Foreign investors Guide to Purchasing Real Estate in KSA
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Invest and Own: A Foreigner’s Guide to Purchasing Real Estate in Saudi Arabia



Foreign investors are welcome to invest in real estate in the Kingdom of Saudi Arabia, which offers them a plethora of attractive options.

Foreign investors are welcome to invest in real estate in the Kingdom of Saudi Arabia, which offers them a plethora of attractive options across diverse cities and economic zones.

This thorough guide outlines the requirements and procedures for foreign ownership of real estate in Saudi Arabia for the year 2024, making the process easier.


KSA Real Estate Ownership Requirements for Foreigners:

To take advantage of the lucrative financial prospects or to establish the Kingdom of Saudi Arabia as their permanent home, a large number of foreign nationals choose to purchase real estate in the country. The following are the most crucial requirements for foreigners wishing to acquire property in Saudi Arabia:


 1. Admitted Zones:

Open areas: Certain cities and economic zones, including the following, let foreigners acquire real estate:

  • Economic cities: King Abdullah Economic City, NEOM, and others.
  • Some major cities: Riyadh, Jeddah, Dammam, etc.

Prohibited areas: Certain regions are off-limits to real estate ownership, including:

  • Areas near the border.
  • Military areas.
  • Mecca and Medina (only rentals are available).


2. Legal Residency:

  • Fundamental condition: The foreign buyer has to be a resident of the Kingdom legally, such as:
  • Privileged residency (permanent residency).
  • Residency for investors.

It is sufficient for the residence permit to be in effect on the day of the property’s final registration, rather than needing to be current at the beginning of the acquisition procedure.


3. Ownership Purpose:

  • Housing: Real estate owned by non-citizens may be used for personal habitation.
  • Investment: Subject to the relevant rules and regulations, it is legal to own real estate for residential and business investment reasons.


4. Security Controls:

  • Security clearance: Depending on the situation, you could need permission from the appropriate security authorities, particularly if you’re buying real estate in a certain location.


5. Additional Terms:

  • Finance: Subject to the terms and conditions of those institutions, foreigners may finance the purchase of real estate by taking out real estate loans from Saudi banks.
  • Taxes: In compliance with Saudi legislation, international buyers of real estate are subject to taxes and fees.
  • Dealing with real estate offices: To guarantee that the buying process continues lawfully and correctly, it is best to deal with licenced real estate offices.


The most significant updates to Saudi Arabia’s real estate laws for foreigners for the year 2024

The purpose of this explanation is to provide clarity on the most significant changes made to the Kingdom of Saudi Arabia’s real estate legislation in 2024, intending to improve the investment climate and drawing in further foreign capital.

These major modifications consist of:


1. Extending the range of locations where real estate investment is allowable:

Real estate ownership by foreigners became possible by the new amendments, which opened up previously off-limits towns and economic zones to international investment.

Increased real estate investment opportunities are now part of the reach of established economic communities like King Abdullah Economic City and NEOM.


2. Facilitating bureaucratic procedures for real estate acquisitions:

A faster and more straightforward process is now required to acquire the permissions and permits needed for foreigners to purchase real estate.

The time and expenses related to bureaucratic processes decrease by the use of electronic platforms for application submission and processing.


3. Offering investment incentives to entice overseas investors:

One of these incentives is providing foreign investors who participate in specific real estate developments with tax breaks on property tax and registration costs.

Local banks also offered financing options, including loans with favourable conditions, to overseas investors.


4. Improving the foreign investor residence system:

Foreign investors may now acquire property more readily thanks to the strengthening of the premium residency system.

Incentives for long-term investments have included the provision of long-term residence possibilities to foreign investors and their families.


5. Setting up the legal framework to boost investor assurance:

To preserve the interests of international investors and boost trust in the Saudi real estate market, the modifications included changes to legislation and regulations of real estate ownership.

In addition, quick and efficient procedures have been developed to settle real estate disputes that can emerge between international investors and local organisations.


6. Improving openness and guaranteeing information availability to investors:

A focus was on making sure that information regarding the properties that are up for investment, including their costs, terms, and controls, appears understandably and openly.

To guarantee adherence to legal requirements and stop any unethical activity, the real estate market is now subject to more stringent supervision.


7. Giving sustainability a priority and supporting eco-friendly initiatives:

The revisions feature unique incentives designed to promote investment in environmentally conscious and sustainable real estate projects.

Initiatives aimed at enhancing the standard of living in the designated regions and building urban infrastructure are also afloat.

Intending to create an environment that is both encouraging and appealing for foreign investors, as well as offering a range of incentives and facilities, these new amendments mark a significant step in improving the Kingdom of Saudi Arabia’s appeal as a premier home investment destination.


Documents Necessary to Own Property in Saudi Arabia

The following documents need to be ready before you begin the ownership process:

  1. An explanation letter
  • Property type: residential, commercial, etc.
  • Property area: in square metres.
  • Property location: Provide a precise description of the location along with the name of the city and the neighbourhood.
  1. Copies of passport:
  • A copy of your current passport.
  • A copy of the first registered passport when you enter the Kingdom for the first time.
  1. Copies of valid residency:
  • A copy of your residence permit.
  • A copy of your wife’s residency (if applicable).
  1. Copies of birth certificates:
  • Copies of birth certificates for children born within the Kingdom (if any).
  1. An employer’s letter:
  • Provided as proof of income and good conduct by the employer.
  1. Copies of real estate documents:
  • A copy of the title deed.
  • A copy of the building permit.
  • A copy of the survey report.
  1. Bank statement:
  • A copy of a bank statement for the last 6 months.
  1. Illustrative map:
  • A map with the building’s perimeter and the size of the roadway shown.
  1. Written pledge:
  • A formal declaration confirming the land’s designation as housing.


Depending on the kind and location of the property, some regulations could change.

To make sure that all conditions meet their requirements, confirm with the appropriate authorities before submitting your application.


Apply Online at the Absher Platform:

To apply electronically using the Absher platform, complete the procedures below:

  • Sign up for the Absher platform.
  • Select “Absher Individuals”.
  • Log in to the platform.
  • From the “My Services” list, choose “General Services.”
  • Click on “Request to own a property for non-Saudis.”
  • Read the conditions for owning real estate in Saudi Arabia.
  • Click on “New Request”.
  • Enter the required property information.
  • Enclose the real estate deed-related paperwork.
  • Click “Next,” then “Confirm Order,” then “Submit Order.”

The Kingdom of Saudi Arabia offers international investors unique real estate investment prospects by creating a welcoming investment climate and offering a range of amenities.

Foreigners can easily own real estate in Saudi Arabia and fulfil their aspirations for residential or investment properties by adhering to the guidelines and requirements outlined in this guide.

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