Minister of Municipalities and Housing Majid Al-Hogail confirmed that the Real Estate Balance Program is proceeding as planned, noting that the real estate market in Riyadh is witnessing a shift from speculation to development, in line with the program’s main objectives aimed at increasing supply and achieving price balance.
Al-Haqil explained in an interview with Al-Arabiya channel that the real estate market in Riyadh is no longer a speculative market, pointing to the emergence of indicators of achieving price balance, with declines recorded in the peripheral areas with lower service levels, in contrast to the beginning of prices returning in the fully serviced areas within the cities to levels better than they were previously.
He pointed out that the main objective of the white land fees program is not to collect fees, but rather to stimulate real estate development and increase the supply of residential units and land, which contributes to meeting market needs and enhancing the balance between supply and demand.
Al-Haqil revealed that applications have been submitted for development licenses for more than 27 million square meters, considering that these areas will contribute to enhancing the housing supply during the coming period, by pushing development operations and converting lands into real estate projects that contribute to supporting the market.
He stressed that increasing the supply of real estate is the most important factor in achieving balance within the market, whether through increasing the number of housing units or diversifying the available real estate products, emphasizing that reaching this balance was and still is the main objective of the white land fees program.
In a related context, His Royal Highness Prince Mohammed bin Salman, Crown Prince and Prime Minister, may God protect him, directed in March 2025 that a set of measures be taken to regulate the real estate sector in the city of Riyadh, which included lifting the suspension on buying, selling, subdividing and subdividing, in addition to issuing building permits and approving plans in specific areas.
The directives included providing planned and developed residential land to citizens, in numbers ranging between 10,000 and 40,000 plots annually over 5 years, at prices not exceeding 1,500 riyals per square meter, as well as taking the necessary measures to enhance the real estate supply and regulate the relationship between landlords and tenants, and monitoring and tracking real estate prices in the city of Riyadh.
These measures come as part of efforts to enhance the housing supply and stimulate real estate development, in order to support achieving balance in the real estate market in Riyadh.
