A Foreigners Complete Guide To Purchase/Buy Property In Saudi Arabia.
Guide To Buying And Registering Land in KSA, Or A Home
The following is a short guide to who can buy and register land or residential property as ex-pat foreign nationals in Saudi Arabia.
Exactly How Do Foreigners and Expats Buy Property In Saudi Arabia?
The following article will also show you how to locate a suitable property.
What should an ex-pat foreigner know about purchasing property in Saudi Arabia?
Prices are negotiated between buyer and seller or through real estate brokers or lawyers. Foreigners are allowed to own real estate but are subject to the approval of the licensing authority.
Foreign investors can purchase property for construction and investment, but this also requires prior authorization. Foreigners cannot own property in Mecca and Medina.
10 Steps To Owning Land Or Property In KSA For Ex-pat Foreign Nationals
- Research And Physically View Property or Land
- Have The Building Surveyed
- Negotiate And Finalize the Price
- Title Search, Very Important Step
- Get Approvals from the Interior Ministry and/or Ministry of Foreign Affairs. Apply Through the Absher app
- Apply For And Obtain Mortgage & Pre Approval
- Arrange Payment and Prepare Documents
- Register and Visit the Notary Public Office (Ministry of Justice)
- The signing of the Transfer of Deeds & Final Visit To the Notary Public Office
- Receive Title Deed In Your Name
Who Can Buy Property In Saudi Arabia?
Below is a list of persons and entities permitted the right to own or lease land or properties in Saudi Arabia
- Non-GCC ‘Resident Foreign Nationals’ can own or lease one residential home. However following rules apply
- They require permission from the Ministry of Interior.
- They cannot buy/lease property in Mecca & Madinah.
- They are permitted inheritance property in Madinah and Mecca.
- Gulf Cooperative Council (GCC) Nationals can buy or Lease 1 Residential Home/ Land, 3,000 m2 or less. Construction must complete within 3-5 years of the registration date, or the Saudi Government will impose penalties for the delay.
- Companies from the Gulf Cooperative Council (GCC) states can buy or lease land/buildings for business only. They are prohibited from owning or leasing property in Mecca & Madinah.
- Foreign Companies from non-GCC states can buy or lease (2 years renewable) property for and under the following conditions:
- Projects for employee housing, Must have a Foreign Investment License
- Require permission from the Ministry of Foreign Affairs
- $8 million, SR 30 million or more for the project
- Project to be completed within five years
- Buying/leasing Mecca & Madinah property is prohibited
- Foreign and GCC Companies can buy or lease (2 years renewable) property in Mecca and Medinah ONLY for
- Foreign Nationals holding Saudi Premium Residency can lease a single 3,000 m2 Residential Home/Land in Mecca or Madinah under Usufruct Rights for 99 years.
- Foreign Missions can buy or lease:
- embassy premises
- residences for embassy staff
- entities specified by the Saudi Council of Ministers
- Economic Cities. Foreign Nationals or Companies can buy or use the property for:
- Economic Cities. They Must Comply with the Board of Directors of the Economic Cities Authority rules
- Real Estate Investment Traded Funds (REITs)
- Non-resident foreign investors can trade units of REIT funds and shares.
- Generate 75% of income from the real estate project
- Pay 90% of earnings in dividends
- Contribute to National Transformation Plan and Saudi Vision 2030
- Have attractive diversified portfolios & give high dividends to Saudi investors