Saudi Arabia City Real Estate Comparison Dashboard
Saudi Arabia’s five major real estate markets — Riyadh, Jeddah, the Dammam Metropolitan Area, Makkah, and Madinah — together account for approximately 3.5 million residential units and the overwhelming majority of the Kingdom’s real estate transaction volume. Each city operates within distinct demand dynamics, pricing structures, and growth trajectories shaped by its economic base, population composition, and role in Vision 2030 development planning. This dashboard presents side-by-side comparative data across every measurable dimension of these markets, sourced from GASTAT, SAMA, JLL, Knight Frank, CBRE, and Cavendish Maxwell quarterly releases.
Market Size and National Share
Riyadh dominates the national market with 41.5% of total Saudi real estate activity (Mordor Intelligence, 2025). The capital’s outsized share reflects the concentration of government institutions, 600+ multinational regional headquarters under the RHQ programme, and the clustering of giga-project development including Diriyah Gate (USD 63 billion), New Murabba (USD 50 billion), King Salman Park (USD 5+ billion), and Qiddiya (360 sq km). Riyadh also accounts for 48% of the national commercial real estate market.
Jeddah, as the western gateway and commercial capital of the Hejaz region, serves as the second-largest market with strong tourism-driven demand and waterfront development potential. The DMA, anchored by the petroleum industry and Aramco headquarters, represents the Kingdom’s eastern economic engine. Makkah and Madinah operate as distinct spiritual-tourism markets where pilgrimage flows and religious infrastructure investment drive property dynamics.
Residential Stock
| City | Total Units | Completions (Latest) | Pipeline 2026-2028 |
|---|---|---|---|
| Riyadh | 2.18M | 9,500 (Q4 2025) | 57,000-70,000 units |
| Jeddah | 1.23M | 4,320 (Q3 2025) | Moderate expansion |
| DMA | 725,812 | 428 (Q3 2025) | Limited new supply |
| Makkah | 428,200 | — | To reach 462,000 by 2028 |
| Madinah | 353,400 | — | 27,860 units to 381,200 by 2028 |
Total residential supply across these five markets stands at approximately 3.5 million units as of Q1 2025, expected to reach 3.8 million by end 2027 (JLL / Knight Frank). Annual housing demand is estimated at 115,000+ homes needed through 2030 to meet demand from Saudi nationals alone, before accounting for non-Saudi resident demand from the 15.7 million expatriate population. Some 22,800 new residential units were set for delivery by end 2025 across the three major cities, with 105,000 additional homes planned for 2026-2027.
Riyadh’s pipeline is by far the largest, reflecting both government developer mandates (ROSHN and NHC) and private sector activity. The DMA’s modest completion figures (428 units in Q3 2025) belie the region’s growth trajectory, with the 8.41% projected CAGR suggesting accelerating development activity in the near term. Makkah and Madinah expansion is primarily tied to hospitality and pilgrimage infrastructure rather than conventional residential supply.
Apartment Pricing (SAR/sqm)
| City | General Average | Luxury/Prime | YoY Change | Key Prime Districts |
|---|---|---|---|---|
| Riyadh | 4,971-5,200 | 6,600-15,000 | +10.6% | DQ (12,000-18,000), Al Olaya (10,000-15,000), KAFD (7,500-10,000) |
| Jeddah | 4,200-4,500 | 8,000-14,000 | +1.6% | Al-Shati, Al-Hamra |
| DMA | 2,500-5,000 | Up to 5,000 | +0.9% | Khobar prime (3,397/sqm) |
| Makkah | 3,650 avg | 10,000+ (Haram) | -0.5% QoQ | Near Haram zone |
| Madinah | 3,835 avg | 950,000+ total (prime) | +2.5% | Near Prophet’s Mosque |
Riyadh apartment prices surged 8.4% annually in Q1 2024 at the city-wide level, with the momentum continuing through 2025. The capital’s northern premium neighbourhoods — An Narjis and Al Sahafah — command up to SAR 11,000/sqm, nearly triple southern districts like Al Shifa. This north-south pricing gradient reflects the concentration of new development, giga-projects, and expatriate demand in northern Riyadh. Jeddah’s more moderate growth (1.6% year-on-year) reflects a more balanced supply-demand dynamic, though waterfront luxury areas command Riyadh-comparable premiums. Makkah’s slight quarterly decline (-0.5%) masks structural differences between the hyper-premium Haram-adjacent zone and general residential areas, where the spiritual-tourism demand driver operates differently from conventional residential demand. Madinah apartment prices start from SAR 320,000 in outer districts but exceed SAR 950,000 in prime areas near the Prophet’s Mosque.
