Buying Property in Saudi Arabia as a Foreigner: Rules, Requirements and Eligible Areas

Saudi Arabia’s real estate market is opening its doors to a wider range of international buyers, creating new opportunities for those looking to invest or own property in the Kingdom. With the updated non-Saudi property ownership law now in effect, non-Saudi individuals, companies, and investment entities can own property under clearer regulations. As an established name in the Saudi real estate market, Roshem provides buyers with opportunities to explore the Kingdom’s growing property sector.

 

Whether you are a foreign resident, investor, or company considering Saudi Arabia real estate acquisition, this guide covers the key ownership requirements, eligible locations, property types, costs, and application procedures.

 

Table of Contents

1. What Is the Non-Saudi Property Ownership Law?
2. Who Can Own Property in Saudi Arabia?
3. Where Can Non-Saudis Own Property?
4. What Types of Property Can Non-Saudis Own?
5. Requirements for Non-Saudis to Buy Property
6. How Can a Non-Saudi Apply to Own Property?
7. Fees, Taxes and Costs of Property Ownership
8. Violations and Penalties Under the Law
9. What Should Foreign Buyers Check Before Purchasing?
10. How the New Law Supports Saudi Vision 2030
11. How Roshem Can Help You Explore Property Opportunities
12. Frequently Asked Questions

What Is the Non-Saudi Property Ownership Law?

The non-Saudi property ownership law is the legal framework that regulates how non-Saudis can own property and acquire real estate rights in Saudi Arabia. It explains who can own property, where ownership is permitted, and the main conditions that buyers need to meet. The framework covers different categories of buyers, including foreign individuals, companies, and investment entities.

When Did the Updated Law Come into Effect?

The updated non saudi property ownership law officially came into effect on January 22, 2026. The Real Estate General Authority confirmed that the new system began regulating non-Saudi property ownership in the Kingdom from this date, with applications submitted through the official Saudi Properties platform.

What Changed Under the New Law?

The updated framework provides clearer rules by considering factors such as the buyer’s status, the property’s location, and its intended use. It also introduces designated geographical zones where non-Saudis can own property under specific conditions, giving international buyers a clearer process for understanding where and how they can purchase property in the Kingdom.

Who Can Own Property in Saudi Arabia?

The updated non-Saudi property ownership law allows different categories of non-Saudis to own property in Saudi Arabia, including residents, non-resident individuals, and foreign companies and investment entities.

Foreign Residents in Saudi Arabia:

• Foreign residents with a valid Iqama can apply through the Saudi Properties portal.
• They can own property within designated areas, subject to the applicable conditions.
• They can also own one residential property outside these areas for personal residence, except in Makkah and Madinah.

Non-Resident Foreign Individuals:

• Non-resident foreigners can apply to own property under the updated regulations.
• They must obtain a digital identity and meet the required banking and phone-number requirements.
• Applications are submitted through the Saudi Properties portal.

Foreign Companies and Investment Funds

• Foreign companies can own property after completing the required registration with the Ministry of Investment.
• Listed companies, licensed investment funds, and special-purpose entities follow additional regulatory requirements.
• Ownership remains subject to the applicable geographical and ownership controls.

Where Can Non-Saudis Own Property?

The location of a property is an important factor in Saudi Arabia real estate acquisition, as the updated regulations set specific geographical zones and conditions for non-Saudi ownership.

 

• Designated Geographic Zones: Non-Saudis can own property within approved geographical zones, with conditions varying by location, property type, and ownership rights.
• Property Ownership in Riyadh and Jeddah: Eligible non-Saudis can own property in approved areas of Riyadh and Jeddah, subject to the applicable ownership conditions and regulations.
• Rules for Makkah and Madinah: Non-Saudi individuals must be Muslim to own property or acquire real rights in Makkah or Madinah, while certain companies and investment entities can own property under specific conditions.

What Types of Property Can Non-Saudis Own?

The updated non-Saudi property ownership law allows eligible non-Saudis to own different types of property based on their status, location, and ownership purpose.

