Saudi Arabia Allows Non-Resident Foreigners to Use Digital ID to Buy Property
Saudi Arabia has announced a significant policy change allowing non-Saudi, non-resident foreigners to purchase property in the Kingdom using a digital identification system.
This decision follows a recent Cabinet approval and aims to attract foreign investment in the real estate sector.
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Key Highlights
Digital ID Implementation
- The General Real Estate Authority, in collaboration with various ministries and agencies, is tasked with developing mechanisms to activate the digital ID system for property transactions.
- This initiative is part of the rollout of the upcoming Non-Saudi Real Estate Ownership Law, which is set to take effect in January 2026.
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Governance Framework
- The Cabinet has endorsed a governance framework for non-Saudi property ownership and usufruct rights, as proposed by the Strategic Committee of the Council of Economic and Development Affairs.
- A specialized committee will be formed within the authority’s board to oversee the sector.
Changes to the Real Estate Authority
- The board of the General Real Estate Authority has been restructured, with the chief executive now serving as chairman, alongside members from various ministries and three private sector representatives.
Requirements for Non-Residents
As part of the new regulations, non-resident foreigners must:
- Obtain and activate a digital ID through the government’s Absher platform.
- Open a Saudi bank account.
- Secure a local contact number before acquiring or using property in the Kingdom.
Objectives of the New Policy
This move is designed to:
- Streamline property transactions for foreign investors.
- Strengthen regulatory oversight within the real estate market.
- Attract more foreign investment, enhancing the Kingdom’s economic growth.
These changes reflect Saudi Arabia’s broader efforts to open up its economy and foster a more welcoming environment for international investors in various sectors, particularly real estate.
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