Non-Saudi ownership of real estate in Saudi Arabia — and how to invest partially From 500 riyals via مداك
A new system is opening the Saudi real estate market to non-Saudi individuals, companies, and funds within specific geographic areas. At مداك, we offer a simpler way to participate in income-generating real estate opportunities through documented fractional ownership—without purchasing the entire property.
What is the system for non-Saudis to own real estate?
In July 2025, the Cabinet approved the updated system for non-Saudi property ownership, which was published in the Official Gazette and entered into force in January 2026. In June 2026, the Cabinet approved the system's implementing regulations and the document specifying the geographical areas where ownership is permitted. This system replaces the previous 2000 system, aligning with the objectives of Saudi Vision 2030 to attract foreign investment and develop the real estate market.
"Defined Scopes" Framework«
Non-Saudis are permitted to own and acquire real property rights within specific geographical areas as determined by a Cabinet decision, according to official maps that show the boundaries and regulations.
A broad definition of "non-Saudi"«
It ranges from resident and non-resident individuals to companies, funds, organizations and diplomatic missions — each category is detailed in the following section.
In line with Vision 2030
It aims to enhance investment attractiveness, improve the efficiency of the real estate market, increase liquidity, and support urban development in major cities.
Who is a "non-Saudi" who is entitled to own property?
The system defined "non-Saudi" broadly, with specific rules for each category:
Resident individuals
A legal resident may own property within the specified zones, in addition to owning one residential property for his own residence outside those zones.
Non-resident individuals
The executive regulations specify the requirements for applying the provisions of the system to non-Saudis who are not residents in the Kingdom, and the procedures for their acquisition of real rights.
Companies and funds
Listed and unlisted companies and licensed investment funds have the right to own the real estate necessary for their business and for housing their employees, in compliance with the regulations of the Capital Market Authority where applicable.
diplomatic missions
Missions and international organizations may own premises for official use with the approval of the Ministry of Foreign Affairs and in accordance with the principle of reciprocity.
Geographical areas where ownership is permitted
According to the General Authority for Real Estate, the geographical zones document includes locations in Riyadh, Jeddah, Mecca, and Medina, and extends to cover other cities and governorates in the Kingdom. The document includes detailed maps illustrating for each zone: the permitted ownership percentages, types of acquired rights, grace periods, and associated regulations.
alert: The precise boundaries of each zone and the permitted ownership percentages are determined by Cabinet decisions and published on the official maps of the General Authority for Real Estate. Eligibility varies from site to site, and it is always advisable to verify the zone at the plot level before making any decisions. The مداك team handles this verification on behalf of its investors for every opportunity offered.
Five elements are defined by the Cabinet's decision for each scope.
Ownership is not left open-ended; rather, it is regulated by an official decision that specifies each area:
1. Geographical scope
The location where ownership or acquisition of real rights is permitted.
2. Types of rights
Real rights that may be acquired within the scope.
3. Maximum ownership limit
The highest ownership percentage allowed for non-Saudis.
4. Duration of use
The maximum period for acquiring the right of usufruct.
5. Additional controls
Any other requirements relating to ownership or acquisition of rights.
Types of real estate rights that a non-Saudi can acquire
| Right | Description | Suitable for |
|---|---|---|
| full ownership | Full ownership of the property within the permitted limits. | Long-term investment and housing |
| usufruct | The right to use and benefit from the property for a specified period without owning the property itself. | Temporary use and operation |
| Long-term lease | Extended lease agreements grant stable usufruct rights. | Business activities |
| Easements and other real rights | Subordinate rights related to the property are transferable according to regulations. | Special cases |
All these rights are subject to the limits of ratios and periods determined by the Cabinet for each scope, and are not enforceable except after they are registered in the National Real Estate Registry.
Mecca and Medina
The system preserved the privacy of the two holy mosques, so the rules of ownership in them were narrower and subject to specific conditions:
Individuals
Non-Saudi Muslim individuals are permitted to acquire limited ownership and rights within designated areas in Mecca and Medina, according to conditions detailed in the regulations and in a manner that respects the sanctity of the place.
companies
Companies in whose capital a non-Saudi owns property may own real estate or acquire real rights within the specified area, including Mecca and Medina, in accordance with the provisions of the system and regulations.
What should a non-Saudi investor know?
Actual drawing ≤ 5%
The Authority shall collect a fee on the value of a non-Saudi's disposal of real rights, not exceeding 51 TP4T of the value, without prejudice to any other fees or taxes stipulated by law. The regulations shall specify the cases subject to a zero percent fee.
Registration is mandatory
The acquisition of the right is not effective until it is registered in the National Real Estate Registry with the competent authority — which protects the investor's rights and proves his commitment to the system.
Violations and penalties
Fines can reach 10 million riyals for each violation, and a forced sale may be ordered in cases of property acquisition based on misleading information or in prohibited circumstances, with the right to appeal to the Administrative Court within 60 days.
Supervision and control
A specialized committee within the General Authority for Real Estate is responsible for investigating violations and imposing penalties, thus providing an organized and safe environment for investors.
How to invest in Saudi real estate through مداك — fractional ownership
Purchasing an entire property requires significant capital and involves ownership, registration, and management procedures. مداك offers an alternative: Ownership Documented partial share In an income-generating property, start from just 500 riyals, and leave the operation and management to us.
Real estate investment with shares — through simplified procedures
- From 500 riyals: Enter a real estate market that was once the preserve of major investors.
- Documented share: A registered ownership certificate proving your share in the real estate asset.
- My role was: Distributions from property rentals are transferred to your portfolio.
- Exit windows: Opportunities to sell your share without waiting for the entire property to be sold.
- Secure opportunities: Every property undergoes a check of the title deed, return, and fair price before being offered for sale.
For non-Saudi investors: مداك operates within the experimental legislative environment of the General Authority for Real Estate, and eligibility for participation and its conditions are subject to the platform's policy and regulatory requirements. Register your interest and we will explain your available options.
Direct ownership versus fractional ownership via مداك
| Standard | Buying a complete property | Partial ownership via مداك |
|---|---|---|
| Required capital | Very high (often millions of riyals) | From 500 riyals |
| Diversification | One origin | Shares in several properties |
| Management and Operation | On the owner | It is handled by the مداك team. |
| Liquidity | Low price — selling the entire property | Exit windows for classes |
| Feasibility study and instrument | On the buyer | Pre-arranged before submission |
| Documentation | Full title deed | Certificate of ownership of a share (notarized) |
Frequently asked questions about non-Saudi ownership and investment through مداك
When did the system allowing non-Saudis to own real estate come into effect?
Where are non-Saudis allowed to own property?
Can a non-Muslim own property in Mecca and Medina?
What are the fees for non-Saudi ownership?
How can I invest in real estate without buying an entire property?
Can non-Saudis invest through مداك?
Is my investment in مداك documented and legitimate?
The Saudi real estate market is opening its doors — and you can start from 500 riyals.
Whether you are a Saudi or non-Saudi investor pursuing opportunities in the Kingdom, مداك provides you with a documented and simplified path to income-generating fractional real estate ownership.