What Changed in Saudi Arabia's Property Law for Foreigners in 2024

A summary of the key 2024 amendments to Saudi Arabia's foreign property ownership regulations — what expanded, what was clarified, and what it means for buyers.

Saudi Arabia’s foreign property ownership law continued to evolve in 2024. Here are the material changes that affect foreign buyers.

1. Designated Zone Expansion

REGA expanded the list of designated zones in Q2 and Q4 2024. Notable additions included additional districts in northern Riyadh and extended coastal zones in Jeddah. This opens more properties to foreign purchase without the previous zone limitation.

What it means: More properties in prime locations are now eligible for foreign ownership. If a property you were previously told was outside a zone — verify again, as the boundaries may have shifted.

2. Streamlined Approval for Smaller Purchases

The amended implementing regulations introduced a streamlined approval pathway for non-resident foreign buyers purchasing residential properties below SAR 2 million in Tier 1 cities (Riyadh, Jeddah, Dammam, Khobar). Previously, all non-resident buyers required the same approval process regardless of transaction size.

What it means: Faster transaction timelines for entry-to-mid-market buyers. The simplified process reduces the administrative burden significantly.

3. Stronger Off-Plan Escrow Protection

Following several high-profile off-plan project delays, REGA tightened escrow requirements for developers. All new project launches must now:

Register escrow accounts with REGA before marketing begins
Provide quarterly construction progress reports
Meet minimum completion milestones before drawing down escrow funds

What it means: Greater protection for foreign buyers of off-plan properties. If a developer fails to meet milestones, escrow funds are protected and can be returned to buyers.

4. English-Language REGA Portal

REGA completed the English-language implementation of its official portal in 2024. Foreign buyers can now verify zone status, check developer licences, and track applications entirely in English.

What it means: A practical quality-of-life improvement for non-Arabic-speaking buyers — you no longer need a translator just to do basic verification.

What Hasn’t Changed

The 5% Real Estate Transaction Tax remains unchanged
Mecca and Medina restrictions for non-Muslim buyers remain in place
Agricultural land prohibition remains in place
No annual property tax has been introduced

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