The market for new residential mortgage financing provided to individuals in Saudi Arabia witnessed a remarkable rise during April 2026, reaching about 6.591 billion riyals compared to 4.355 billion riyals in March of the same year, distributed between bank financing of 6.326 billion riyals, and financing companies financing of 265 million riyals, according to data Saudi Central Bank.

The data also showed a strong month-on-month improvement, as the volume of financing jumped by 2.1 billion riyals, equivalent to an increase of 51% compared to March 2026, according to data from the Central Bank of Saudi Arabia, revealing the return of momentum to real estate activity during this period. With this performance, real estate financing recorded its highest level since July 2025, when it reached about 6.42 billion riyals, confirming the return of activity to levels close to its peak during the past year.

The data indicate that real estate financing new residential financing in Saudi Arabia is distributed among three main sectors: villas, apartments and land, with villas continuing to lead the scene in terms of the largest share, followed by apartments and then land, in light of the market's continued movements between fluctuation and gradual recovery during the recent period.

Rise in bank financing
The data revealed a slight increase in bank financing provided by banks to individuals on an annual basis, reaching 6.33 billion riyals, achieving a growth of 0.5% compared to the same period in 2025, in the first annual rise after a series of declines that lasted nine consecutive months.
The number of contracts concluded between banks and individuals during April 2026 reached about 9.6 thousand contracts, indicating an improvement in the pace of demand for housing finance.

Data also showed that the number of contracts concluded between banks and individuals during April 2026 reached about 9.6 thousand contracts, which indicates an improvement in the pace of demand for housing finance.

In contrast, the average value of new mortgage financing fell to about 661 thousand SAR, down by 14% compared to April 2025, indicating an increase in the number of contracts against a decrease in the average value of financing per contract.
At the level of financing distribution by property type, residential villas accounted for the largest share of total financing during last April, with a value of 4.19 billion SAR, representing about 66% of the total financing, recording its highest level in 11 months. Apartments came second with financing amounting to SAR 1.78 billion, while land recorded financing worth SAR 356 million.

While reviewing the monthly performance during 2025 through April 2026, the data showed a clear fluctuation in financing for villas, as the year 2025 started at 6.638 billion riyals in January, then gradually decreased during the following months to reach 3.930 billion riyals in April, before witnessing a fluctuation up and down during the rest of the year until December, which recorded 3.774 billion riyals. At the beginning of 2026, the sector continued to decline in January at 4.079 billion riyals, then fell in February to 3.425 billion riyals, before reaching its lowest level in March at 2.614 billion riyals, only to rise again in April to 4.190 billion riyals.

With the beginning of 2026, the sector continued to decline in January at 4.079 billion riyals, then fell in February to 3.425 billion riyals.

In the apartment sector, financing started in January 2025 at 3.351 billion riyals, then gradually declined over the following months to stabilize at 2.064 billion riyals in April, before witnessing successive waves of decline during the year, reaching 1.428 billion riyals in December. At the beginning of 2026, the sector recorded 1.699 billion riyals in January, then 1.616 billion riyals in February, before declining to 1.293 billion riyals in March, only to rise again in April, recording 1.780 billion riyals.

With the beginning of 2026, the sector recorded 1.699 billion riyals in January, then 1.616 billion riyals in February.

As for land-oriented financing, it started 2025 at 475 million riyals in January, then gradually declined to 304 million riyals in April, before fluctuating during the rest of the year between highs and lows, recording 346 million riyals in December. In 2026, financing reached SAR 411 million in January, then declined to SAR 330 million in February and SAR 280 million in March, before rising again to SAR 356 million in April.

Finance Company Financing
On the financing provided by finance companies, this sector recorded remarkable growth during April 2026, rising to SAR 265 million compared to SAR 214 million in April 2025, a growth rate of about 23%.8% year-on-year, and increased by 24% compared to March 2026, which recorded SAR 168 million.
The financing provided by finance companies during April 2026 was distributed between SAR 105 million for villas, SAR 140 million for apartments, and SAR 20 million for lands, while the figures in March 2026 were clearly lower, with villas recording SAR 70 million, apartments SAR 75 million, and lands SAR 22 million. Also on a year-on-year basis, the comparison with April 2025 showed villas recording SAR 73 million, apartments SAR 110 million, and land SAR 31 million, reflecting varying changes in demand trends within this sector.

Villas recorded SAR 73 million, apartments SAR 110 million, and land SAR 31 million.