Saudi Arabia’s mortgage financing portfolio has surpassed SR900 billion ($240 billion) in 2025, reflecting the Kingdom’s ongoing real estate transformation under Vision 2030, according to Minister of Municipal and Rural Affairs and Housing, Majid Al-Hogail.
Speaking at the third Qatar Real Estate Forum in Doha—where Saudi Arabia participated as the guest of honor—Al-Hogail highlighted the Kingdom’s real estate progress. He attributed the sharp rise in mortgage lending to the country’s sweeping regulatory reforms, rapid digital transformation, and the introduction of new investment models.
The minister explained that real estate financing is now a cornerstone of the sector’s growth and sustainability. The value of mortgage portfolios has risen significantly, from around SR200 billion a few years ago to over SR900 billion in 2025. This growth reflects the government’s commitment to achieving a 70% homeownership rate for Saudi citizens under Vision 2030.
Mortgage financing now makes up 27% of Saudi banks’ total portfolios, supported by institutions such as the Saudi Real Estate Refinance Company (SRC). The SRC has contributed to this growth by issuing sukuk on the London Stock Exchange, helping to deepen the Kingdom’s integration with global capital markets.
Al-Hogail also emphasized the development of a comprehensive real estate ecosystem that links landowners, developers, service providers, and facility managers. This integrated approach has made the system more efficient, transparent, and collaborative.
He pointed out a shift in priorities within the sector. “Previously, the challenge was to provide housing. Today, the challenge is to provide happiness for those living in these communities,” the minister said. This reflects the government’s focus on not just housing quantity, but also quality of life.
The minister outlined the pivotal role of the National Housing Company, established in 2016 as the primary body responsible for urban development execution. He also noted the success of the Wafi program, which regulates off-plan property sales and has enabled more than 100 national developers to deliver large-scale, globally competitive projects.
In a significant regional development, Al-Hogail announced a new agreement with Qatar’s Diyar Company to expand its operations in Saudi Arabia. The partnership underscores a growing trend of Gulf-wide collaboration in real estate and infrastructure development.
Al-Hogail also presented the “Saudi Architecture” initiative, launched under the leadership of Crown Prince Mohammed bin Salman. This initiative represents a cultural shift from focusing purely on construction to developing a national architectural identity. It has already produced 19 unique architectural styles, reflecting the Kingdom’s regional diversity.
On the digital front, the minister highlighted that six Saudi cities are now ranked among the top 100 smart cities in the world, according to the IMD Smart City Index. The country’s strong digital infrastructure has enabled the full digitization of real estate transactions, making property a more liquid and accessible investment vehicle.
In his closing remarks, Al-Hogail stressed the importance of Gulf integration in building a more mature and sustainable regional real estate market. He praised Qatar for organizing the forum, calling it a vital platform for enhancing cooperation and driving innovation in the sector.