and conditions for acquisition.

Under the updated Real Estate Ownership Law for Non-Saudis, endorsed in July 2025, ownership will be limited to registered properties. Foreign owners must disclose all required data. The system will take effect in January 2026, 180 days after publication in the Official Gazette.

The revised ownership framework introduces several key features:
- A 10 percent total charge, including real estate transaction tax and related fees.
- Fines up to Saudi Riyals 10 million for violations.
- Public auction for properties acquired through false information.

According to Okaz, five groups will be eligible to own property under the new system:
- Non-Saudi individuals
- Foreign companies
- Saudi companies with foreign shareholders
- Non-profit organizations
- Diplomatic missions.

Ownership and usufruct in Makkah and Madinah are limited to:
- Muslims
- Saudi-owned companies, within zones defined by the upcoming geographical document.

These rules operate alongside existing regulations such as the Premium Residency System and the GCC Property Ownership Regulation.

To ensure proper implementation, 13 Saudi government bodies will participate through an advisory committee responsible for:
- Supervising enforcement
- Monitoring compliance
- Submitting regular reports and recommendations.

REGA said the reform is designed to attract foreign investment and strengthen the real estate sector’s contribution to Saudi Arabia’s non-oil economy under Vision 2030. The sector currently supports more than 120 industries, creates jobs, and plays a central role in housing expansion and urban development.

Over the past five years, the Kingdom has enacted over 20 real estate laws to promote transparency, protect ownership rights, and enhance investor confidence. REGA emphasised that the new framework will not affect citizens’ access to housing but will ensure a balanced, competitive, and sustainable property market that supports long-term national growth.

Frequently Asked Questions

When will the new property ownership law take effect?

The new property ownership law for non-Saudis will take effect in January 2026, 180 days after publication in the Official Gazette.

Who is eligible to own property under the new law?

Five groups are eligible to own property under the new law: non-Saudi individuals, foreign companies, Saudi companies with foreign shareholders, non-profit organizations, and diplomatic missions.

What are the key features of the new law?

The key features include a 10 percent total charge for real estate transactions, fines up to Saudi Riyals 10 million for violations, and public auctions for properties acquired through false information.

How will the new law affect ownership in Makkah and Madinah?

Ownership and usufruct in Makkah and Madinah are limited to Muslims and Saudi-owned companies, within zones defined by the upcoming geographical document.

What is the purpose of the new property ownership framework?

The new framework is designed to attract foreign investment, strengthen the real estate sector’s contribution to Saudi Arabia’s non-oil economy under Vision 2030, and ensure a balanced, competitive, and sustainable property market.

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