REGA: Real Estate Legislation Enhances Transparency and Disclosure;
IMF Commends Sector Achievements
The Real Estate General Authority (REGA) confirmed that the real estate legislation introduced in recent years has significantly contributed to enhancing transparency and disclosure in the real estate market. This progress was recognized by the International Monetary Fund (IMF) in its report following the conclusion of the "Article IV Consultations 2024," which praised the real estate sector's achievements—particularly in raising beneficiary satisfaction with housing services and increasing the homeownership rate among citizens to 64%. These accomplishments are the result of continuous efforts to regulate the sector, enact effective legislation, digitize and govern real estate procedures, and enable public access to real estate data, information, and indicators.
REGA's Official Spokesperson, Mr. Taiseer bin Mohammed Al-Mufarrej, stated that the IMF's recognition coincides with the Kingdom’s ranking among the top 40 most transparent real estate markets globally, according to the JLL Global Real Estate Transparency Index. This ranking reflects the success of comprehensive reforms being implemented through REGA’s legislative framework, which now includes 18 key real estate laws. These laws aim to regulate the sector, support the objectives of stakeholders across both the sales and rental markets, and play a critical role in boosting the supply of residential and commercial properties. Such efforts enhance competitiveness and better meet the needs and expectations of market participants, thereby fostering a balanced, dynamic, and sustainable real estate environment through robust public-private partnerships.
Al-Mufarrej further noted that the comprehensive real estate strategy—rooted in Saudi Vision 2030—has provided a clear roadmap for the sector’s development and for addressing its challenges. This includes the introduction of new regulations, real estate indicators, targeted programs, and strategic initiatives that emphasize the importance of compliance with market-governing policies. These initiatives aim to document real estate processes and transactions, define and register real estate units with detailed attributes, and ensure ownership is accurately recorded through the Real Estate Registry. Moreover, REGA has established partnerships with key stakeholders to enhance the real estate indicator and develop comprehensive databases containing accurate, interactive market indicators. These tools support monitoring of market dynamics, identify challenges, and provide studies and policy recommendations to decision-makers.
It is worth noting that REGA’s Off-Plan Real Estate Projects Sale and Lease Law was introduced to regulate contractual relationships and expand supply across various real estate segments—residential, commercial, agricultural, tourism, industrial, and investment. The Real Estate Contributions Law offers financing solutions that help accelerate construction and increase the variety of real estate options. Meanwhile, the Real Estate Brokerage Law aims to reduce disputes and create a secure environment for all stakeholders by raising the standards of real estate professionals, ensuring their compliance, and verifying the authenticity of advertisements—whether displayed in public spaces or online. In addition, REGA has facilitated easier access to real estate services through digital platforms that allow beneficiaries to complete their transactions efficiently and quickly, thereby strengthening the sector's contribution to the Kingdom’s non-oil GDP.