Foreigners Can Buy Property in Saudi Arabia From January 2026

Riyadh/Dubai | July 9, 2025 – In a historic economic reform under Vision 2030, Saudi Arabia’s Cabinet has endorsed a new law enabling foreign nationals and foreign companies to purchase property in special zones from January 2026. The reforms are led by Minister Majed Al Hogail and the Real Estate General Authority (REGA), seeking to unlock global investment while protecting Saudi interests

Strategic Reform Under Vision 2030

The program is one of the initiatives of the Kingdom to diversify away from oil by increasing foreign direct investment into property, backing high-end development schemes such as NEOM, Soudah Peaks, and Roshn. The non-Saudi can buy housing or commercial premises in Riyadh and Jeddah, with specific restrictions near sacred sites such as Mecca and Medina to help maintain cultural and religious sentiments. REGA will publish specific regulations-such as eligibility requirements, geographic areas, and licensing procedures-on the Istitaa public consultation platform within 180 days after the gazette issue of the law. Minister of Municipal and Rural Affairs and Housing, Majed Al Hogail, described the legislation as “an extension of the Kingdom’s comprehensive real estate reform agenda”.

Under the new legislation, non-Saudis will be permitted to purchase property in designated geographic areas – and ownership in the holy cities of Mecca and Medina will be governed by added conditions and regulatory oversight. The Real Estate General Authority will be responsible for identifying suitable areas and enacting executive regulations relating to the foreign ownership procedure.

These executive regulations will define ownership standards, step-by-step procedures, and enforcement procedures, and are to be made available for public consultation within 180 days on the “Istitlaa” platform.

Balancing Investment and Citizen Interests

Al Hogail emphasized that the updated law is designed to:

• Enhance housing and commercial real estate supply.
• Inject capital and expertise into construction and infrastructure
• Deepen mortgage and bank financing markets
• Elevate Saudi cities as global investment destinations.

Notably, the surge in office and residential prices-6% in Riyadh – 10-12% in Jeddah/Dammam. This reflects underlying demand before the launch of foreign ownership.

Conclusion

Saudi Arabia’s move to open its property market to foreigners in 2026 represents a significant shift in real estate policy and investor accessibility. With designated areas in major cities like Riyadh and Jeddah poised to welcome international buyers, the Kingdom is laying the foundation for a more diversified and globally competitive economic future.

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