Buying Property in Medina as a Foreigner in 2026 — KEC, Cheaper Zones, and the New Law Explained

The January 2026 law opened Medina to Muslim foreign buyers for the first time. Here's a plain-English breakdown of KEC, cheaper designated zones, prices, the Digital ID process, and what the law actually changed.

On January 21, 2026, Saudi Arabia’s Law of Real Estate Ownership by Non-Saudis came into force. For anyone interested in Medina property, this was the moment everyone had been waiting for.

Here is what actually changed, what it means for buyers at different price points, and the practical steps you need to take.

The One Rule That Did Not Change

Before anything else: non-Muslims still cannot own property in Medina. This is a hard boundary written into Saudi’s Basic Law and it was not touched by the 2026 legislation. If you are not Muslim, Medina is closed to you regardless of zone, residency status, or nationality. The nearest open city is Yanbu (220km) or Jeddah (420km).

For Muslim buyers — resident or not — everything below applies to you.

What the January 2026 Law Actually Changed

Three things shifted significantly:

1. Medina opened for Muslim foreigners. For the first time, non-Saudi Muslims can legally purchase and receive a title deed for property in Medina — within government-designated zones. Knowledge Economic City (KEC) was the first zone activated.

2. Freehold rights are now possible. Previously, foreigners were limited to leasehold arrangements. The 2026 law introduces freehold title deeds in designated zones — meaning you can own permanently, sell freely, and pass to heirs.

3. Everything goes through one portal. The Saudi Properties platform (aqar.rega.gov.sa) is now the mandatory gateway for all foreign property transactions. Verify before you pay. Any transaction that happens outside the portal is illegal.

Knowledge Economic City (KEC): The Premium Option

KEC is a gated community 5km from the Prophet’s Mosque with a direct BRT shuttle to the Haram and Haramain High-Speed Rail access.

Current prices (Al Aliyad block):

3-bedroom apartment: ~~SAR 2.5M (~~$665,000)
4-bedroom penthouse: SAR 3.8–4M (~$1M+)
Price per sqm: ~~SAR 15,000 (~~$4,000)

Payment plan: 20% booking deposit (Wafi escrow protected) → 15% → then 15% quarterly installments to handover.

Taxes: KEC operates under a special economic zone framework — buyers have reported 10% RETT + 1% Economic City fee at handover, not the standard 5%. Budget 12–13% in total closing costs.

Investment case: Short-term rental yields near the Prophet’s Mosque are among the highest in any Muslim-majority market. Conservative developer estimates are 10–20% ROI, driven by year-round Umrah traffic and the Hajj season peak.

Saudi Premium Residency: Investing SAR 4M+ in ready-made property can qualify for Premium Residency — unlimited Saudi entry/exit, business ownership without a Saudi partner, family sponsorship.

Full KEC guide →

Cheaper Designated Zones — What Exists and What Is Coming

KEC at $665k for a 3-bed is not for everyone. Here is where the more affordable options sit:

Zone	Developer	3-Bed Price (USD)	Status
Al-Ranouna	National Housing Company (NHC)	$88k–$115k	Phasing in
Al-Hadra / Al-Jamawat	Al Majidia	$120k–$155k	Phasing in
KEC	KEC Development	$665k+	Open

The average price per sqm across Medina for 2026 is approximately SAR 3,485 (~$930) — compared to KEC’s SAR 15,000. This shows how much premium KEC commands for its location and legal certainty.

The catch: NHC and Al Majidia projects are being added to the designated zone list in phases through 2026. Not every project by these developers is yet designated. You must verify each specific project on the portal before committing.

Al Majidia (almajdiah.com) builds modern mid-range buildings in Al-Jamawat and Al-Ranouna. Popular and well-regarded. Typical reservation fee is non-refundable (~SAR 20,000), unlike KEC’s refundable model.

NHC (nhc.sa / sakani.sa) is government-backed and the cheapest institutional option. Log into Sakani with your Digital ID to see which specific NHC units are flagged as eligible for non-Saudis.

How to Get Your Digital ID Without Traveling to Saudi Arabia

This is the most common question. The answer is: you can do it remotely, but there is one unavoidable step.

You need a Saudi mobile number. The Absher and property portal systems send OTP codes to a +966 number for every transaction. There is no workaround in the system.

The practical solution: Buy a Saudi eSIM online from Mobily or STC for ~$15–30. Ensure it explicitly supports receiving SMS (not just data) while roaming internationally.

Then the process:

Retrieve your Border Number at absher.sa (Query Border Number service, using your visa number)
Register on absher.sa with your Border Number and Saudi number
Book a biometric appointment at your nearest Saudi Embassy for activation
Register a National Address at splonline.com.sa
Access the Saudi Properties portal at aqar.rega.gov.sa

Total time: 2–4 weeks if starting from scratch.

Full step-by-step Absher guide →

The Verification Rule — One Non-Negotiable Step

Before paying any deposit to any developer:

Ask for the Property Deed Number
Check it on aqar.rega.gov.sa
Green zone = legal. Grey zone = blocked.

If a developer will not give you the Deed Number, or asks you to pay outside the portal, stop. Fines for illegal transactions under the 2026 law reach SAR 10 million (~$2.6M).

KEC is the only current option where you do not need to run this check first — it is pre-approved and the sales process goes through the portal automatically.

Summary: Which Option is Right for You?

Situation	Recommendation
Muslim non-resident, budget $100k–$160k	Al Majidia or NHC — verify portal before paying
Muslim non-resident, budget $400k–$700k	KEC Al Aliyad — most legally straightforward
Considering Saudi Premium Residency	KEC 4-bed or verify NHC if threshold changes
Non-Muslim	Medina is closed — see Yanbu or Jeddah

The market is moving fast. Budget NHC units in new designated zones have been selling out quickly after portal approval. If you are serious, get your Digital ID set up now rather than after you find the property you want.

All information is based on the January 2026 law and developer announcements as of April 2026. Verify all details directly with REGA and developers before making any financial commitment.