From Market Opening to Market Governance: Saudi Arabia’s Foreign Real Estate Framework

The context 

When Saudi Arabia approved the Real Estate Ownership Law by Non-Saudis in July 2025 (see our previous analysis here, which includes a history of real estate regulations in the Kingdom), attention naturally focused on the expansion of foreign ownership rights. Today, foreign individuals and companies can own residential, commercial, industrial, and tourism real estate across much of the Kingdom. Ownership is permitted within designated zones in Riyadh, Jeddah, Makkah, and Madinah, while much of the rest of the country is open without geographic restrictions. This month, the Real Estate General Authority (REGA), together with Saudi Properties, published implementation guidance providing greater clarity on how the new foreign ownership framework will operate in practice. While primarily intended as a practical resource for prospective investors, the guidance also provides useful insight into how Saudi Arabia intends to administer and oversee foreign participation in one of the Kingdom’s most strategically important sectors. 

The framework also sits within a broader ecosystem of supporting reforms. Alongside REGA’s executive regulation and implementation guidance, the Saudi Central Bank has introduced procedures enabling eligible non-resident investors to open Saudi bank accounts, while the Ministry of Interior has established a digital identity process for non-resident purchasers. Together, these measures reduce practical barriers to foreign investment while strengthening identity verification and regulatory oversight.