Saudi Arabia: Premium Residency, Property Ownership and Compensation Structuring Under Vision 2030 - Part 2

The Law of Real Estate Ownership by Non-Saudis took effect earlier this year, allowing individuals, companies and funds to buy property in designated zones across the Kingdom.  This landmark reform operates alongside Saudi Arabia's Premium Residency program, which allows approved foreign residents to live, work, invest and own property without a traditional sponsor. Now expanded into seven distinct categories, the program offers broader eligibility for skilled professionals and individuals with exceptional talent, investors, entrepreneurs and property owners. 

In Part 1, we explored how rent stabilization measures, housing market shifts and evolving residency pathways are already reshaping mobility and housing strategies across Saudi Arabia. Part 2 of this blog series examines the Premium Residency framework, the new rules for foreign property ownership and the Kingdom's longer-term economic outlook. Together, these developments are redefining how internationally mobile professionals, global employers and institutional investors engage with the Saudi real estate market. 

Premium Residency and the Shift Toward Ownership 

Premium Residency Overview 

The Premium Residency Permit (PRP) is a self-sponsored long-term residency visa. It allows eligible foreign nationals to live, work, invest and own business or property in Saudi Arabia without a local sponsor or employer. 

Holders can sponsor dependents, including a legally recognized opposite-sex spouse, sons under the age of 25, unmarried daughters of any age, parents and domestic workers. Holders are exempt from monthly levies typically imposed on expatriates and their dependents. They may also enter and exit Saudi Arabia without a separate exit/re-entry visa. 

In early 2024, Saudi Arabia restructured its Premium Residency Program, formally expanding it into seven distinct categories. This update broadened eligibility beyond a narrow group of high‑net‑worth individuals to include skilled professionals, investors, entrepreneurs and property owners. 

Applications are submitted through a centralized electronic platform operated by the Saudi Premium Residency Center. Under the updated framework, certain employers and institutions are formally recognized, allowing eligible applicants to qualify through approved employment or institutional affiliation.  

The Seven PRP Categories at a Glance 

 

A Note on Employer Whitelisting 

For talent-based PRP categories, employer eligibility matters as much as individual eligibility. The Special Talent and related tracks require applicants to hold a contract with a Saudi employer formally approved and listed on the government whitelist maintained by the Saudi Premium Residency Center (SPRC). An employee who meets every personal threshold may still be ineligible if their employer has not been whitelisted. 

As of early 2026, 1,028 government entities and 3,484 private sector firms had been approved to support employees applying under these tracks. For global mobility and HR teams, the practical implication is clear: verify whitelist status before building PRP eligibility into a relocation or retention proposition. Organizations not yet approved should engage with the SPRC process as a priority step. Whitelisting is the gateway and without it, the pathway to PRP for talent-based applicants does not open. 

Fragomen's Saudi Arabia team supports organizations through both the whitelisting process and individual PRP applications, helping ensure that neither the employer nor the employee becomes the bottleneck in a time-sensitive relocation. 

For global mobility professionals, the PRP signals something important: Saudi Arabia is shifting from a short-term posting destination to a long-term talent market. 

The PRP links residency to economic contribution:  

• Senior executives qualify through salary thresholds 

• Entrepreneurs qualify through investment  

• Researchers and healthcare professionals qualify through credentials and contributions  

• Property owners qualify through asset commitment  

• Eligibility for the PRP is no longer a remote possibility reserved for a narrow group of ultra-high-net-worth individuals. It is a realistic, structured outcome for a wide range of senior professionals on well-designed packages. For employers, this creates a clear advantage—the ability to live, invest and build a future in one of the fastest-growing economies in the world. 

What the New Ownership Law Means for Mobile Talent and Their Employers 

For years, the question of whether a senior professional could buy property in Saudi Arabia had no straightforward answer. That has now changed. 

For globally mobile professionals, this changes the nature of a Saudi assignment. Buying a home is no longer off the table. A senior hire relocating to Riyadh can now purchase property in their own name, build equity and make a genuine long-term commitment to the country. For employers, that shift in mindset from temporary posting to long-term presence has real implications for retention, talent attraction and how compensation packages are structured. 

The law is built for flexibility. Foreign nationals can own outright, hold long-term leasehold interests or acquire usufruct rights. Foreign residents can additionally own one residential property anywhere in the Kingdom for personal use, outside the designated zones. Companies and investment funds can acquire property to support business operations or house employees. For mobility teams managing group moves or building out regional headquarters, this opens up new options for corporate housing strategy. 

