Finding Housing in Saudi Arabia: Essential Tips and Practical Advice

Published on January 28, 2026 and written by Cyril Jarnias

Moving to Saudi Arabia, whether for a few years or the long term, almost always starts with the same question: how to find housing that fits your budget, family, and lifestyle, in a very unique, heavily regulated real estate market that remains largely unfamiliar to newcomers.

Understanding the Saudi Rental Market

The rental market in Saudi Arabia is both abundant and demanding. There is no general housing shortage, but finding a well-located, properly maintained property at a reasonable price can prove tricky, especially in major cities where demand is high.

Renting is particularly widespread: about half the population, locals included, lives in rented housing. For foreigners, renting is by far the most accessible route, as purchasing is limited to certain areas and more regulated.

A Highly Structured Regulatory Framework

Unlike some countries with a single “Landlord-Tenant Law” governing all rental relationships, Saudi Arabia relies on a mix of civil laws (codifying principles of Sharia), sector-specific regulations, and digital systems.

Since 2025, “Regulatory Provisions Governing the Relationship Between the Lessor and the Lessee” have strengthened protections for both parties and confirmed the central role of Ejar. A lease registered and authenticated via Ejar holds the value of an “enforceable document“: in case of unpaid rent or disputes, its execution can be requested directly before the enforcement courts, without going through a lengthy traditional lawsuit.

Ejar, Iqama, and New Rent Rules: What You Absolutely Need to Know

For any foreigner seeking housing in Saudi Arabia, three keywords quickly become essential: Iqama, Ejar, and Riyadh (for its rent freeze).

The Iqama: The Key to Being Able to Rent

One principle is clear: you cannot sign a proper lease or register a contract on Ejar without having an Iqama, the Saudi residence card. This document is essential not only for renting but also for opening a bank account, registering your national address, or subscribing to services (electricity, water, telecoms).

In practice, a rental application file typically includes:

– Passport and visa

– Valid Iqama

– Proof of employment (contract, certificate, salary)

– Sometimes bank statements and, for families, family booklet or marriage certificate

Plan ahead: as long as your Iqama is not issued, your room for maneuver to conclude a lease remains limited. Many newcomers start with temporary accommodation (hotel, serviced apartment, Airbnb, company-provided housing) while awaiting their residence permit.

Ejar: The Mandatory National Lease Platform

Ejar is the official digital platform that centralizes lease contracts. It is used for:

Only licensed brokers have access to Ejar to register a contract on behalf of the parties. An agent who refuses or “forgets” to register a lease faces fines of up to 2,000 SAR (doubled in case of recurrence).

For the tenant, an Ejar lease offers several concrete advantages:

– strong legal recognition;

– ability to enforce the contract in case of non-compliance (e.g., if the landlord cuts off electricity or attempts an illegal eviction);

– automatic link to water and electricity meters, clarifying who pays for what.

Riyadh Rent Freeze: A Strategic Particularity

By royal decree, Riyadh has become one of the few regulated rental markets in the Gulf. Since September 25, 2025, a five-year rent freeze applies to residential and commercial units located within the capital’s urban perimeter.

Concretely:

– Rents are frozen at the level registered at the implementation date, for five years.

– Annual increases for existing contracts are capped between 0% and 2% until 2030.

– New indexation clauses in leases signed after this date cannot apply during the freeze period.

– Contracts must be registered via Ejar to be considered.

This measure aims to contain what authorities called “unacceptable increases” after double-digit hikes between 2024 and 2025. Result: in 2026, rents in Riyadh are increasing by only 0 to 2% per year, while Jeddah records increases of 3 to 6%.

For an expatriate, this changes the strategy: a medium-term contract in Riyadh now provides exceptional visibility on the housing budget, unlike unregulated cities like Jeddah.

Types of Housing: Apartment, Villa, or Compound?

The choice of housing type conditions your quality of life, integration, and budget.

