Article 13 of the Real Estate Ownership by Non-Saudis Law
المادة 13 من نظام تملك غير السعوديين للعقار
The article requires the Council of Ministers to issue the regulations within 180 days of the Law's publication, and lists what they set: procedures, requirements for non-residents, the fee amount and zero-rated dispositions.
Official text (Arabic)
This article has not been amended since the law was issued.
1- يصدر مجلس الوزراء اللائحة -بناءً على اقتراح من مجلس إدارة الهيئة وموافقة مجلس الشؤون الاقتصادية والتنمية- خلال (مائة وثمانين) يوماً من تاريخ نشر النظام في الجريدة الرسمية، ويعمل بها من تاريخ نفاذه.
2- تحدد اللائحة:
أ- إجراءات اكتساب غير السعودي للحقوق العينية على عقار في المملكة.
ب- متطلبات إنفاذ أحكام النظام المقررة على غير السعودي غير المقيم في المملكة.
ج- مقدار الرسم المذكور في المادة (التاسعة) من النظام، على أن يحدد بناء على نوع الحق العيني للعقار والغرض منه والنطاق الجغرافي.
د- التصرفات الخاضعة للرسم بنسبة الصفر والحالات والشروط والضوابط اللازمة لذلك.
This is the official Arabic wording, the only legally binding version. We do not translate the law itself; the explanation below is ours. Official source: Bureau of Experts at the Council of Ministers
Article 13 explained in plain English
This article deals with the Law's Implementing Regulations: who issues them, when, and what they contain.
Issuing the regulations: the Council of Ministers issues them, on the proposal of the board of the General Authority for Real Estate and with the approval of the Council of Economic and Development Affairs, within 180 days of the date the Law is published in the Official Gazette, and they apply from the date the Law takes effect.
What the regulations set:
- The procedures for a non-Saudi to acquire real rights in real estate in the Kingdom.
- The requirements for enforcing the Law's provisions on a non-Saudi who is not resident in the Kingdom.
- The amount of the fee referred to in Article 9, which is the fee not exceeding 5% of the value of a non-Saudi's disposition of real rights. The amount is set according to the type of the real right, its purpose and the geographic scope.
- The dispositions subject to the fee at a zero rate, and the cases, conditions and controls required for that.
In practice, many of the details a non-Saudi buyer looks for, such as the steps to ownership and the actual amount of the fee, cannot be learned from the Law alone but from the regulations. Article 9 sets the fee's ceiling, and this article leaves the setting of its actual amount to the regulations according to the criteria mentioned.
Anyone who wants to apply these provisions to a particular transaction should consult a lawyer specialized in real estate matters.
Translated from our Arabic explanation with machine assistance. For guidance only; it does not replace advice from a lawyer on your situation.
How we write and review contentReal Estate Law lawyers: ask a specialist about your case
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Lawyers who handle this kind of case
Dr. Ali Al-Rubaie Law Office and Ittihad Al-Asr Legal Company
Mohammed bin Saleh Al-Qarawi Law and Notary Office, Riyadh
Frequently asked questions about Article 13 of the Real Estate Ownership by Non-Saudis Law
Who issues the Implementing Regulations of the Real Estate Ownership by Non-Saudis Law?
The Council of Ministers issues them, on the proposal of the board of the General Authority for Real Estate and with the approval of the Council of Economic and Development Affairs.
How is the fee for foreign ownership of real estate determined?
The regulations set it according to the type of the real right, its purpose and the geographic scope, within the limits of Article 9.
Are there dispositions on which no fee is paid?
The regulations set the dispositions subject to the fee at a zero rate, and the cases, conditions and controls required for that.
Do the regulations deal with a non-Saudi who is not resident?
Yes, the regulations set the requirements for enforcing the Law's provisions on a non-Saudi who is not resident in the Kingdom.
Articles this article refers to
More articles on Registering Non-Saudi Ownership and Fees
- Article 8
The article requires a non-Saudi company or entity to register with the competent body before owning, and makes a non-Saudi's ownership valid once registered in the real estate register.
1- على الشركة غير السعودية، أو الكيان غير السعودي غير الربحي، أو الكيان غير السعودي الذي يحدد بقرار من مجلس الوزراء -المشار إليهم في الفقرات (2) و(3) و(4) من تع
- Article 9
The article imposes a fee collected by the Authority on the value of a non-Saudi's disposition of real rights in real estate, not exceeding 5% of that value, without prejudice to other fees and taxes.
دون إخلال بأي رسوم أو ضرائب مقررة نظاماً، يُفرض رسم تستوفيه الهيئة على قيمة تصرف غير السعودي بالحقوق العينية على العقار في المملكة لا يزيد قدره على (5 %) من تلك
- Article 14
The article provides that the Law replaces the Law of Real Estate Ownership and Investment by Non-Saudis issued by Royal Decree No. M/15 dated 17/4/1421 AH, and repeals any provisions that conflict with it.
يحل هذا النظام محل نظام تملك غير السعوديين للعقار واستثماره، الصادر بالمرسوم الملكي رقم (م / 15) وتاريخ 17 / 4 / 1421هـ، ويلغي ما يتعارض معه من أحكام.
- Article 15
The article sets the date the Law takes effect: 180 days after its publication in the Official Gazette.
يعمل بالنظام بعد (مائة وثمانين) يوماً من تاريخ نشره في الجريدة الرسمية.
The texts are reproduced from the official website of the Bureau of Experts at the Council of Ministers for reference; where they differ, the officially published Arabic text prevails. This content is not legal advice.