The official spokesperson for the General Real Estate Authority confirmed that the real estate transaction tax is applied at a rate of 5% to all real estate transactions, whether involving citizens or non-Saudis, in various cities across the Kingdom.
He explained that non-Saudis are subject to an additional fee of 2% when conducting real estate transactions, such as sales, if the properties are located within the specified geographic areas in the cities of Riyadh, Jeddah, Makkah, and Madinah.

He noted that this fee is imposed in accordance with the provisions of the Law on Real Estate Ownership by Non-Saudis and its implementing regulations, and is collected in addition to the statutory real estate transaction tax of 5%.
This clarification coincides with the implementation of the updated Law on Real Estate Ownership by Non-Saudis, which took effect on January 1, 2026, following its approval by the Council of Ministers in July of last year.

The Umm al-Qura newspaper published the executive regulations for the system in its issue released last week, including the controls and procedures governing real estate ownership by non-Saudis and the acquisition of related property rights, thereby defining the implementation mechanisms and requirements for benefiting from the provisions of the new system.