Villa Pricing (SAR/sqm)
| City | General Average | Premium | YoY Change | Notable Data Points |
|---|---|---|---|---|
| Riyadh | 5,824-6,000 | 9,500-13,500 | +3-6% forecast | DQ villas SAR 5-12M for 300+ sqm |
| Jeddah | 5,000-5,707 | 8,000-14,000 | +3.1% | Al-Shati/Al-Hamra luxury |
| DMA | 1,080 (entry) | 9,500 (prime) | Variable | Most affordable major city |
| Makkah | 3,420 avg | — | +0.4% | Constrained by topography |
| Madinah | 3,500 avg | — | -0.3% | Slight softening |
The DMA’s entry-level villa pricing at SAR 1,080/sqm stands out as the most affordable among major Saudi cities, representing approximately one-fifth of Riyadh’s suburban villa pricing and one-twelfth of Riyadh’s premium villa pricing. This affordability advantage, combined with the region’s 8.41% projected CAGR, makes the DMA a value-oriented growth market. Riyadh villas showed acceleration through the GASTAT index, with Q4 2024 villa prices posting 6.5% annual growth. Jeddah villa growth of 3.1% reflects steady demand from the city’s established professional class and returning diaspora families.
Rental Market
| City | Annual Apartment Rent | YoY Change | Annual Villa Rent | YoY Change |
|---|---|---|---|---|
| Riyadh | SAR 30,832 ($8,201) | +19.6% | SAR 88,715 ($23,598) | +17.2% |
| Jeddah | SAR 25,013 ($6,653) | +2.6% | SAR 65,163 ($17,333) | -2.7% |
| DMA | — | — | — | — |
| Makkah | SAR 1,500-6,000/month | Spiritual premium | — | — |
| Madinah | SAR 1,000-4,000/month | — | — | — |
Riyadh rental growth of 19.6% for apartments and 17.2% for villas in 2025 dramatically outpaced all other Saudi cities, reflecting the acute demand-supply imbalance created by the RHQ programme and population influx. Jeddah’s modest apartment rental growth (2.6%) and villa rental decline (-2.7%) indicate a more balanced market with less demand pressure. The five-year rent freeze enacted September 2025 caps future increases on existing leases through September 2030, though new leases can be set at prevailing market rates.
Makkah and Madinah rents are heavily influenced by pilgrimage seasonality. Hajj and Umrah periods command substantial premiums, and the spiritual significance of proximity to the Grand Mosque and Prophet’s Mosque creates unique rental dynamics not found in conventional markets. Furnished apartments near the Haram can command monthly rents several times the rates in general residential areas.
Rental Yields
| City | Apartment Yield | Villa Yield | Key Notes |
|---|---|---|---|
| Riyadh | 8-12% gross | 5-8% gross | STC index 8.89%; net ROI 5-8% apartments, 3-6% villas |
| Jeddah | 7-8.5% gross | 5-7% gross | STC index 7.89%; tourism-driven short-term boosts |
| DMA | 6-8% gross | 5-7% gross | Value-oriented yields |
| Makkah | 5-7% gross | 4-6% gross | Seasonal pilgrimage premium |
| Madinah | 5-7% gross | 4-6% gross | Spiritual tourism demand |
National average gross rental yield stands at 6.75% (Q1 2025, Global Property Guide), with Riyadh apartments delivering the highest yields nationally. The most expensive luxury areas yield up to 11.7% gross (Omnia Capital Group), a counterintuitive result driven by Riyadh’s acute supply shortage in premium segments. Furnished apartments yield 15-20% higher rents than unfurnished equivalents, particularly in short-stay markets near business districts and giga-project zones.
The rent freeze creates a temporal dimension to yield analysis: properties acquired before September 2025 with existing tenants face frozen rents, while properties acquired for new leasing can be set at current market rates. This distinction matters significantly for yield calculations and investment timing decisions.
Transaction Volume
| City | Deals (Q3 2025) | Value (Q3 2025) | QoQ Change | YoY Change |
|---|---|---|---|---|
| Riyadh | ~13,000 | SAR 17.6B ($4.69B) | +18.7% | -44.3% |
| Jeddah | 7,500 | SAR 8.7B ($2.31B) | +10% | — |
| DMA | 3,000 | — | +37% | +58.5% |
| Makkah | — | — | — | Deals +11%, value -33% H1 |
| Madinah | — | SAR 3.4B (H1) | — | +49% value, +38% volume H1 |
Transaction data reveals divergent market trajectories. Riyadh’s sequential quarterly recovery (+18.7% QoQ) follows a sharp year-on-year contraction (-44.3%), suggesting market recalibration from an elevated 2024 base rather than fundamental weakness. The DMA’s transaction surge (+58.5% YoY) confirms the region’s emergence as the Kingdom’s fastest-growing market by activity volume. Madinah’s exceptional H1 2025 performance — 49% year-on-year surge in residential sales value and 38% growth in transaction volumes — marks the highest growth rate in the Kingdom, driven by new development activity around Rua Al Madinah and Knowledge Economic City.
