Glossary

Saudi Regulations

35 terms in this category

Absher

Saudi government portal providing electronic services for citizens and residents, includes data verification needed for Ejar transactions.

Balady Platform

Saudi electronic municipal services platform, providing building permits, completion certificates, and property-related services.

Brokerage License

License from REGA to practice real estate brokerage, must be renewed periodically, mandatory for every real estate office in Saudi Arabia.

Building Permit

Official municipality license to construct or renovate building, mandatory before starting work, specifying allowed specifications and limits.

Commercial Real Estate

Properties designated for commercial activities like shops, offices, warehouses, and hotels, subject to different regulations and taxes than residential.

Commercial Register

Official document proving business registration, required for real estate offices and commercial tenants, issued by Ministry of Commerce.

Completion Certificate

Document issued by municipality after building completion per permit, prerequisite for ownership registration and use, proving compliance with specifications.

Development Fund Loan

Subsidized loan from Real Estate Development Fund for Saudi citizens to buy or build housing, with easy terms and long repayment period.

Ejar Broker

Ejar-authorized broker assisting in contract authentication and follow-up, receiving nominal fees for services.

Ejar Disputes

Service in Ejar to resolve disputes between landlord and tenant, through specialized judicial committee without need for general courts.

Ejar Fees

Ejar platform service fees: 125 SAR for annual residential and 200 SAR for commercial, paid by lessor or real estate office.

Etemad Platform

Saudi platform for government procurement and competitions, including government contracts, rentals, and government real estate projects.

Homeownership Program

Saudi initiative targeting raising citizen homeownership to 70% by 2030, including loans, financial subsidies, and land grants.

Iqama (Residency)

Residency document for foreign residents in Saudi Arabia, replacing national ID in transactions, required for Ejar contract authentication.

Judicial Committee

Specialized committee in Ejar to quickly adjudicate rental disputes, its rulings binding, issuing decisions within weeks.

Land Use

Permitted purpose of land per urban planning, defining if it can be built residentially, commercially, or industrially.

Ministry of Housing

Saudi government entity responsible for regulating housing and real estate sector, overseeing Ejar, Sakani, and real estate development platforms.

Nafath

Saudi digital identity verification system, used for logging into government electronic services including Ejar.

National ID

Official identity document for Saudi citizen, required in contract authentication and all official transactions, with unique permanent number.

Notary Public

Public official authorized to authenticate contracts and real estate transactions, issuing title deeds and authenticating sales, mortgages, powers of attorney.

Property Management Service

Professional service managing properties on behalf of owner, including maintenance, collection, and tenant relations, for commission.

Real Estate Broker

Licensed person or office mediating between sellers/buyers or landlords/tenants, receiving commission for services.

Real Estate Brokers Association

Professional body regulating real estate brokers in Saudi Arabia, setting standards, organizing training courses, protecting member rights.

Real Estate Development Fund

Saudi fund providing subsidized real estate loans to citizens, helping homeownership, established 1974 within housing plan.

Real Estate Finance Law

Saudi law regulating real estate financing operations, defining rights and duties of financiers and borrowers, protecting market and enhancing stability.

Real Estate General Authority (REGA)

Saudi authority regulating real estate sector and licensing brokers and developers, established 2017 to develop and monitor real estate market.

Real Estate Transaction Tax

5% tax on real estate sale transactions in Saudi Arabia, replacing VAT on real estate, paid by seller.

Rental Market Index

Periodic index showing average rental prices in Saudi cities, used to evaluate prices and investment in each region.

Sakani Program

Saudi housing program aiming to raise citizen homeownership to 70% by 2030, offering housing units and subsidized loans.

Tawthiq

Official authentication service for lease contracts through Ejar platform, making contract legally valid and providing legal protection.

Title Deed

Official document proving property ownership, issued by Notary Public, containing owner data, property boundaries, area, basis of real estate transactions.

Vision 2030

Comprehensive Saudi development plan targeting economic diversification, including important real estate goals like raising homeownership to 70%.

Wafi Program

Saudi off-plan sales program, requiring developers to meet strict standards protecting buyers, ensuring quality of real estate projects.

ZATCA

Saudi government entity responsible for collecting zakat, taxes, and customs, overseeing VAT and e-invoicing compliance.

Zoning

Regulating land uses in Saudi cities, defining residential, commercial, and industrial zones, basis for real estate investment decisions.