The volume of residential mortgage financing provided to individuals in the Kingdom reached 5.961 billion riyals in June 2026, compared to 4.561 billion riyals in May, marking a monthly growth rate of 30.6%, according to the monthly statistical bulletin issued by the Saudi Central Bank.
The bulletin clarified that the total new residential mortgage financing is divided between financing provided by Saudi banks, which totaled 5.702 billion riyals in June 2026 compared to 4.373 billion riyals in May, and financing provided by finance companies, which rose to 259 million riyals in June compared to 188 million riyals in the previous month.
Mortgage Financing Provided by Banks
It noted that new residential mortgage financing provided by Saudi banks recorded a 30.4% increase on a month-over-month basis, with financing distributed across three main sectors: villas, apartments, and land.
According to the data, the villas sector accounted for the largest share of bank financing, reaching 3.631 billion riyals in June 2026, compared to 2.761 billion riyals in May. Financing directed toward the apartment sector also rose to 1.730 billion riyals, compared to 1.277 billion riyals the previous month, while financing allocated to the land sector reached 341 million riyals in June, compared to 335 million riyals in May.
On a year-over-year basis, new residential mortgage financing provided by banks rose by 7.2%, reaching 5.702 billion riyals in June 2026, compared to 5.318 billion riyals in June 2025.
Breaking down annual financing by sector, financing for villas rose to 3.613 billion riyals in June 2026, compared to 3.259 billion riyals in the same month last year, while financing for apartments increased to 1.730 billion riyals compared to 1.577 billion riyals. Financing for the land sector, however, declined to 341 million riyals, compared to 482 million riyals in June 2025.
Performance of Finance Companies
With regard to finance companies, the bulletin showed that new residential real estate financing for individuals rose by 37.7% in June 2026 compared to May, reaching 259 million riyals, compared to 188 million riyals.
Financing from finance companies was also distributed across the villa, apartment, and land sectors, with financing for villas reaching 84 million riyals in June, compared to 81 million riyals in May, while financing for apartments rose to 112 million riyals from 79 million riyals, and financing for land jumped to 62 million riyals from 29 million riyals during the previous month.
Financing companies also recorded year-over-year growth of 53.2%, as the volume of financing rose from 169 million riyals in June 2025 to 259 million riyals in June 2026. The data showed that financing directed toward the villa sector through finance companies rose to 84 million riyals in June 2026, compared to 55 million riyals in June 2025, while financing for apartments reached 112 million riyals, up from 74 million riyals, and financing for land rose to 62 million riyals, compared to 41 million riyals during the same period last year.