The Saudi Properties platform serves as the central digital gateway for all non-Saudi transactions. Registration is mandatory and the compliance framework carries real weight, with fines of up to SAR 10 million for violations. A transfer fee of up to 5 percent applies on disposals by non-Saudis. Anyone advising mobile employees on property decisions in the Kingdom should ensure these costs are factored into the financial planning conversation from the outset.  

For professionals considering Saudi Arabia as part of a broader wealth strategy, the barriers to entry have never been lower. Foreign nationals can use property ownership to secure long-term residency under the Real Estate Owner PR category. A property with a certified value of at least SAR 4 million in a designated area qualifies. According to a Knight Frank survey, up to 77 percent of expatriates in Saudi Arabia are now considering property purchase.  

A well-structured package that enables an employee to qualify for PRP through property is not just a benefit. It is a retention lever with lasting effect. 

Compensation Structuring to Support Eligibility 

Saudi Arabia's Premium Residency program is beginning to influence how employers structure compensation and benefits packages. Early indications suggest organizations may also be reassessing the treatment of non-salary housing benefits in light of PRP eligibility requirements. 

Many employers provide housing through employer-leased accommodations or direct payments to housing providers. Under certain Premium Residency categories, eligibility is assessed based on reported salary and income levels. These levels may not fully reflect the value of non-salary housing benefits. As a result, some employees may find that their qualifying income falls below required thresholds despite receiving substantial employer-provided housing support. 

In response, organizations are exploring alternative approaches. Some are converting all or part of traditional housing benefits into cash allowances or base salary. This enables housing support to be reflected in reported income for PRP eligibility purposes. It also gives employees greater flexibility to secure accommodation that suits their personal preferences. This shift appears to be driven primarily by employee requests rather than formal policy mandates. 

Senior executives are also turning to property purchases to meet residency requirements and build long-term housing.  Premium Residency requirements emphasize documented salary and assets, limiting the effectiveness of traditional housing benefits. Misalignment across HR, finance and mobility teams can also delay residency outcomes. 

Restructuring requires careful coordination across HR, tax and immigration functions to ensure compliance with local employment regulations, accurate income reporting and alignment with broader workforce and reward strategies. 

Five-Year Outlook: What Comes Next 

Over the next five years, Saudi Arabia's housing market is expected to continue evolving under active policy guidance: 

• Rent growth is likely to stabilize as new supply enters the market and the five-year freeze holds in Riyadh 

• Land development requirements should increase housing availability, particularly in high-demand urban cores 

• Foreign ownership is expected to grow meaningfully, supported by digital transaction infrastructure and the SAR 4 million Premium Residency property pathway 

• Housing will play a larger role in residency and retention strategies as the PRP program matures and institutional links deepen 

• The Vacant Real Estate Tax, once fully operational, will add further pressure on developers and investors to bring completed units to market 

Saudi Arabia's housing sector is emerging as a policy-shaped ecosystem rather than a purely market-driven one. This trajectory is aligned with national development goals. 

Conclusion 

Saudi Arabia is no longer a standard posting for global mobility teams. The rules have changed, the stakes are higher and the opportunity is growing. 

Professionals moving to the Kingdom now enter a market where rent is regulated, property ownership is open and a structured long-term residency program is within reach. It can transform a two-year assignment into a decade of retained talent. 

For mobility teams, the implications are clear. Compensation structures need to reflect PRP eligibility thresholds, not just cost of living. Housing strategies need to account for a market where buying is now a realistic option alongside renting. COLA benchmarks need to be city-specific, because Riyadh and Jeddah are moving in different directions. And the conversation with employees about what a Saudi assignment can offer needs to be updated, because the answer is now considerably more compelling than it was two years ago. 

Saudi Arabia is competing for the world's most mobile talent. The question for every global mobility manager is whether their organization's policies and packages are keeping pace. 

Need to Know More? 

For questions related to policy shifts, housing market dynamics, rent stabilization and cost of living in Saudi Arabia, please contact Destination Services Director Christine Sperr at [email protected]. 

This blog was published on 22 May 2026. Due to the pace of change in this market, frequent updates may be required. To keep up to date with all the latest updates on global immigration, please subscribe to our alerts and follow us on LinkedIn, Twitter, Facebook and Instagram.