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tarting in January 2026, Saudi Arabia will lift restrictions on foreign property ownership, allowing global investors to buy and own real estate in designated zones. This move is part of the kingdom's efforts to attract more foreign investment and support ambitious mega projects like Neom's The Line and Diriyah.

    The new "Law of Real Estate Ownership and Investment by Non-Saudis" was approved in July and will open up opportunities for investors, banks, and institutions to back Saudi Arabia's growth plans. The designated areas include Riyadh and Jeddah, while restrictions apply to the holy cities of Makkah and Medina.

    Saudi Arabia's real estate market has shown promise, with a 4% increase in prices from 2024, according to the General Authority for Statistics. This move is part of Crown Prince Mohammed bin Salman's "Vision 2030" plan to diversify the economy and reduce dependence on hydrocarbon revenues.

    Analysts note that while the sector holds growth potential, it is still at an early stage of development and lacks comprehensive regulations. However, investors are optimistic about the opportunities presented by Saudi Arabia's growing economy and ambitious projects.

    The Real Estate General Authority has 180 days to issue detailed regulations once the property ownership law is officially published, demonstrating a commitment to timely and investor-friendly implementation. Despite this, Saudi Arabia faces stiff competition from the United Arab Emirates, which offers a mature and stable market with a globally recognized legal system for property rights.