Latest news with #propertyownership
Arabian Business
4 days ago
- Business
- Arabian Business
Saudi Arabia announces new property ownership law
Saudi Arabia has published the full details of its property ownership law for non-Saudis in the official gazette Umm Al-Qura on Friday, following Cabinet approval earlier this month. The law will take effect 180 days from publication and replaces previous foreign property ownership legislation issued under Royal Decree No. M/15 in 2000, the Saudi Gazette reported. The legislation grants non-Saudis — including individuals, companies, and non-profit entities — the right to own property or obtain other real rights over real estate within designated geographic zones to be determined by the Cabinet. Non-Saudis can own property in Saudi Arabia under new law published in official gazette These rights include usufruct (beneficial use), leaseholds, and other real estate interests, but will be subject to controls and restrictions based on location, property type, and usage. Ownership remains prohibited in certain locations and regions, particularly in Makkah and Madinah, except under conditions for individual Muslim owners. The law states that all real estate rights that were legally established for non-Saudis prior to the regulation taking effect will be preserved. The Council of Ministers — upon a proposal by the Real Estate General Authority and with the approval of the Council of Economic and Development Affairs — will define the allowable zones for foreign ownership and set upper limits on ownership percentages and durations for usufruct rights. Foreign individuals legally residing in Saudi Arabia may own one residential property outside restricted areas for personal housing purposes. This provision does not apply to Makkah and Madinah. The regulation includes provisions for corporate ownership. Non-listed companies with foreign shareholders, as well as investment funds and licensed special-purpose entities, will be permitted to acquire real estate throughout the Kingdom, including in Makkah and Madinah, provided the ownership supports operational needs or employee housing. Listed companies and investment vehicles may also acquire property in line with Saudi financial market regulations. Diplomatic missions and international organisations can own premises for official use and residence of their representatives, subject to Foreign Ministry approval and reciprocity conditions. Non-Saudi entities must register with the competent authority before acquiring property. Ownership or real rights become valid only after formal registration in the national real estate registry. The law introduces a real estate transfer fee of up to 5 per cent for transactions involving non-Saudis. Sanctions for violations include fines up to SAR10 million and, in cases such as falsified information, the forced sale of the property with proceeds remitted to the state after deductions. A committee under the Real Estate General Authority will be formed to investigate violations and impose penalties. Decisions of this committee can be appealed to the administrative courts within 60 days. The law repeals a prior rule that prohibited GCC citizens from owning property in Makkah and Madinah, standardising rules for all non-Saudi entities under a single framework. The executive regulations, which will detail implementation mechanisms and specify geographic boundaries and conditions, are expected to be issued within six months.
Gulf Business
4 days ago
- Business
- Gulf Business
Foreigners owning property in Saudi: The rules you need to know
Image: Getty Images/ For illustrative purposes Saudi Arabia has officially published the full text of a new law regulating real estate ownership by non-Saudis, following cabinet approval earlier this month. The legislation, released in the Umm Al Qura official gazette on Friday, July 25, will come into effect 180 days from publication and marks a significant shift in the country's real estate and investment policy, Read- The new law grants non-Saudis, including individuals, corporations, and non-profit organisations, the right to own property or obtain other real rights within designated zones to be defined by the Council of Ministers. These rights include usufruct (beneficial use), leaseholds, and other interests, but will be subject to geographic and usage-based restrictions. Importantly, all legal property rights held by non-Saudis prior to the law's enactment will remain protected. Key restrictions remain Despite the liberalization, the law maintains a firm stance on property ownership in the holy cities. Ownership remains prohibited in Makkah and Madinah, except under specific conditions for individual Muslim owners. Foreign individuals legally residing in the country may own a single residential property outside restricted zones for personal housing purposes. A central provision mandates that the Council of Ministers, based on recommendations from the Real Estate General Authority and with approval from the Council of Economic and Development Affairs, will designate the permissible zones for foreign ownership. These zones will include limits on ownership percentages and the duration of usufruct rights. Foreign-owned non-listed companies, licensed investment funds, and special-purpose entities may acquire real estate throughout the Kingdom, including in Makkah and Madinah, provided the ownership is for operational needs or employee housing. Listed companies and investment vehicles are permitted to own property in line with Saudi financial regulations. Diplomatic missions and international organisations will also be allowed to own property for official use, subject to Foreign Ministry approval and reciprocity. Mandatory registration and oversight Non-Saudi entities must register with the relevant authorities prior to acquiring real estate. Legal ownership or rights will only be recognised following registration in the national real estate registry. To enforce compliance, the law introduces a real estate transfer fee of up to 5 per cent for transactions involving non-Saudis. Violations could incur fines of up to SAR10m, with penalties including forced sales in severe cases such as the use of falsified documents. Proceeds from such sales will be transferred to the state after necessary deductions. A committee under the Real Estate General Authority will be established to monitor violations and impose sanctions. Affected parties can appeal committee decisions to the administrative courts within 60 days. Repeal of previous rules for GCC citizens The new law also revokes a previous ban on real estate ownership by Gulf Cooperation Council (GCC) citizens in Makkah and Madinah, thereby aligning the rules for all non-Saudi individuals and entities under a single legal framework. Executive regulations, including geographic boundaries and implementation procedures, are expected to be issued within six months. The law replaces the previous foreign ownership legislation issued under Royal Decree No. M/15 in 2000.
