Saudi Arabia has taken a historic step by opening its real estate market to foreign buyers, permitting non-Saudis to purchase and invest in property across the Kingdom – including in the holy cities of Makkah and Madinah, subject to regulations that will be clarified by authorities.
The Real Estate General Authority (REGA) confirmed that the updated property ownership law applies to both individuals and companies from inside and outside the Kingdom. This marks a major shift for a country that has traditionally kept its real estate sector relatively restricted, especially in sensitive and religiously significant areas.
New framework designed to energize real estate market
As per REGA, the new framework is designed to energize the real estate market, improve the quality of projects, and create new job opportunities for Saudi citizens. Saudi Arabia is leaving no stone unturned to bring foreign investors and hopes to raise construction standards, introduce global best practices in urban design, and support its broader Vision 2030 plan to diversify the economy beyond oil.
Under the new law, foreigners will be able to purchase residential, commercial, and agricultural properties in areas approved by the Council of Ministers.
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The rules are being shaped around key principles such as
- Sound urban planning
- Economic stability
- Sustainable growth
So that investment provides the maximum benefits to cities and communities rather than creating speculation-driven bubbles.
This change comes at a time when Saudi Arabia is already transforming its skyline through massive mega-projects like NEOM, Qiddiya, and Red Sea Global. These developments are pitched as futuristic, environmentally conscious destinations that blend tourism, business, and high-tech living. Saudi opening ownership to foreign buyers will likely make these projects even more mesmerizing to the masses looking for
- Second homes
- Investment properties
- Long-term business bases in the region
REGA has said that more detailed guidelines – including which exact zones are open to foreign ownership, special conditions, and investment procedures – will be announced soon.
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This means interested buyers and investors will need to wait for the fine print, especially regarding rules in Makkah and Madinah, where religious sensitivities and existing regulations will still play a role.
For many Pakistanis, expatriates, and international investors, this policy shift is a game-changer. It offers a new way to participate in Saudi Arabia’s growth story, whether through buying apartments in new urban districts, investing in commercial projects, or acquiring land for agriculture and development.
Beyond economics, the decision also displays a clear signal: Saudi Arabia is opening its doors wider to the world. By allowing foreigners to own property, the Kingdom is not just building towers and cities – it is a way forward to invite people to become long-term stakeholders in its future.