🏗️ Premium Residency 📅 July 2026 · 8 min read · Reviewed against REGA & Premium Residency Center sources

Saudi Premium Residency via Off-Plan Property — The SAR 1 Million Rule Explained (2026)

Abdullah Al-Qahtani Founder & Editor, Saudi Utility Hub · Riyadh, Saudi Arabia

"This is one of the most misunderstood parts of Premium Residency — people assume you need the full SAR 4 million in hand before you can even start. For off-plan property, that's not true."

⚡ Quick Answer

Saudi Arabia's Premium Residency includes a Real Estate Owner category that normally requires owning a residential property worth at least SAR 4 million. But if the property is off-plan (bought before construction is finished), you only need to pay at least SAR 1 million, or 10% of the property's value — whichever is higher — with the remaining balance spread across the developer's installment plan, typically 3 to 5 years. You don't need the full SAR 4 million upfront to start this path.

Why This Is Getting Attention Right Now

Saudi Arabia's Law of Real Estate Ownership by Non-Saudis (Royal Decree M/14) was published in the official gazette on July 25, 2025, and officially entered into force on January 22, 2026, according to the Real Estate General Authority (REGA). For the first time in decades, it gives non-Saudi individuals and companies a structured, government-regulated path to own property in designated zones — expected to include parts of Riyadh and Jeddah — rather than the tightly restricted rules that applied under the older 2000-era law.

With that framework now active, more people are discovering the details of how Premium Residency's Real Estate Owner category actually works — including the off-plan payment option that lets you start the process well before you've paid the full property value.

How the Real Estate Owner Residency Category Works

Premium Residency is Saudi Arabia's self-sponsored residence system, run by the Premium Residency Center. It lets qualifying foreign nationals live, work, invest, and own property without needing a Saudi kafeel (sponsor). One of its categories — Real Estate Owner — is built specifically around property ownership as the qualifying path.

Requirement	Standard Purchase	Off-Plan Purchase
Minimum property value	SAR 4,000,000	SAR 4,000,000
Amount you must pay to qualify	Full value (mortgage-free, fully built)	SAR 1,000,000 or 10% of value — whichever is higher
Remaining balance	N/A — property must be paid off	Spread over developer's installment plan (commonly 3–5 years)
Property condition	Completed, residential, freehold	Under construction (licensed off-plan project)
Annual PR fee once approved	SAR 4,000/year	SAR 4,000/year

💡 Example: An off-plan apartment listed at SAR 4.2 million requires a minimum payment of SAR 1 million (since 10% of SAR 4.2M is SAR 420,000, and SAR 1 million is higher). The remaining SAR 3.2 million can be paid in installments as construction progresses, while the buyer can move forward with their Real Estate Owner Residency application.

Where Foreigners Can Actually Buy

Ownership is not open everywhere in the Kingdom. The law uses a designated-zone model — the Council of Ministers, working with REGA, identifies specific geographic areas where non-Saudis may acquire property. These are expected to include high-demand parts of Riyadh and Jeddah. Outside approved zones, foreign ownership generally isn't permitted except in specific cases.

Makkah and Madinah remain largely off-limits to foreign ownership, with narrow exceptions for Muslim individuals and Saudi-owned businesses. Before paying anything toward an off-plan unit, confirm the specific project sits inside an approved zone — a developer's marketing material is not a substitute for checking with REGA's official "Saudi Properties" portal.

Step by Step: The Off-Plan Path to Real Estate Owner Residency

Confirm the off-plan project is licensed and sits within an approved foreign-ownership zone.
Choose a residential unit priced at SAR 4 million or above.
Pay the minimum required amount — SAR 1 million or 10% of the value, whichever is higher — through the project's registered payment channel.
Register the purchase and ownership rights through the official Saudi Properties portal (saudiproperties.rega.gov.sa), as required for all non-Saudi real estate transactions.
Apply for Premium Residency's Real Estate Owner category through the Premium Residency Center portal, with your registered purchase as supporting documentation.
Continue installment payments per your contract while your PR application is reviewed.
Pay the SAR 4,000 annual Real Estate Owner PR fee once approved.

⚠️ What isn't fully settled yet: The detailed Geographic Zones Document and full implementing regulations for the ownership law were expected during the first quarter of 2026. Some procedural details — exact registration steps, developer eligibility checks, and how partially-paid off-plan units are verified for PR purposes — are still being clarified as the system matures. Confirm current requirements directly with REGA and the Premium Residency Center before committing funds.

Fees at a Glance

Item	Amount
Minimum off-plan down payment (4M+ SAR property)	SAR 1,000,000 or 10% of value (higher applies)
Real Estate Owner Premium Residency fee	SAR 4,000/year
Real estate transfer fee (on eventual resale by a non-Saudi)	Up to 5% of property value
Standard Saudi real estate transaction tax	5% (applies broadly to property sales)

Frequently Asked Questions

Do I need to pay the full SAR 4 million upfront to qualify? ▼

No, not if you buy off-plan (a unit still under construction). For an off-plan property worth at least SAR 4 million, you only need to pay at least SAR 1 million or 10% of the property's value, whichever is higher, at the time of purchase. The remaining balance can be spread across the developer's installment plan, typically over 3 to 5 years.

Does this qualify me for Premium Residency immediately? ▼

It qualifies you to apply under the Real Estate Owner Residency category of Premium Residency once the purchase and the required down payment are registered. Approval still goes through the Premium Residency Center's standard review — it is not automatic the moment you pay, but the property no longer needs to be fully paid off or fully constructed to start the process.

Where can foreigners buy property in Saudi Arabia? ▼

Foreign ownership is limited to designated geographic zones set by the Council of Ministers, expected to cover parts of major cities like Riyadh and Jeddah. Makkah and Madinah remain largely restricted to Saudi companies and Muslim individuals. Always confirm a specific project falls inside an approved zone before paying anything.

What does Premium Residency Real Estate Owner status cost? ▼

The Real Estate Owner category carries an annual fee of SAR 4,000, separate from the property purchase price itself and any transfer fees. This is far cheaper than the Permanent PR (SAR 800,000 one-time) or Annual PR (SAR 100,000/year) categories, but it depends on owning qualifying real estate.

Is this the same as the new law letting foreigners buy property in Saudi Arabia? ▼

They are related but separate. The Law of Real Estate Ownership by Non-Saudis (Royal Decree M/14) governs who can buy property and where, and took effect January 22, 2026. Premium Residency's Real Estate Owner category is a separate residency product that uses property ownership as one of its qualifying paths. You can own property under the ownership law without applying for Premium Residency, and vice versa for other PR categories.

Related Tools & Guides

🌟 Premium Residency Cost Calculator 👨‍👩‍👧 Family Visit Visa Guide 🪪 5-Year Resident ID Guide 💰 Cost of Living Dashboard