The monthly bulletin The Real Estate Market in the Kingdom of Saudi Arabia for January 2026, issued by The General Authority for Real Estate, revealed a significant decline in the activity of sales transactions compared to the same period last year, against a strong performance in the rental market, especially in the non-residential sector, reflecting shifts in the dynamics of supply and demand within the Saudi real estate market with the beginning of the new year.

More than 22,000 real estate transactions in January
According to the bulletin, the total number of sales transactions during January amounted to 22,372, distributed between 20,026 residential and 2,346 non-residential transactions. Residential transactions decreased by 14% on a monthly basis and by 38% compared to January 2025, while non-residential transactions decreased by 29% monthly and 35% annually, indicating a relative slowdown in trading activity compared to previous periods.

Residential transactions declined by 14% on a monthly basis and by 38% year-on-year. <In terms of value, the value of residential deals amounted to 17.52 billion riyals, compared to 28.48 billion riyals in December 2025, and 31.39 billion riyals in January of last year, a monthly decrease of 44% and an annual decrease of 38%. In contrast, non-residential transactions recorded a value of SAR 10.96 billion, down by 29% from December, and by 62% compared to the same month of 2025, reflecting a decline in overall values despite continued activity.

Size of traded areas during the past month
On the level of traded areas, the average residential transaction area stabilized at about 425 square meters, with a slight annual decline of 1%, while the average non-residential transaction area jumped to 25,762 square meters, recording a strong monthly growth of 68% and an annual increase of 7%. The average value of the residential transaction amounted to about 758 thousand SAR, down 12% monthly and 5% annually, while the average non-residential transaction reached 2.66 million SAR, down 40% on a monthly basis, but recorded a yearly growth of 5%.

Lands lead the number of transactions
In breaking down the residential sector by property type, lands led the number of transactions with 11,747 transactions, despite its decline by 20% monthly and 43% annually. Apartments came second with 4,926 transactions, down 5% monthly and 31% annually, while villas recorded 1,424 transactions, achieving a monthly growth of 3% despite a decrease of 36% annually. The number of duplexes reached 735 transactions, and houses 737 transactions, while the rest of the types recorded 457 transactions, all of which showed a year-on-year decline of varying proportions.

The number of duplexes recorded 1,424 transactions, achieving a monthly growth of 3% despite a decrease of 36% year-on-year. <In terms of values, apartments accounted for 3.20 billion riyals, followed by villas with 2.83 billion riyals, then houses with 676 million riyals, while the value of deals in the “other” category amounted to about 794 million riyals. The average value of the land transaction recorded about 862 thousand riyals, the villa 1.56 million riyals, the apartment 661 thousand riyals, the duplex 1.16 million riyals, while the average floor transaction reached 877 thousand riyals.

Riyadh region captures the largest share of transactions
Geographically, the Riyadh region continued to lead the market in terms of the number of transactions with 6,006 transactions representing 26.85% of the total, followed by the Makkah region with 5,283 transactions (23.61%), then the Eastern region with 3,587 transactions (16.03%), then the Eastern region with 3,587 transactions (16.03%). Qassim, with 1,678 deals, and Madinah, with 1,103 deals, accounted for 78.92% of the total sales transactions. In terms of value, Riyadh recorded SAR 11.69 billion representing 41.04% of the total, followed by Makkah with SAR 8.89 billion and Sharqiya with SAR 4.11 billion, while the rest of the values were distributed among the other regions.

Active performance in the rental market
In the rental market, the data showed a more active performance, as the number of residential contracts reached 281,042 contracts, an annual increase of 17%, despite a slight monthly decline of 4%. Non-residential contracts amounted to 76,528, registering a year-on-year growth of 23% and a monthly increase of 9%. The number of residential rental transactions amounted to 300,971, compared to 99,133 non-residential transactions. <In terms of values, residential rental transactions recorded SAR 6.30 billion, down 3% month-on-month and year-on-year, while the value of non-residential rentals jumped to SAR 5.Riyadh also led the rental activity with 135,556 transactions accounting for 32.22% of the total, followed by Mecca with 112,722 transactions, and Sharqiya with 70,631 transactions. In terms of value, Riyadh accounted for 5.30 billion SAR, down by 3% monthly and annual growth of 17%. In terms of value, Riyadh accounted for SAR 5.01 billion, followed by Mecca with SAR 3.35 billion and Sharqiya with SAR 1.64 billion, with these three regions accounting for the largest share of the rental market.

<In terms of regulation and licenses, the bulletin showed the continued expansion of professional activities related to the real estate market, as the number of brokerage and marketing licenses for individuals reached 3,959 licenses, and for establishments 1,711 licenses, in addition to 102 property management licenses and 15 facilities management licenses. Thousands of brokerage, marketing, leasing and auction contracts were registered, reflecting an ongoing organizational movement that enhances market professionalism, compliance and transparency. In general, the January 2026 indicators - according to the monthly bulletin issued by the General Real Estate Authority - reflect the beginning of a year characterized by a repositioning of the market, with a decline in the momentum of sales transactions against a growing activity in rentals, especially non-residential, and the continued concentration of real estate weight in the major regions, primarily Riyadh, Makkah and the Eastern Province.

According to the monthly bulletin issued by the General Authority for Real Estate, January 2026 reflects the beginning of a year characterized by a repositioning of the market.