The real estate market in Saudi Arabia during February 2026 witnessed remarkable shifts in activity levels and the geographical distribution of deals. While major cities continued to attract the largest share of real estate transactions, the data showed a decline in the value and number of real estate transactions associated with a number of real estate assets, in contrast to a notable growth in rental market activity. These indicators highlight the nature of the current movements in the Saudi real estate market and the distribution of demand between ownership and renting.
Concentration of deals in 5 major regions
Real estate market data revealed that 5 Saudi regions accounted for about 91% of the total value of real estate deals recorded in the Kingdom during February 2026, reflecting the continued concentration of activity in major cities.<According to an analysis based on data from the General Authority for Real Estate, the Riyadh region topped the list of the highest regions in terms of the value of real estate transactions, with 5,388 transactions worth about 11.2 billion riyals, to account for 46.5% of the total value of transactions during the month, amounting to 21.922 billion riyals in various regions of the Kingdom. The Makkah region came in second place with a total number of 4.788 deals with a value of more than 5.655 billion riyals, representing 23.5% of the total market.
The Eastern Province ranked third with 3.087 deals worth more than 3.562 billion riyals, equivalent to 14.8% of the total.
The fourth place was occupied by Qassim with 8.09%, where the total deals amounted to 1.657 deals worth more than 952.8 million riyals, and the Medina region came in fifth place with 5.23%, with 1,072 deals worth more than 564.4 million riyals.
In general, the total value of real estate deals in the Kingdom during the month reached about 22 billion riyals, highlighting the continued acquisition of major regions for the largest share of residential and investment demand.
Generally, the total value of real estate transactions in the Kingdom during the month amounted to about 22 billion riyals, which highlights the continued acquisition of the largest share of residential and investment demand by major regions.
Land tops real estate assets despite the decline
In terms of types of real estate assets traded, land recorded the largest volume of trading in terms of value, although it was the most declining compared to the previous year.
The value of land transactions reached about 7.6 billion riyals during February, recording a year-on-year decrease of 62%, but remained the top real estate assets traded in the market.
Residential apartments came in second place with a transaction value of about 3 billion riyals, an annual decrease of 42%.
Residential villas ranked third with a transaction value of about 2 billion riyals, down by about 60% compared to the same period last year.
In the next place, duplexes transactions recorded about 790 million riyals, an annual decrease of 35%, while residential floors transactions reached about 637 million riyals, down by about 36%.
The value of residential floors transactions amounted to about 637 million riyals, down by about 36%.
Clear decline in the number of real estate deals
The data also indicates a significant decline in residential real estate transaction activity during February 2026 compared to the same period last year, both in terms of value and number of deals.
The number of land deals decreased to about 10.5 thousand deals with an annual decline of 50%. The number of villa deals fell by 45%, while apartment deals fell by 39%. Duplexes also recorded a year-on-year decline of 22%. Despite the decline in the number of transactions, the data showed relatively stable average transaction values among different real estate assets.
Relative stability in average transaction prices
The average land transaction value reached about 653 thousand riyals, while the average duplex transaction reached about 1.14 million riyals.
The average value of the apartment transaction recorded about 655 thousand riyals, while the average villa transaction reached about 1.54 million riyals, recording a decrease of 22% compared to the previous year, the largest decrease among real estate assets.
Relatively stable in average transaction prices
Notable growth in the rental market
In contrast, real estate market data showed a different trend in the rental sector, as the market recorded a remarkable growth in the number of contracts and their value during the same period.The number of residential leases increased to about 266 thousand contracts, achieving an annual growth of 37%, while the number of non-residential contracts increased by 28%.
Residential lease deals recorded about 338 thousand deals, an annual increase of 52%, in addition to a rise in non-residential lease deals by 43%. In terms of value, the total value of residential rentals amounted to about 7.02 billion riyals, registering an annual growth of 85%, while the value of non-residential rentals reached about 5.81 billion riyals, an increase of 75%.
The value of non-residential rentals reached about 5.81 billion riyals, an increase of 75%.
The real estate market indicators during February 2026 reveal a combination of changes in demand patterns, as trades continued to be concentrated in major regions, with a noticeable decline in the sale and purchase activity of some real estate assets, compared to a clear growth in the rental market. These data indicate a relative shift in market trends during the current period between ownership and renting.