The Independent
5 days ago
- Business
- The Independent
The stunning coastal area with highest proportion of homeowners in the UK
The area with highest proportion of homeowners in the UK has been revealed in newly-released figures. Nearly half of properties in North Norfolk are owned outright by their occupants, a higher proportion than any other local authority in England. The thin strip of East Anglia coastline, which includes the seaside towns of Cromer and Sheringham, has for several years been the area of England with the largest percentage of population aged 65 and over. The data has been published by the Office for National Statistics (ONS) as part of its latest estimates of household tenure, which also includes figures for accommodation that is rented or owned with a mortgage or loan. North Norfolk tops the list for the highest percentage of properties owned outright by occupants (49.8 per cent), followed by Rother in East Sussex (48.7 per cent), Staffordshire Moorlands (48.2 per cent), Derbyshire Dales (48.2 per cent) and East Lindsey in Lincolnshire (47.4 per cent). Three of these five – North Norfolk, Rother and East Lindsey – are also the local authorities where people aged 65 and over account for the largest share of the population. The areas with the greatest proportion of homes owned outright by occupants tend to be in coastal regions or away from cities, the ONS said. The top five with the lowest percentage of outright ownership are all in London: Tower Hamlets (8.4 per cent), Hackney (10.0 per cent), Southwark (10.8 per cent), Islington (11.8 per cent) and Lambeth (12.1 per cent). However, the trend is reversed for properties that are privately rented. Here the top five areas with the highest proportion are all in the capital: City of London (51.8 per cent), Westminster (47.9 per cent), Kensington & Chelsea (42.8 per cent), Newham (41.1 per cent) and Tower Hamlets (41.0 per cent). The bottom five are outside cities and away from heavily built-up areas: North East Derbyshire (10.3 per cent), South Staffordshire (10.6 per cent), Rochford in Essex (10.6 per cent), Bromsgrove in Worcestershire (10.7 per cent) and Maldon in Essex (11.7 per cent). The ONS figures are for 2023 and suggest there were a total of 23.7 million households in England living in 25.4 million dwellings. Of this total, 8.3 million dwellings (32.6 per cent) were owned outright, 7.6 million (29.8 per cent) were owned with a mortgage or a loan, 5.3 million (20.8 per cent) were privately rented and 4.2 million (16.7 per cent) were socially rented, mainly from housing associations and local authorities. Wokingham in Berkshire has the highest proportion of properties owned with a mortgage or loan (42.3 per cent), followed by Dartford in Kent (41.4 per cent), Hart in Hampshire (39.5 per cent), Bracknell Forest in Berkshire (39.4 per cent) and Reigate & Banstead in Surrey (39.0 per cent). The areas with the lowest proportion are again all in London: Westminster (13.3 per cent), Kensington & Chelsea (13.8 per cent), Camden (14.9 per cent), City of London (15.1 per cent) and Islington (17.1 per cent). For properties that are socially rented, the top five areas are in the capital: Islington (38.9 per cent), Southwark (38.5 per cent), Hackney (38.5 per cent), Lambeth (33.4 per cent) and Camden (31.7 per cent). The bottom five are Castle Point in Essex (5.3 per cent), Wokingham (7.1 per cent), Medway in Kent (7.3 per cent), Wyre in Lancashire (7.6 per cent) and Ribble Valley in Lancashire (7.8 per cent).
