Saudi Arabia Introduces New Property Ownership Rules for Non-Saudi Residents Effective 2026
Saudi Arabia has announced major updates to its property ownership laws for non-Saudi residents, set to come into force in January 2026.
The Real Estate Authority introduced new regulations requiring all non-Saudi buyers to register properties and submit comprehensive documentation as part of the government’s efforts to regulate foreign ownership.
A 10% fee structure will now apply to non-Saudi property purchases. This includes real estate transaction tax and related administrative charges. Violations of the new rules may result in fines reaching up to SR10 million, and any property acquired through false declarations or misrepresentation may be subject to public auction.
The regulations outline five eligible categories permitted to own property in Saudi Arabia:
Individual non-Saudi residents
Foreign companies
Saudi companies with foreign shareholders
Non-profit organizations
Diplomatic missions
Authorities will soon publish detailed ownership maps for major cities such as Riyadh, Jeddah, Makkah, and Madinah, specifying:
Permitted zones for foreign property ownership
Allowed ownership percentages
Types of property rights available
Grace periods for compliance within each zone
The updated framework permits both residential and commercial property ownership for non-Saudis, subject to further instructions in the upcoming executive regulations, which will clarify application procedures, restrictions, and area-specific conditions.
Have questions about the new Property Ownership Rules for Non-Saudi Residents in Saudi Arabia?
contact us on: info@veritasksa.law