14.7 billion riyals in rents and sales of residential properties in Riyadh in February

Riyadh's residential market enters a phase of slowing liquidity with relative price consolidation and a clear disparity between neighborhoods and yields
Riyadh City - Luxury Real Estate

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Coverage period: Q1 2025 - Q1 2026 | Prepared by: Amlak Newspaper | Publication Date: March 30, 2026

Executive Summary

Riyadh's residential real estate market for the period Q1 2025 to Q1 2026 has entered a more mature and selective phase, after a period characterized by strong price rises and extensive trading activity. The data indicates that the market is currently experiencing a slowdown in liquidity against a relative continuation of price consolidation, reflecting the widening gap between sellers" expectations and buyers" ability to execute in light of high borrowing costs and current price entry levels.

Riyadh's residential real estate market has entered a more mature and selective phase, after a period characterized by strong price rises and extensive trading activity.

At the same time, the market is no longer moving as a single citywide block. Differences between neighborhoods are becoming more pronounced in terms of prices, yields, volume of activity, and the role that infrastructure and regulatory policies play in redirecting demand. A spatial reading of the market shows that North Riyadh has maintained its status as a high-value belt, while some neighborhoods in East Riyadh have emerged as more attractive centers in terms of yield and liquidity, while some southern areas remain the baseline for affordability.

A range of structural shifts have also contributed to reshaping the market, including the operation of the Riyadh Metro, a rent freeze, the expansion of the upcoming residential supply line, as well as property-related regulatory changes. As a result, accurate neighborhood-level readings are more important than ever to understand market trends in the capital.

By the Numbers

Decline in residential transaction volumesTotal residential transaction valueHighest average sale priceAbout 50%14.7 billion13,720/m²57,000 units
Annual decline in February 2026In February 2026Press neighborhoodthrough the end of 2027