Saudi Arabia real estate market — prices, rental yield and trend
- Transaction cost: 9%
Saudi Arabia is one of the 123 property markets Glopra tracks.
What a buyer pays in Saudi Arabia
Buying costs — transfer tax or stamp duty, notary, registration and agency — come to about 9% of the price here. That is below the 10.2% median across the set, which shortens the time it takes for a purchase to break even.
What it earns
We do not publish a price or a rental yield for Saudi Arabia. The public data for this market is limited to index figures that show change over time but no absolute level, and we would rather show nothing than a number we cannot stand behind.
How the tax works. 5%: Saudi Arabia has no personal income tax, and for a non-resident without a permanent establishment rent is subject to a 5% withholding on the gross amount (Income Tax Law art. 68(a)(3)) — not the 20% that applies to management fees. The upper end of 20% covers property held through a local company, or an owner that ZATCA treats as having a permanent establishment. Direct foreign ownership has been permitted since 21 January 2026. Confidence is low: the collection mechanism and the permanent-establishment risk are not settled. The 5% real-estate transaction tax is a sales tax and is not included. Source: ClearTax KSA / KPMG.
Who can buy in Saudi Arabia
Opening from 2026, designated zones only; Mecca and Medina excluded. That is the rule a foreign buyer meets first, not legal advice — check the current position locally before you commit.
Sources: GASTAT REPI Q2-26 via Arab News · arabnews.com · globalpropertyguide.com · numbeo.com. Snapshot: 2026-09-13.
Latest Saudi Arabia market analysis
- Saudi Arabia Caps Guest Stays at 29 Days Under Its New Short-Let Licence — 2026-09-13
- Riyadh Reopens Its Land Programme With a SR1,500 per Square Metre Price Ceiling — 2026-08-20
Related markets: Riyadh