Makkah’s H1 2025 data shows an interesting divergence: deal count increased 11% while total value fell 33%, indicating a shift toward more affordable or smaller units. This pattern suggests broadening market access as mid-market buyers enter Makkah’s property market alongside the traditional investor and high-net-worth purchaser base.
Nationally, total real estate transactions reached SAR 123.8 billion (USD 32.9 billion) in H1 2025, with residential accounting for 63% of total value (SAR 77.5 billion). The 2024 full-year residential figure for major cities was SAR 118 billion across 102,522 transactions — a 50% increase versus 2023. Sales transactions accounted for 65.1% of market activity, anchored by villa purchases in Riyadh Al Narjis and Jeddah Al Hamra.
Growth Projections
| City | Projected CAGR | Key Driver | Risk Factors |
|---|---|---|---|
| Riyadh | 7-8% | RHQ programme, giga-projects, capital city premium | Oversupply from 2026 pipeline; rent freeze |
| DMA | 8.41% | Industrial expansion, Aramco ecosystem, affordability | Oil price sensitivity |
| Jeddah | 6-7% | Tourism, waterfront development, Red Sea proximity | Competition from DMA |
| Makkah | — | Pilgrimage infrastructure (Jabal Omar, Masar, Thakher) | Land constraints; price sensitivity |
| Madinah | — | Rua Al Madinah, KEC, pilgrimage growth | Smaller market scale |
The DMA’s projected 8.41% CAGR to 2031 exceeds even Riyadh’s 7-8% range, reflecting the Eastern Province’s combination of industrial base, affordability advantage, and expanding infrastructure. Riyadh’s growth projection must be tempered by supply risks: 57,000-70,000 new units in the near-term pipeline could test absorption capacity, particularly if giga-project residential phases (New Murabba, KAFD expansion) deliver simultaneously. Jeddah’s 6-7% projection reflects steady organic growth without the giga-project concentration that drives both upside and risk in Riyadh.
Price Index Trajectory (GASTAT)
| Period | Overall YoY | Residential | Commercial | Riyadh Regional |
|---|---|---|---|---|
| Q2 2024 | +1.7% | +2.8% | — | — |
| Q3 2024 | +2.6% | +1.6% (land) | +6.4% | +10.2% (highest) |
| Q4 2024 | +3.6% | +3.1% | — | — |
| Q1 2025 | +4.3% | +5.1% | — | — |
| Q2 2025 | +3.2% | — | — | — |
The GASTAT price index trajectory through Q1 2025 showed progressive acceleration (1.7% to 2.6% to 3.6% to 4.3%) before moderating to 3.2% in Q2. This pattern is consistent with a market that experienced rapid catch-up growth following the 18.2% 2014-2019 correction, with the pace of appreciation now normalising. The Housing Price Index stood at 103.50 points in Q4 2025, down from 103.90 in Q3. Riyadh’s regional index posted 10.2% year-on-year growth in Q3 2024 — the highest among all administrative regions. By contrast, the Makkah region showed -1.3% and the Eastern Region -8.3% in the same period, highlighting the geographic concentration of price strength.
Demographic Drivers
| Metric | Value | Implication |
|---|---|---|
| National population | 35.3M (+4.7% YoY, 2024) | Sustained housing demand growth |
| Non-Saudi residents | 15.7M (44.4%) | Rental demand; foreign ownership potential |
| Nationals under 30 | 63% | Massive household formation wave |
| Nationals under 20 | 45% | Long-term demand pipeline |
| Homeownership rate | 65.4% (target 70%) | 4.6 percentage points to Vision 2030 goal |
| Mid-market gap | USD 133K-400K = 72% unmet demand | Largest opportunity in mid-market segment |
Saudi Arabia’s demographic profile creates structural tailwinds for housing demand that extend through the 2030s. The concentration of nationals in younger age cohorts — 63% under 30, 45% under 20 — guarantees a sustained wave of household formation that will translate into mortgage applications, rental demand, and property purchases over the coming decade. The lowering of the minimum age for REDF housing support from 25 to 20 years in May 2025 accelerates this demand release by enabling younger citizens to access subsidised mortgage financing earlier.
The non-Saudi population of 15.7 million represents an underserved demand pool that the foreign ownership law now partially addresses. Historically confined to the rental market, non-Saudi residents who meet the ownership criteria can now purchase property in designated zones, converting rental demand into purchase demand and deepening market liquidity.
For detailed city profiles, market data, investment analysis, or developer coverage, explore our sections. Contact info@saudiarabiahouses.com for comparative data feeds.