The real estate price index in Saudi Arabia witnessed a slowdown in its pace of growth during the second quarter of 2025, with the annual rate of change reaching 3.2% compared to 4.3% in the first quarter of the same year, according to the report issued by the General Authority for Statistics.
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Residential sector performance
The growth of residential real estate prices, which represents the largest proportion of the overall index, declined to only 0.4% during the second quarter compared to 5.1% in the first quarter, residential land prices increased by 0.2%, villas by 3.2%, and residential floors by 1.5%, while apartment prices declined by 0.7%.
Residential prices declined by 0.7%.
Commercial sector leads growth
The commercial sector recorded strong year-on-year growth of 11.7%, driven by commercial land prices rising by 12.7%, building prices rising by 2.7%, and exhibition prices rising by 4.1%.
The commercial sector recorded strong year-on-year growth of 11.7%.
Agricultural sector
The agricultural sector saw a slight decline in prices by 0.9%, bringing the index to 102.63 points.
Quarter-on-quarter performance
The General Real Estate Price Index increased by 0.1% compared to the first quarter of the same year. This rise came as a result of the commercial sector's price growth of 7.9%, where commercial land prices increased by 8.6%, buildings by 3.0%, and agricultural land by 1.7%, while residential sector prices decreased by 2.6% (residential land -4.0%, apartments -1.2%, residential floors -0.9%, villas 1.8%).
Residential sector prices decreased by 2.6% (residential land -4.0%, apartments -1.2%, residential floors -0.9%, villas 1.8%).
Price movements by administrative regions
Tabuk region recorded the highest annual rate of increase at 4.7%, followed by Eastern Province at 4.2%, Makkah region at 3.9%, and Riyadh region at 3.6%. The Hail region saw a rise of 2.9%, the Qassim region by 1.1%, and the Najran region by 0.4%.
In contrast, several regions recorded decreases in real estate prices, with prices in Al Jouf region decreasing by 0.7%, Northern Borders by 1.3%, Al Baha by 1.7%, Jazan by 2.8%, Medina by 3.2%, and Asir by 3.9%.
Asir region by 3.9%.
General Index
The general index of real estate prices in the Kingdom increased to 105 points during Q2 2025 (base year 2023), compared to 101.79 points during Q2 2024. The Authority explained that the new methodology of the index, which was applied starting from the third quarter 2024 in cooperation with the General Real Estate Authority, the Ministry of Justice and the Saudi Central Bank (SAMA), aims to provide a more accurate measurement of the movement of the real estate market.
Commercial sector leads growth
Agricultural sector
The agricultural sector saw a slight decline in prices by 0.9%, bringing the index to 102.63 points.
Quarter-on-quarter performance
The General Real Estate Price Index increased by 0.1% compared to the first quarter of the same year. This rise came as a result of the commercial sector's price growth of 7.9%, where commercial land prices increased by 8.6%, buildings by 3.0%, and agricultural land by 1.7%, while residential sector prices decreased by 2.6% (residential land -4.0%, apartments -1.2%, residential floors -0.9%, villas 1.8%).
Residential sector prices decreased by 2.6% (residential land -4.0%, apartments -1.2%, residential floors -0.9%, villas 1.8%).
Price movements by administrative regions
Tabuk region recorded the highest annual rate of increase at 4.7%, followed by Eastern Province at 4.2%, Makkah region at 3.9%, and Riyadh region at 3.6%. The Hail region saw a rise of 2.9%, the Qassim region by 1.1%, and the Najran region by 0.4%.
In contrast, several regions recorded decreases in real estate prices, with prices in Al Jouf region decreasing by 0.7%, Northern Borders by 1.3%, Al Baha by 1.7%, Jazan by 2.8%, Medina by 3.2%, and Asir by 3.9%.
Asir region by 3.9%.
General Index
The general index of real estate prices in the Kingdom increased to 105 points during Q2 2025 (base year 2023), compared to 101.79 points during Q2 2024. The Authority explained that the new methodology of the index, which was applied starting from the third quarter 2024 in cooperation with the General Real Estate Authority, the Ministry of Justice and the Saudi Central Bank (SAMA), aims to provide a more accurate measurement of the movement of the real estate market.
Price movements by administrative regions
Tabuk region recorded the highest annual rate of increase at 4.7%, followed by Eastern Province at 4.2%, Makkah region at 3.9%, and Riyadh region at 3.6%. The Hail region saw a rise of 2.9%, the Qassim region by 1.1%, and the Najran region by 0.4%.
In contrast, several regions recorded decreases in real estate prices, with prices in Al Jouf region decreasing by 0.7%, Northern Borders by 1.3%, Al Baha by 1.7%, Jazan by 2.8%, Medina by 3.2%, and Asir by 3.9%.
Asir region by 3.9%.
General Index
The general index of real estate prices in the Kingdom increased to 105 points during Q2 2025 (base year 2023), compared to 101.79 points during Q2 2024. The Authority explained that the new methodology of the index, which was applied starting from the third quarter 2024 in cooperation with the General Real Estate Authority, the Ministry of Justice and the Saudi Central Bank (SAMA), aims to provide a more accurate measurement of the movement of the real estate market.