Apartments: The Most Common Option

Apartments constitute the majority of the urban supply. They range from compact studios to large three or four-bedroom units. They are often located in buildings with elevators, sometimes with amenities (concierge, covered parking, small gym).

Some benchmarks for typical monthly rents, across all major cities, early 2026:

In the capital, the levels are slightly different, but the logic remains similar:

Well-located studios and 1-bedroom units (Olaya, Sulimaniyah, areas near universities or KAFD) find tenants in 10 to 25 days when listed at a reasonable price.

Villas: Space and Family Life

Villas are single-family or duplex houses, often with a garden and sometimes a pool. They are highly appreciated by Saudi families and expatriates with children, particularly in the northern districts of Riyadh (Al Yasmin, Al Narjis, Hittin) and in certain areas of Jeddah or the East Coast.

Compounds: The Expatriate Safe Haven

Compounds are gated residential communities with access control, 24/7 security, and integrated amenities (pools, gym, sports fields, playgrounds, shops, sometimes schools or nurseries). They are particularly popular with expatriates, as they offer:

The trade-off is a significantly higher cost: a home in a compound is estimated to cost 20 to 30% more than an equivalent property outside a compound. For a three-bedroom villa in a Western-oriented compound, annual rents often range between 120,000 and 200,000 SAR (i.e., from 10,000 to over 16,000 SAR per month).

Where to Settle: Overview of Major Cities and Neighborhoods

The choice of city depends on your workplace, but also on your lifestyle. Some destinations are very “business” oriented, others more relaxed.

Riyadh: Political and Economic Capital

Riyadh is the political and financial heart of the country, with a cost of living higher than the national average. However, it remains significantly cheaper than metropolises like New York or London: the cost of living is about 62.6% cheaper than New York and 46.7% cheaper than London, even considering housing.

Rents there are more structured since the rent freeze. Neighborhoods are fairly clearly segmented:

The most expensive neighborhoods – Diplomatic Quarter, Hittin, Al Malqa – list rents for two-bedroom apartments starting around 7,000–10,000 SAR per month, or even more for furnished units in upscale compounds.

Jeddah: Coastal and Cosmopolitan City

Jeddah, the country’s second city on the Red Sea, attracts with its more relaxed atmosphere, coastline (Corniche, Al Shati, Al Hamra), and cosmopolitan side. It also serves as a gateway to Mecca and Medina.

Rents there generally remain lower than in Riyadh, but growth is faster due to the lack of rent increase regulation (3–6% per year recently). For an expatriate, neighborhoods like Al Rawdah, As Salamah, Al Zahra, Al Shati, Al Muhammadiyah, Al Basateen combine a good level of amenities, safety, and the presence of international schools.

As a general order of magnitude:

The cost of living for a family is often estimated between 4,900 and 24,000 SAR per month, including housing, depending on the chosen standard.

Dammam, Al Khobar, Dhahran: The East Coast and Oil

On the Gulf coast, the Dammam – Al Khobar – Dhahran triangle forms a major industrial and logistics hub, especially for the oil and petrochemical sectors. Rents there are generally lower than in Riyadh, but some neighborhoods very popular with expatriates (Al Rakah, Al Nakheel, Al Khobar corniche) display high rates.

The dynamic is rather moderate: rent growth of 2 to 4% per year is often observed, more than in Riyadh under the freeze, but less than in Jeddah.

More Affordable Cities

For tighter budgets, some regional cities stand out for their low rents, such as Abha, Ha’il, Najran, or Tabuk. In Abha, for example, you can rent a home downtown for between about 1,375 and 2,125 SAR per month, well below major metropolis levels.

How Much Does It Really Cost: Rents, Fees, and the Furnished Premium

Rent is only one part of your housing cost. Between agency fees, security deposits, maintenance fees, utilities (electricity, water, gas, internet), and furnished options, the total bill can vary greatly.

Rent and Furnished: What Premium to Expect?

