Apartments for sale in Saudi Arabia: prices, districts, yields and risks

If you are searching for apartments for sale in Saudi Arabia, the first thing to know is that 2026 is the first year when a foreigner can legally buy one, and only within designated zones. The second is that published price and yield numbers are patchy and sometimes contradict each other. This guide gives the ranges we could find, explains why they differ, and tells you how to choose without leaning on a single optimistic figure. Data checked in October 2026. For the legal side (who may buy, the fees, residency) see our separate guide to buying property in Saudi Arabia as a foreigner.

Two cities that matter

Almost everything a foreign buyer can realistically look at is in Riyadh and Jeddah. The official zone map reported in August 2026 lists 9 zones in Riyadh and 57 in Jeddah, plus 17 in AlUla. The two big cities are different markets.

Riyadh is the capital and the corporate centre, with the fastest rise in prices of recent years. Jeddah is the port and the commercial city on the Red Sea, cheaper per square metre and more varied in what it offers. Both have a young and growing population, which is the core of the investment argument, but you buy a specific building, not a city.

Price levels

Price per square metre is the number most people quote, and it varies with the source.

• Riyadh: apartment prices of about SAR 6,200 per square metre were reported for the first quarter of 2026, up 3.7% on the year. At the riyal's fixed rate of 3.75 to the dollar that is roughly 1,650 dollars per square metre.
• Jeddah: an earlier data point put apartments at SAR 4,360 per square metre, up 1.6%, about 1,160 dollars. A report on the first quarter of 2026 described around 5,800 transactions and a 1.9% annual rise.
• A listing portal, Raghdan, shows lower averages of about SAR 3,535 in Riyadh and SAR 3,239 in Jeddah per square metre across all property types, and the most expensive district in each city is nearly three times the average.

These numbers are not comparable. They use different samples, different dates and different property types. The sensible reading is that a mid-range new apartment in Riyadh costs several thousand riyals per square metre, Jeddah is cheaper, and prime districts are far above the average. Always compare actual listings in the same district and building class.

What yields are quoted, and why to be careful

Published gross yields are wide.

• Riyadh: figures from about 5.8% to 8.9% a year, depending on the source and method.
• Jeddah: around 7.9%.
• The same sources contradict themselves at the level of individual flats. One lists a one-bedroom in Riyadh at a little over 3% and a three-bedroom at about 7.2%, and a two-bedroom in Jeddah above 10%. A spread like that signals thin or unrepresentative data.

These are gross figures, before agent fees, maintenance and taxes. Global Property Guide puts net returns roughly 1.5 to 2 percentage points below gross. If you are a non-resident individual, rent is reported to face a 5% withholding tax on gross rent, which we could not confirm from a primary source. Add the entry costs (the 5% transaction tax and the fee for non-Saudis, currently reported at 2%) and a realistic net yield for an average apartment is meaningfully lower than the headline. Run your own calculation on actual rents for the specific building rather than trusting a city average.

One more point: Riyadh has a five-year rent freeze from September 2025, covering existing and new leases, and rents are fixed until 2030. It protects tenants and caps your income growth there, while Jeddah is not covered. If your plan relies on rising rents in Riyadh, the freeze is a direct constraint.

Where to look

We cannot give you a list of eligible addresses, because eligibility is set by the official zone map and not by district reputation. A workable approach:

• Start from the REGA map and shortlist buildings inside the zones.
• Within a zone, prefer completed buildings with a history of tenants over a promise on paper.
• Look at distance to employers, universities, metro or planned transport, and services, since renters pay for convenience.
• In Jeddah, compare coastal and central areas separately, because they behave differently.

How to choose a specific apartment

1. Zone status in writing. The seller or developer should confirm that the plot is inside an approved zone, and your lawyer should check it independently. 2. Title and encumbrances. A clean registry entry, no liens and no disputes. 3. Completed or off-plan. A finished apartment can be inspected and rented immediately. Off-plan needs the developer's licence, an escrow arrangement and a track record of delivery. 4. Real rents. Ask for current lease contracts in the same building, not the developer's forecast. 5. Service charges and building quality. Maintenance and management fees eat yield, and a poorly managed building loses value. 6. Exit. Think about who your buyer will be in five or ten years, given the fee payable on sale and the small pool of foreign purchasers.

Costs on top of the price

Budget for the 5% real estate transaction tax, which is generally paid by the seller but can be passed to the buyer by contract, the disposal fee for non-Saudis (currently reported at 2%, with a ceiling of 5% and the final rates described as draft), registration of SAR 1,600 for an ordinary transfer, and agent commission of up to 2.5%. CBRE and Gulf News describe the total of taxes and fees for foreign ownership as up to 10%. Agree in writing who pays what before you sign.

Risks specific to a foreign buyer

• Buying outside a zone. The most expensive mistake, and the one a buyer can prevent by checking the map.
• A young market. The law took effect in 2026, and we could not confirm how many foreign purchases have closed. Procedures, fees and the map may change.
• Penalties for inaccurate information. Reports mention fines up to SAR 10 million and public auction of property bought on false data.
• Exit friction. A fee on sale and a narrow buyer pool make this a long-term holding, not a quick flip.
• Rent freeze in Riyadh until 2030.
• Currency. The riyal is pegged to the dollar, so a dollar investor has little exchange risk, while a buyer who earns in euros or zloty carries it.
• Financing. Mortgages for foreign residents are quoted from about 4.1% to just under 5%, but a non-resident should not assume the same terms.

Who this fits and who it does not

It suits a long-term investor who can pay in cash, accepts limited liquidity, and has a lawyer on the ground. It does not suit someone who needs quick resale, a guaranteed income, or a low-cost route to residency. The Premium Residency route for real-estate owners reportedly requires property worth at least SAR 4 million with no mortgage, so it is not a small-budget route.

We can screen specific projects against these checks and reply within 24 hours; the first review is free. Laws, fees and the zone map change, so confirm the current rules with a licensed Saudi lawyer before paying a deposit.