• Residential Property: Eligible individuals can own homes in permitted areas, while legal residents may own one residential property for personal use outside these areas, except in Makkah and Madinah.
• Commercial and Investment Property: Non-Saudis can own property for business and investment purposes within approved areas, subject to applicable regulations.
• Company Operations and Employee Housing: Companies with non-Saudi ownership can own properties needed for their activities and employee housing, subject to specific conditions.

Requirements for Non-Saudis to Buy Property

Buying property in Saudi Arabia requires non-Saudis to meet specific eligibility and regulatory requirements under the non-Saudi property ownership law.

 

1. Eligibility and Required Documents: Buyers must meet the eligibility conditions and provide the required identification and supporting documents through the official application process.
2. Ownership Purpose and Regulatory Approval: The property must be purchased for an approved purpose, and some ownership cases may require regulatory approval depending on the buyer and property type.
3. Restrictions and Ownership Limits: Ownership is subject to geographical restrictions, property-specific conditions, and any applicable limits on the type or amount of property a non-Saudi can own.

How Can a Non-Saudi Apply to Own Property?

Non-Saudis can apply to own property through the official Saudi Properties portal by submitting the required information and documents. Once the application is approved, the buyer can complete the property registration and ownership transfer through the official procedures, making the ownership legally recognized.

Fees, Taxes and Costs of Property Ownership

Non-Saudi buyers may be subject to real estate taxes and fees when purchasing property in Saudi Arabia. The main costs include the Real Estate Transaction Tax and the additional fee imposed on certain non-Saudi property transactions.

 

Non-Saudi property ownership must comply with the requirements of the Non-Saudi Property Ownership Law and its Executive Regulations. Violations may result in a warning or a fine of up to 5% of the value of the real estate right involved, capped at SAR 10 million. If a non-Saudi deliberately provides false or misleading information to obtain ownership or another real estate right, the penalties may also include the sale of that real estate right. 

Violations and Penalties Under the Law

Non-Saudi property ownership must comply with the requirements of the non saudi property ownership law and its implementing regulations. Violations may lead to financial penalties, the cancellation of an unlawful ownership transaction, or other measures determined by the competent authorities, depending on the nature of the violation.

What Should Foreign Buyers Check Before Purchasing?

Before proceeding with Saudi Arabia real estate acquisition, foreign buyers should verify that the property and transaction meet the applicable requirements.

 

• Confirm That the Property Is Within an Approved Zone: Check that the property is located within a permitted geographical zone and that the buyer is eligible to own it.
• Verify the Title Deed and Project Licences: Review the property's title deed and ensure that the project has the required licences and approvals.
• Review Financing and Ownership Conditions: Check the applicable financing terms, ownership restrictions, and any additional conditions before completing the purchase.

How the New Law Supports Saudi Vision 2030

The updated non saudi property ownership law supports Saudi Vision 2030 by attracting international investors, improving the real estate market, and creating a clearer framework for foreign property ownership. It also aims to support growth across residential, commercial, tourism, and other real estate sectors.

How Roshem Can Help You Explore Property Opportunities

Roshem helps international buyers explore the Saudi real estate market through its range of projects and real estate services. Whether you are looking for a home or considering Saudi Arabia real estate acquisition, Roshem can help you discover suitable projects and find property opportunities that match your needs.

 

Frequently Asked Questions

1. Can Foreigners Buy Property in Saudi Arabia in 2026?

Yes. The updated non saudi property ownership law came into effect on January 22, 2026, allowing eligible foreign buyers to apply for property ownership.

 

1. Can Non-Saudis Own Property in Makkah or Madinah?

Non-Saudi Muslim individuals can own property or acquire real rights in Makkah and Madinah, subject to the applicable regulations.

 

1. Can Foreign Companies Own Property in Saudi Arabia?

Yes. Foreign companies and certain investment entities can own property in Saudi Arabia, subject to the required registration and regulatory conditions.

 

1. How Can a Foreigner Apply to Buy Property in Saudi Arabia?

Foreign buyers can submit their applications through the official Saudi Properties portal and complete the required registration procedures.

 

1. What Fees and Taxes Do Foreign Property Buyers Pay?

Foreign buyers may be subject to the 5% Real Estate Transaction Tax, along with applicable fees and registration costs.