Residential leases generally come in three forms:

– Unfurnished: bare walls, sometimes with an empty kitchen, ideal if you stay long-term and bring your furniture.

– Semi-furnished: some appliances (fitted kitchen, air conditioning, closets), a common compromise.

– Furnished: complete furniture, sometimes linens and dishes, highly sought after by newcomers and project teams.

Fees and Utilities

Since the implementation of the “My Meter” system, Ejar leases expressly link the water and electricity meters to the tenant, clarifying payment responsibility. In practice, therefore, you pay your own bills, unless the contract specifies a different arrangement (the case in some compounds or all-inclusive furnished rentals).

For a standard apartment, you should expect: sufficiently lit living space, rooms with adequate dimensions, a functional kitchen, a well-equipped bathroom, and optimized storage.

Energy rates remain relatively subsidized, even though intensive use of air conditioning quickly drives up the bill in summer.

Agency Fees, Security Deposit, and Advance Payments

Access to a property often goes through a broker (real estate agent), especially in major cities or for compounds. The fees charged often revolve around 2.5% of the annual rent, paid once upon signing.

Another major particularity: rent is often required in one, two, or four annual installments, paid by bank transfer or post-dated checks. For an expatriate who has just arrived, this means:

– having a functional Saudi bank account quickly;

– negotiating, if possible, more flexible payment terms (monthly or quarterly);

– anticipating a significant cash outlay at the start (first rent + deposit + agency fees).

How to Actually Find a Home: Tools and Methods

Between online platforms, local agents, and word of mouth, the channels for finding housing in Saudi Arabia have diversified. The rise of digitization under Vision 2030 has greatly facilitated this step, provided you know where to look.

Most Used Real Estate Platforms and Websites

Several sites and applications share the market, each with its particularities:

In addition to these sites, there are classifieds platforms like Haraj, or specialized services for expatriates, sometimes under a “Expat Trusted Housing” label.

Most allow filtering by city, district, budget, number of bedrooms, area, and furnished/unfurnished status, sometimes with virtual tours (video, 360°) and interactive maps.

Mobile Apps and AI Tools

Using mobile applications is now the norm:

However, beware of old or dubious listings: some users report, for example on Property Finder, misleading ads or unreliable agents. It is therefore crucial to check the consistency between photos, price, and location, and to favor “verified” listings when the platform offers it.

Real Estate Agents, Word of Mouth, and Expat Networks

Despite the rise of digital tools, the human element remains key:

Reading and Negotiating Your Lease: Points of Vigilance

Even though the standard Ejar contract is standardized, there is still room to negotiate certain clauses and avoid bad surprises.

Standard Content of an Ejar Lease

An Ejar lease should include at a minimum:

– Complete contact details of the parties (landlord, tenant) and the broker

– A detailed description of the property (address, area, number of rooms, parking location, etc.)

The lease duration (start and end date)

The rent amount, payment frequency, and method (monthly, quarterly, annual, bank transfers, SADAD system, etc.)

The amount and nature of the security deposit

The division of maintenance responsibilities (routine vs structural repairs)

Rules for using the premises (residential only, prohibition on subletting without written agreement, pet policy, etc.)

Conditions for renewal, possible rent increases, and early termination

A clause for key handover and final inspection

Take the time to have the contract translated into French or English by a competent person if your Arabic level does not allow for a detailed reading.

Rent Review Clause and Duration

Outside of Riyadh (rent freeze), landlords seek to retain the possibility of increasing the rent at each renewal, often around 5 to 10%. You can:

– request a stability commitment for two or three years, in exchange for a promise to stay for the duration;

– or negotiate a rent increase cap (for example, no more than 5% per year).

Payment, Deposit, and Final Inspection

To limit conflicts at the end of the lease:

– establish a detailed final inspection, ideally with dated photos and videos, upon moving in;

– get written clarification on what constitutes normal wear and tear (paint, light scratches) and what will be deducted from the deposit;

– absolutely keep all proof of rent and utility payments (receipts, screenshots, bank confirmations).

