RIYADH: Saudi Arabia’s real estate market has recorded SR1.6 trillion ($426.6 billion) in transactions over the three years since the Kingdom’s Real Estate Brokerage Law took effect, a senior official said.
Speaking at the third Real Estate Brokerage Forum in Riyadh, Tayseer Al-Mufarrej, general manager of strategic communications and official spokesperson for the Real Estate General Authority, said the Kingdom has licensed 117,691 real estate brokers, who have collectively facilitated more than 1.11 million brokerage contracts.
Introduced by REGA in 2022, the Real Estate Brokerage Law came fully into force nationwide in January 2023 following a six-month grace period for practitioners to regularize their status.
The legislation forms part of Saudi Arabia’s Vision 2030 strategy to modernize the real estate sector by strengthening regulation, professional standards and transparency, while complementing broader reforms, including updated rules governing foreign ownership and investment, that aim to attract international capital while safeguarding national interests.
Al-Mufarrej said the sector has recorded more than 13 million sales and rental transactions since the brokerage law took effect, adding that the authority is now focused on improving industry standards rather than simply increasing participation.
“We are now at a stage that focuses on the quality of practices more than increasing numbers. The goal is to build a more professional market in which every practitioner becomes a genuine addition to the sector,” he said at the forum.
The 3rd Real Estate Brokerage Forum, held at the Riyadh International Convention and Exhibition Center, brought together industry experts, licensed brokers, real estate firms and other stakeholders to discuss regulatory developments, professional standards and the future of brokerage services. The event coincided with the third anniversary of the law’s implementation.
Industry shifts focus to quality
During a panel discussion titled “Three Years Later: A Dialogue on the Future of Real Estate Brokerage,” Al-Mufarrej said REGA’s next phase of reform would focus on improving the quality of brokerage services by raising professional standards rather than expanding the number of practitioners.
He also stressed the importance of public awareness in improving compliance across the industry.
“Reporting violations and refraining from dealing with violators leads to fewer violations because public awareness is one of the most important tools for reducing real estate brokerage violations,” he said.
Al-Mufarrej noted that strengthening awareness is a shared responsibility between regulators and licensed brokers, while continued professional development will determine the sector’s long-term success.
He added that the transfer of additional responsibilities to REGA has helped create a more integrated regulatory framework and improve services for beneficiaries.
The forum also announced several new initiatives, including the entry of brokerage firms and auction businesses into the Kingdom’s real estate classification system, which will evaluate companies against eight performance criteria.
REGA also launched a new qualification pathway for brokers that concludes with a comprehensive in-person licensing examination, alongside the introduction of the Diploma in Real Estate Regulations and Legislation, a higher diploma developed in partnership with the Institute of Public Administration to strengthen professional qualifications across the sector.
The initiatives reflect REGA’s broader efforts to raise professional standards, strengthen transparency and support the continued development of Saudi Arabia’s real estate market as the Kingdom advances its Vision 2030 economic diversification agenda.
