Officially: Real Estate Authority Enforces Non-Saudi Ownership Law - Your Comprehensive Guide

Investors have waited for this moment for months, specifically since the announcement of the legislative approval in mid-2025. Today, it is no longer just ink on paper or future plans; it has become a reality, as the General Authority for Real Estate officially announced the entry into force of the "Law of Real Estate Ownership by Non-Saudis," opening a new chapter in the history of the Saudi real estate market.

Starting from January 22, 2026, the investment rules in the Kingdom have changed. The new system is not just a minor amendment, but a complete re-engineering of the mechanism for foreign capital entry into Saudi real estate, with fully digital procedures via the "Saudi Properties" portal.

In this detailed analysis from Skyline Holding, we put everything you need to know in your hands: from the application steps for each category to the details of the anticipated geographic scope, and how to seize the opportunity before competition rises.

What Changed? Official Entry into Force

The General Authority for Real Estate confirmed that the law has actually entered into force as of Thursday, January 22, 2026. This means the page of the old system has been turned, and the new rules are now the sole legal reference for any foreigner (resident or non-resident) wishing to purchase real estate in Saudi Arabia.

The clear goal of this move is to enhance competitiveness and transparency, and to raise the attractiveness of the Saudi market for foreign developers and individuals looking for long-term stability or rewarding investment returns, in line with Vision 2030.

Beneficiary Categories and the New Application Mechanism

Perhaps the most distinguishing feature of the new system is the clarity in classifying beneficiaries. There is no longer a "grey area," as the Authority has defined three main categories and mapped out a specific digital path for each via the official portal:

1. Residents Inside the Kingdom

If you are a resident in Saudi Arabia holding a valid legal residency (Iqama), the matter has become extremely easy. You can apply directly via the "Saudi Properties" portal using your residency number. The system performs an immediate automated check for meeting regulatory requirements, which cuts out a long time of previous paperwork procedures.

2. Non-Residents (Individuals from Outside the Kingdom)

For the first time, the path has become clear for the individual investor living outside Saudi Arabia. The first step begins at Saudi missions and embassies in your country to issue a "Digital ID." Once you obtain this ID, you can access the portal and complete the ownership request electronically without the need for physical presence in the initial stages.

3. Companies and Non-Saudi Entities

For foreign companies that do not have headquarters in the Kingdom, the path begins via the Ministry of Investment ("Invest in Saudi" platform) to obtain the Unified Number (700). After this step, the company can complete ownership procedures via the Real Estate Authority's portal.

Geographic Scope: What About Makkah and Madinah?

The most sensitive and important point for every investor is: Where can I buy?

The Authority clarified that the law allows ownership in various regions of the Kingdom (Riyadh, Jeddah, and others), but sets special controls for the two Holy Cities:

• Makkah and Madinah: The rule remains that ownership is restricted to Saudis, with specific exceptions for Saudi companies and Muslim individuals (often under a usufruct system or according to special controls to be detailed).
• Geographic Zones Document: The Authority announced that it will issue a detailed document (maps and precise areas) during the first quarter of 2026. This document will be the compass that accurately defines the permitted neighborhoods and the type of ownership (freehold or usufruct) in each region.

For more on the legal background of this system, you can review our previous analysis on the details of the new law and requirements to understand the basic legislative structure.

"Saudi Properties" Portal: Your Digital Window

The "Saudi Properties" portal is considered the official and sole platform for executing these operations. The portal has been linked to the "Real Estate Registry" system, ensuring:

1. Transparency of prices and data.
2. Ownership Protection: Once registered, ownership becomes final and protected by the force of law.
3. Speed of Procedures: Reducing human intervention and relying on automation.

Skyline Holding's View: How to Benefit from the Decision Now?

At Skyline Holding, we see that the entry of the system into force will create a new wave of demand, especially in Riyadh and Jeddah. However, enthusiasm alone is not enough. Here is how we help you make a studied decision:

• Pre-empting Price Hikes: With the entry of foreign investors, permitted areas may witness a rise in asset values. We help you identify areas that still retain fair prices and are capable of growth.
• Legal Due Diligence: Despite the ease of the digital system, choosing a property that complies with requirements (especially before the issuance of the final zones document in Q1) requires expertise. Our team ensures that the property you choose lies within investment-safe areas.
• Return Analysis: Do not buy just for the sake of ownership. We analyze the expected return for you, whether from leasing or resale, based on current market data which showed a slight decline in the fourth quarter of 2025, which may constitute a golden opportunity to buy at the "bottom" before the expected rise.

Why Invest in Saudi Arabia Now?

The timing of the law's enforcement in 2026 is not random. The Saudi market is going through a stage of unprecedented maturity, supported by major projects whose features have begun to take shape on the ground. Furthermore, the rise in building permits recently indicates that real estate supply will diversify to include luxury and modern options that suit global tastes.

Our advice to the serious investor: Start preparing your papers now. Whether you need to issue a Digital ID or a Unified Number, starting administrative procedures today makes you ready to seize opportunities immediately upon the issuance of the geographic zones document.

Remember that the real estate market does not wait for the hesitant. If you are planning to diversify your investment portfolio and own a real estate asset in the fastest-growing economies, Skyline Holding is ready to be your partner and trusted advisor on this journey, from choosing the property to receiving the title deed.