The Independent
5 days ago
- Business
- The Independent
North Norfolk has highest proportion of properties owned outright
Nearly half of properties in North Norfolk are owned outright by their occupants, a higher proportion than any other local authority in England, new figures show. The thin strip of East Anglia coastline, which includes the seaside towns of Cromer and Sheringham, has for several years been the area of England with the largest percentage of population aged 65 and over. The data has been published by the Office for National Statistics (ONS) as part of its latest estimates of household tenure, which also includes figures for accommodation that is rented or owned with a mortgage or loan. North Norfolk tops the list for the highest percentage of properties owned outright by occupants (49.8%), followed by Rother in East Sussex (48.7%), Staffordshire Moorlands (48.2%), Derbyshire Dales (48.2%) and East Lindsey in Lincolnshire (47.3%). Three of these five – North Norfolk, Rother and East Lindsey – are also the local authorities where people aged 65 and over account for the largest share of the population. The areas with the greatest proportion of homes owned outright by occupants tend to be in coastal regions or away from cities, the ONS said. The top five with the lowest percentage of outright ownership are all in London: Tower Hamlets (8.4%), Hackney (10.0%), Southwark (10.8%), Islington (11.8%) and Lambeth (12.1%). However, the trend is reversed for properties that are privately rented. Here the top five areas with the highest proportion are all in the capital: City of London (51.8%), Westminster (47.9%), Kensington & Chelsea (42.8%), Newham (41.1%) and Tower Hamlets (41.0%). The bottom five are outside cities and away from heavily built-up areas: North East Derbyshire (10.3%), South Staffordshire (10.6%), Rochford in Essex (10.6%), Bromsgrove in Worcestershire (10.7%) and Maldon in Essex (11.7%). The ONS figures are for 2023 and suggest there were a total of 23.7 million households in England living in 25.4 million dwellings. Of this total, 8.3 million dwellings (32.6%) were owned outright, 7.6 million (29.8%) were owned with a mortgage or a loan, 5.3 million (20.8%) were privately rented and 4.2 million (16.7%) were socially rented, mainly from housing associations and local authorities. Wokingham in Berkshire has the highest proportion of properties owned with a mortgage or loan (42.3%), followed by Dartford in Kent (41.4%), Hart in Hampshire (39.5%), Bracknell Forest in Berkshire (39.4%) and Reigate & Banstead in Surrey (39.0%). The areas with the lowest proportion are again all in London: Westminster (13.3%), Kensington & Chelsea (13.8%), Camden (14.9%), City of London (15.1%) and Islington (17.1%). For properties that are socially rented, the top five areas are in the capital: Islington (38.9%), Southwark (38.5%), Hackney (38.5%), Lambeth (33.4%) and Camden (31.7%). The bottom five are Castle Point in Essex (5.3%), Wokingham (7.1%), Medway in Kent (7.3%), Wyre in Lancashire (7.6%) and Ribble Valley in Lancashire (7.8%).
Argaam
5 days ago
- Business
- Argaam
KSA issues law on non-Saudis property ownership
Saudi Arabia issued today, July 25, the law on non-Saudis property ownership, which has been recently approved by the Cabinet. The 15-Article law will come into effect 180 days after publication in the Official Gazette. Based on Article 2 of the law, non-Saudis may own real estate or acquire other in-kind rights over property within the Kingdom, in the geographic scope determined by the Cabinet. The Cabinet shall determine the geographic scope where non-Saudis may own real estate or acquire other rights in kind over property, the type of these rights, the maximum ownership percentages for non-Saudis within the defined geographic scope, the maximum period permitted duration for non-Saudis to acquire usufruct rights over property, along with any regulations related to non-Saudis owning property or acquiring in-kind rights. A non-Saudi natural person who is legally residing in the Kingdom may own one property designated for personal residence outside the geographic scope referred to above—excluding the cities of Makkah and Madinah. The right of non-Saudis to own property or acquire other in kind rights—mentioned in the above section—within the cities of Makkah and Madinah shall be limited to Muslim natural persons only. Moreover, the law stipulates that without prejudice to any fees or taxes prescribed by law, a fee shall be imposed and collected by the Authority on the value of a non-Saudi's disposal of in-kind rights over property in the Kingdom, not exceeding 5% of that value. Without prejudice to any fees or taxes prescribed by law, the authority shall impose a fee of no more than 5% of the value of the non-Saudi's disposal of real estate rights in the Kingdom. In the event of a violation of this law—and without prejudice to any harsher penalty stipulated in another law—any person who violates this law shall be penalized.
