Saudi Arabia: serving expat and cross-border buyers

Saudi Arabia opened real estate ownership to foreigners under a law that came into force on 21 January 2026, and the rules around it kept moving through the summer. For an agency the first job is no longer to ask whether a foreigner may buy, but where, in what capacity and through which channel. This briefing is for agencies and developers.

What the law says, in outline

The Law of Real Estate Ownership by Non-Saudis was published in the official gazette in July 2025 and took effect 180 days later, replacing the 2000 regime. King & Spalding summarises it in its note on the new law.

• Non-Saudis include foreign individuals, foreign companies and foreign non-profit entities. A Saudi company whose shares are not listed is, for this purpose, not treated as a non-Saudi.
• A foreign individual who is legally resident in the Kingdom may acquire one residential property outside the designated zones.
• Non-residents may own only inside geographical zones set by the Council of Ministers on proposals from the Real Estate General Authority, called REGA, with permitted rights and ownership limits stated for each zone.
• Registration in the real estate registry is a condition for validity: transactions that are not registered are not legally effective.
• REGA is the competent authority.

Residents and non-residents are different files

The first question to put to a buyer is where they live. A resident has a route outside the zones for one home. A non-resident is limited to the zones. In the reports we read, a non-resident individual must first have three things.

• a digital identity obtained through a Saudi embassy or consulate
• a bank account in the Kingdom in their own name
• a Saudi mobile number linked to that identity

Foreign companies are described as needing registration with the investment ministry, disclosure of direct and indirect owners, a bank account and a representative in the Kingdom. Tell buyers early: these steps take time and cannot be skipped.

Zones: sell by zone, not by city

In June 2026 the Council of Ministers approved the executive regulation together with the zones, according to two law-firm summaries. One news analysis counts nine named zones in Riyadh and 56 in Jeddah, among them well-known master developments. Another summary lists giga-projects and economic zones. Treat these as examples and check the official map before you show a property. Ownership rights vary: full ownership in some zones, other rights such as usufruct in others, depending on the zone and the buyer category.

Makkah and Madinah

Property in Makkah and Madinah remains restricted, and sources describe the restriction as religious in nature. Reports differ on who may own there and on what terms: they mention Muslim individuals, Saudi companies with caps on foreign shareholding, and the exclusion of foreign companies. Do not tell any buyer that they can acquire in the two holy cities until Saudi counsel has confirmed it for that buyer.

What to collect from the buyer

• a valid passport and, for a resident, the residence permit
• the digital identity, the Saudi bank account details and the mobile number once the buyer has them
• the source of funds, in documents a Saudi bank will accept
• for a company buyer, the registration documents and every direct and indirect owner
• confirmation of the zone and of the right being acquired
• a clear statement of the purpose of the purchase and whether the buyer will live in the property

Your own licence and compliance duties

Brokerage in Saudi Arabia needs a licence from REGA under the Real Estate Brokerage Law. REGA's own anti-money-laundering guide for brokers says that brokers are subject to the money-laundering law and its implementing regulations, which require customer due diligence, reporting of suspicious transactions and a refusal to deal with anonymous customers. The guide expects a risk assessment, written policies, a compliance officer and staff training, and says records must be kept for at least ten years. It also says that brokers must comply with both United Nations and national targeted financial sanctions. You can read it as REGA's compliance guide for brokers.

The guide lists red flags that fit cross-border files: complex ownership structures that hide the real owner, attempts to pay large sums in cash or in other high-value items, and renovation paid with funds that do not match the customer's profile. We did not find numeric thresholds. Ask REGA or a Saudi lawyer.

Sanctions screening, done properly

Screen the buyer, any beneficial owner and any third party who pays against the lists your bank, your lawyer and REGA require, including the UN and Saudi national lists. Keep a dated record. If a red flag appears, stop, take legal advice and report through the channel REGA describes. Never advise a client how to avoid a check.

Expat and Russian-speaking buyers

Many buyers who ask about Saudi property live outside it and hold a passport that is not the one they live under. Nationality is not a reason to refuse a file and not a reason to skip a check. Run the same documents and the same screening for everyone, and tell the buyer that the Saudi digital identity and bank account are mandatory for a non-resident.

What to do with this

• ask where the buyer lives and in what capacity they want to buy before you propose a property
• sell by zone and check the official zone map
• never suggest ownership in Makkah or Madinah without Saudi counsel
• keep a dated record of identification and sanctions checks for at least the period REGA sets
• tell non-residents that the digital identity, bank account and phone number come first

For the money and registration side, read our briefing on payments and closing in Saudi Arabia.

Working with D.H. Realting

D.H. Realting is a trilingual (Russian, English, Polish) overseas-property platform. We introduce buyers, including expats and cross-border buyers, and support the process. Agencies that handle the deal locally and want to be introduced to such buyers can contact us through our partners page.

This briefing is informational only and is not legal, tax or investment advice. Facts were checked on 12 October 2026 from the sources named in the text; rules change, so confirm with a local lawyer before relying on any point.