Buying Property in Medina as a Foreigner — January 2026 Law Update

What Changed in January 2026

On January 21, 2026, Saudi Arabia’s new Law of Real Estate Ownership by Non-Saudis came into effect. For Medina specifically, this was a landmark change:

Before January 2026: Foreign ownership in Medina was effectively impossible for non-Saudi nationals in practice.

After January 2026: Muslim foreigners can now purchase freehold property within REGA-designated zones in Medina. The Islamic holy city restriction on non-Muslims remains unchanged.

The Two Rules That Never Change

Regardless of designated zones or new laws, these two restrictions are permanent:

1. Non-Muslims cannot own property in Medina — at all, in any zone, under any circumstances
2. Iqama holders’ “one residence” exception does not apply to Medina — unlike other Saudi cities, even residents cannot buy outside designated zones in Medina

If you are a non-Muslim, the nearest open city is Yanbu → (220km) or Jeddah → (420km).

Who Can Buy in Medina (2026)

Current Designated Zones in Medina

Knowledge Economic City (KEC) — The Premier Zone

KEC is a national flagship gated community development and currently the most established foreign ownership zone in Medina.

• Location: 5km from Masjid Al-Nabawi (the Prophet’s Mosque)
• Transport: Direct BRT shuttle + Haramain High-Speed Rail connection
• Current offering: Al Aliyad residential block — 2, 3, and 4-bedroom apartments and penthouses
• Prices: SAR 15,000/sqm ($4,000/sqm) · 3-bed from SAR 2.5M ($665,000) · 4-bed penthouses SAR 3.8–4M
• Booking: 20% deposit required · Escrow-protected (Wafi government account)
• Payment plan: 20% booking → 15% in following months → 15% every 3 months to handover

See the full KEC guide →

Budget Designated Zones (Phase-In Through 2026)

The following areas are being added to the REGA designated zone list in phases. Always verify current status on the portal before proceeding.

Al-Ranouna (Southern Cluster)

Home to National Housing Company (NHC) projects — the government’s affordable housing developer.

Al-Hadra / Al-Jamawat (Western Cluster)

Home to Al Majidia — the most popular mid-range private developer.

Al-Iskan (Central-South)

Older but spacious units cleared for foreign resale. Best value per sqm in terms of living space.

Price Comparison: All Foreign-Eligible Zones

All prices exclude 5% RETT and closing costs (~10–11% total transaction cost).

Freehold vs Leasehold — What You Actually Own

Freehold (what you want):

• You own the property and the land permanently — no expiry date
• Registered in your name with the Ministry of Justice (صك الملكية — title deed)
• You can sell, rent, or pass to heirs

Leasehold (older model, now being replaced):

• You have the right to use the property for a fixed period (e.g., 99 years)
• You do not own the land
• When the lease ends, the property reverts to the landowner

KEC’s position: Current sales are structured as 99-year leases but the developer has committed to converting to freehold when regulations allow. The 2026 law is expected to formalize freehold rights. Verify with KEC directly before signing.

NHC and Al Majidia: For projects with full designated zone status, freehold title deeds can now be issued under the 2026 law.

How to Verify Before You Pay Anything

The official verification portal is aqar.rega.gov.sa (Saudi Properties Platform). Never send money to any developer before completing this check.

Steps:

1. Log in with your Digital ID (see Digital ID guide below)
2. Select “Request for Non-Saudi Real Estate Ownership”
3. Enter the Property Deed Number — ask the developer for this, and if they refuse, walk away
4. Check the Geographic Zone Map: Green = approved for foreign freehold · Grey = Saudi nationals only
5. The system blocks illegal transfers automatically

Key rule: If a developer asks for payment outside this portal or via cash/private transfer, it is likely fraudulent. Fines for illegal property transactions reach SAR 10 million (~$2.6 million) under the 2026 law.

How to Get Your Digital ID (Absher) from Outside Saudi Arabia

A Digital ID is required to use the Saudi Properties portal and receive your title deed. You do not need to be inside Saudi Arabia.

1. Get your Border Number

• If you’ve visited Saudi Arabia, it’s on your visa page
• Or retrieve it at absher.sa → Public Services → Query Border Number

2. Register on Absher (absher.sa)

• Create account using your Border Number
• You need a Saudi mobile number for the verification SMS

3. Get a Saudi mobile number without traveling

• Buy a Saudi eSIM online from Mobily, STC, or providers like Umrahme (~$15–30)
• Ensure it supports receiving SMS while roaming

4. Activate your Digital ID

• Visit your nearest Saudi Embassy for biometric activation
• Or activate via an Absher self-service kiosk if you travel to Saudi Arabia

Full Absher guide →

Closing Costs Budget

Verify KEC’s tax rate directly — it operates under a special economic city framework that may differ from the standard 5% RETT.

Saudi Premium Residency via Property

Investing SAR 4 million+ in ready-made property can qualify buyers for Saudi Premium Residency:

• Unlimited entry and exit from Saudi Arabia
• Right to own businesses without a Saudi national partner
• Ability to sponsor family members including parents
• No need for a sponsor (kafeel)

Speculation (not confirmed): The SAR 4M threshold may be lowered and expanded to include off-plan properties in future announcements. Monitor rega.gov.sa for updates.

Nearest Open Cities for Non-Muslim Buyers

Related: KEC Medina full guide → · Mecca restrictions → · Digital ID guide → · January 2026 law update →