Dubai: In a landmark policy shift, Saudi Arabia has announced that non-Saudis will be allowed to purchase real estate in designated zones of the Kingdom starting January 2026. The decision, approved by the Saudi Cabinet, represents a significant advancement in the country’s strategy to boost foreign direct investment and invigorate its property sector.
The newly sanctioned property ownership law was welcomed by Majed Al Hogail, Minister of Municipal and Rural Affairs and Housing, who also heads the Real Estate General Authority. He described the reform as a cornerstone of Saudi Arabia’s sweeping real estate transformation agenda.
“This legislation is designed to enhance housing availability, draw international investors and developers into the market, and strengthen Saudi Arabia’s appeal as a hub for global capital,” Al Hogail explained. He emphasized that the law incorporates robust legal and procedural safeguards to ensure the protection of Saudi nationals, including well-defined boundaries for foreign ownership.
Under the law, foreigners will be permitted to purchase properties in specific urban centers, notably Riyadh and Jeddah. However, access to property ownership in the religious cities of Mecca and Medina will be tightly regulated, with added layers of oversight and conditions.
The Real Estate General Authority has been tasked with mapping out the areas eligible for foreign investment and drafting the executive regulations governing the process. These detailed rules will be shared for public feedback through the “Istitlaa” platform within six months of the law’s official release. The regulatory framework will clarify application procedures, ownership eligibility, and compliance mechanisms striking a balance between development ambitions and social priorities.
The new property law complements existing legal provisions, including the Premium Residency system and the real estate ownership rights extended to citizens of Gulf Cooperation Council (GCC) member states. It is also in sync with Saudi Arabia’s ambitious Vision 2030 blueprint, which seeks to pivot the national economy away from oil dependency and position the Kingdom as a dynamic global investment destination.