Saudi Arabia has taken a major step toward reshaping its real estate landscape by officially opening parts of its property market to foreign buyers. Starting with Riyadh and Jeddah, the move marks a significant milestone under the Kingdom’s Vision 2030 strategy and has immediately caught the attention of UAE expats and regional investors.
For decades, Saudi property ownership was largely restricted to citizens, with limited exceptions. The new policy signals a clear shift: attracting foreign capital, encouraging long-term residency, and accelerating urban development in its largest and most economically important cities.
What’s changing?
Foreign nationals can now legally own property in designated zones of Riyadh and Jeddah, subject to regulatory approvals and eligibility criteria. While details are still being rolled out, the reform is designed to stimulate demand, boost construction, and support the Kingdom’s ambition to transform its cities into global hubs for business, tourism, and lifestyle.
Why this matters for Gulf investors
Riyadh is rapidly positioning itself as the region’s next major commercial capital, backed by massive government spending, infrastructure projects, and multinational relocations. Jeddah, meanwhile, remains a gateway city with strong tourism and Red Sea development potential.
For UAE-based investors used to Dubai’s mature real estate market, Saudi Arabia represents a high-growth, early-stage opportunity. Property prices in KSA are generally lower than those in Dubai’s prime areas, offering potential upside as demand rises and the market becomes more liquid.
Is Saudi Arabia the next Dubai?
Not quite – at least not yet. Dubai’s success is built on decades of investor-friendly regulations, long-term residency options, transparency, and a well-tested off-plan market. Saudi Arabia is still in the foundation phase, but the direction is clear.
Unlike Dubai’s lifestyle-led real estate boom, Saudi Arabia’s push is more closely tied to economic diversification, population growth, and job creation. Over time, this could create a different – but equally powerful – investment story.
Risks and considerations
Foreign buyers should be aware that Saudi Arabia’s property market is still evolving. Regulations, resale rules, financing options, and rental yields may vary significantly from the UAE. Due diligence, local legal advice, and a long-term outlook are essential.
The bottom line
Saudi Arabia’s opening of its property market to foreigners is a game-changing reform that could reshape Gulf real estate dynamics. For UAE expats and investors, it presents a new frontier – not a replacement for Dubai, but a complementary opportunity worth watching closely.
