Publication
Saudi Arabia: Council of Ministers Approves Implementing Regulation of the Law on Real Estate Ownership by Non-Saudis
The Saudi Council of Ministers has approved the Implementing Regulation of the Law on Real Estate Ownership by Non-Saudis (Cabinet Decision No. 43/1448 H.). Non Saudi individuals, foreign companies and non-profit foreign entities may acquire real estate in the Kingdom, subject to registration requirements, The Law permits non-Saudis to acquire real estate in Saudi Arabia, subject to certain regulatory requirements and restrictions. The framework forms part of Saudi Arabia's broader efforts to facilitate foreign investment while maintaining regulatory oversight of the real estate market. ownership disclosure obligations and ongoing compliance duties. Transactions must be processed through an electronic portal operated by the Real Estate General Authority (REGA) and non-Saudi buyers in Riyadh, Jeddah, Makkah and Madinah are subject to a 2% fee in addition to the general 5% real estate transaction tax. Non-compliance may result in significant penalties of up to SAR 10 million.
You can access our legal briefing on the following link: