RIYADH : The directive, issued under the guidance of Crown Prince Mohammed bin Salman and confirmed by the Saudi Press Agency (SPA) on Thursday, took effect on September 25, 2025.
The move is part of sweeping regulatory reforms to govern landlord-tenant relations and promote transparency, fairness, and sustainability in Riyadh’s property market. The Real Estate General Authority has been tasked with enforcing the measures in coordination with relevant government bodies, including monitoring rental prices, publishing clarifications, and raising public awareness of the new procedures.
Under the rules, landlords are barred from raising rents on both new and existing leases within Riyadh’s urban boundaries for five years. Vacant properties will have rent pegged to their previous lease agreements, while unleased units will have rents agreed upon between landlords and tenants. All contracts must also be registered electronically on the government’s “Ejar” system, with a 60-day objection period.
Automatic lease renewals will apply unless notice of termination is provided at least 60 days before expiry, with exceptions allowed for structural defects, non-payment, or landlords’ personal use. Landlords may contest valuations only in cases of significant renovations or outdated contracts predating 2024.
Violations of the freeze will attract strict penalties, including fines of up to 12 months of rent. Informants reporting breaches may be awarded up to 20 percent of the collected fines.
Officials emphasised that these measures reflect Crown Prince Mohammed bin Salman’s vision of creating a balanced and secure real estate environment. “The regulations reinforce fairness in contractual relationships and lay the groundwork for sustainable urban development,” authorities said, highlighting that the framework draws on international best practices.
The rent freeze comes amid a sharp rise in rental prices in Riyadh in recent years, raising concerns for residents and businesses alike.
Effective September 25, 2025, Saudi Arabia has frozen rents in Riyadh for five years to promote fairness and transparency in the real estate market. The Real Estate General Authority will enforce the rules, which include penalties for violations and require electronic lease registration. The initiative aligns with Crown Prince Mohammed bin Salman's vision for sustainable urban development.