REGA Tightens Real Estate Enforcement Across Kingdom

The Real Estate General Authority (REGA) is stepping up enforcement against non-compliant property firms across the Kingdom, including the markets of Riyadh, Jeddah and the Eastern Province, with penalties that range from financial fines to suspension or cancellation of licenses.

Under the published penalty schedule, some brokerage violations can reach fines of up to SAR 200,000. Unlicensed real estate activity may carry fines of SAR 5,000 or SAR 10,000, while certain license breaches can result in suspension for up to one month or full cancellation of the license.

Other categories are also covered. Violations of mandatory contracts and forms are listed at SAR 1,000 Obstructing inspectors can lead to a SAR 5,000 fine, a suspension of up to one month, or cancellation, depending on the violation class. Actions that harm client interests or breach the law may trigger a SAR 600 fine, suspension of up to one month, or cancellation. REGA has also noted that repeat violations within three years can lead to doubled fines.

For foreign-ownership-related real estate violations, the fee in the zones covering Riyadh, Jeddah, Makkah and Madinah is 2% of the covered property transaction value. Penalties in some cases can reach up to 5% of the value, with a cap of SAR 10,000,000.

Why it matters: the tighter enforcement is intended to protect buyers, sellers and tenants, and to raise professional standards across the sector. Residents and businesses dealing with property firms are advised to verify licenses through REGA's official website before entering into any agreement.

---

Stay updated with the latest news, events, sports updates, business insights, real estate and lifestyle stories on Saudi Living — the leading online platform for residents, expats, and visitors in Saudi Arabia.

Follow Saudi Living for daily updates:

• Instagram - @saudiliving
• X - @saudiliving
• Facebook - @saudiliving
• YouTube - @saudiliving