REGA Steps Up Property Violation Crackdown

The Real Estate General Authority (REGA) has stepped up enforcement against property-market violations across Riyadh, Jeddah in the Makkah Region, and the Eastern Province, combining field inspection tours with electronic monitoring to ensure compliance with real estate legislation and the Real Estate Brokerage Law.

Recent campaigns covered thousands of real estate establishments and sites, with more than 14,000 to 17,000 field audits of advertising signs and offices conducted in single months. The reviews identified several thousand violations of real estate advertisement rules.

Common violations

Inspectors most often flagged practising real estate brokerage or services without a valid REGA license, failing to verify information from property owners before advertising, and not displaying the licensee's name and license number on ads, including outdoor signs and digital listings. Some joint campaigns with other ministries also addressed Saudization and establishment-licensing requirements.

The penalty framework begins with a warning for lower-level or first-time cases, and escalates to suspension or revocation of brokerage licenses for repeated or serious breaches. Financial fines reach up to SAR 200,000 and may be doubled if the same violation recurs within three years.

For broader real-estate violations tied to ownership and registration, fines can reach up to 5% of the value of the property right, capped at SAR 10,000,000. Using false or misleading information to obtain ownership carries the heaviest tier, including fines up to SAR 10,000,000 and compulsory sale of the property by public auction.

Violators are given a rectification period of between 10 and 180 days before full penalties apply, depending on the type of breach. Objections may be filed with specialised committees within REGA, with the option to appeal to the Administrative Court within 60 days. The move aims to protect residents and investors dealing in the property market and to raise transparency across listings and brokerage services.

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