At the end of the lease, Ejar provides a formal restitution process: signing a handover form and calculating what must be refunded to the tenant. In case of disagreement on repair costs, appointed experts can objectively estimate the costs.

Managing Utilities and Daily Life in Your Home

Once the lease is signed, a second stage begins: connecting your home to essential services (electricity, water, gas, internet) and understanding how maintenance and residential rules work.

Electricity and Water: Procedures and Costs

Electricity is supplied by the Saudi Electricity Company (SEC), the national monopoly, via the Hesabi portal. Water is most often managed by the National Water Company. The typical procedure:

Residential electricity rates are structured in tiers; up to 6,000 kWh, the kWh is charged at about 0.18 SAR, then 0.30 SAR beyond that. This is in addition to a modest monthly subscription fee linked to the meter capacity (often between 10 and 40 SAR).

For water, prices also follow a progressive scale, very low on the first cubic meters (0.1 to 0.15 SAR/m³) and higher beyond, encouraging reasonable consumption in a country that remains one of the largest water consumers in the world.

Gas Cylinders or Centralized Network

Domestic gas is largely supplied via LPG cylinders from the company GASCO (or via centralized networks in some high-end buildings).

Again, check your lease to see if gas is included in your fees (the case in some compounds) or is your direct responsibility.

Internet, Phone, and National Address

The main telecom operators are STC, Mobily, and Zain. To get a landline and Internet box, you will need:

– a valid Iqama;

– a registered national address (online procedure via Saudi Post);

– sometimes proof of address (Ejar lease).

Registering your national address is now mandatory for many services (banks, healthcare, government) and is an integral part of your setup.

Benefiting from the Economic Context: Purchasing Power and Cost of Living

Housing remains the number one expense, but Saudi Arabia offers a relatively favorable environment for well-compensated expatriates.

In Riyadh, the average net salary varies according to sources, around 8,800 to 11,400 SAR per month. For a family of four, the monthly cost of living (excluding luxury rent) is generally between 8,000 and 12,000 SAR.

An expatriate whose housing is covered by the employer and whose salary exceeds 20,000 SAR monthly can often save more than half their income, especially if they avoid the most expensive compounds.

Practical Tips for a Successful Housing Search

To conclude, some guidelines emerge from the data and feedback.

First, prepare your application file well before arriving: scanned copies of your documents, Iqama as soon as possible, opening a bank account, and registering your national address. The more “administratively ready” you are, the more landlords will perceive you as a serious tenant.

Next, define a clear budget, ideally allocating a maximum of 30% of your monthly income to rent, excluding fees. Don’t forget to factor in summer electricity and Internet into your calculations.

Never sign an unregistered lease: insist on using Ejar, even if you’re promised a discount in exchange for an “informal” arrangement. Without it, your recourse in case of problems is severely limited.

Finding housing in Saudi Arabia is an exercise in patience and method. By combining an understanding of the rules (Iqama, Ejar, Riyadh rent freeze), smart use of digital platforms, and support from a licensed broker, you maximize your chances of settling into a home that truly meets your expectations, without blowing your budget or compromising your tenant rights.

Cyril Jarnias

Cyril Jarnias is an independent expert in international wealth management with over 20 years of experience. As an expatriate himself, he is dedicated to helping individuals and business leaders build, protect, and pass on their wealth with complete peace of mind.

On his website, cyriljarnias.com, he shares his expertise on international real estate, offshore company formation, and expatriation.

Thanks to his expertise, he offers sound advice to optimize his clients' wealth management. Cyril Jarnias is also recognized for his appearances in many prestigious media outlets such as BFM Business, les Français de l’étranger, Le Figaro, Les Echos, and Mieux vivre votre argent, where he shares his knowledge and know-how in wealth management.

Find me on social media: