{"id":991632,"date":"2024-10-15T11:48:21","date_gmt":"2024-10-15T11:48:21","guid":{"rendered":"https:\/\/faisal-binsaedan.com\/?p=991632"},"modified":"2024-10-16T10:21:41","modified_gmt":"2024-10-16T10:21:41","slug":"mortgages-in-saudi-arabia","status":"publish","type":"post","link":"https:\/\/faisal-binsaedan.com\/en\/mortgages-in-saudi-arabia\/","title":{"rendered":"How to get a Mortgage in Saudi Arabia"},"content":{"rendered":"<p><span class=\"s22\">The Real Estate Bank supports Saudi citizens in purchasing and building new homes by offering real estate financing loans.<\/span><\/p>\n<p><span class=\"s22\">This initiative allows borrowers to receive financial assistance tailored to their <a href=\"https:\/\/faisal-binsaedan.com\/en\/\">real estate<\/a> needs, with favorable terms and benefits, including moderate monthly installments.<\/span><\/p>\n<p><span class=\"s22\">Following the Real Estate Bank guidelines, borrowers can receive amounts up to 500,000 Saudi Riyals through this program.<\/span><\/p>\n<p>The borrower&#8217;s age must not exceed 70 years, and the guarantor&#8217;s age must not exceed 55 years. The monthly income should not exceed 12,500 SAR. The loan amount ranges from 18,000 to 60,000 SAR, with a repayment period of up to 4 years, and payments are made on a monthly basis.<\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_76 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/faisal-binsaedan.com\/en\/mortgages-in-saudi-arabia\/#Benefits_of_the_New_Real_Estate_Financing_Loan\" >Benefits of the New Real Estate Financing Loan<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/faisal-binsaedan.com\/en\/mortgages-in-saudi-arabia\/#The_New_Real_Estate_Financing_System\" >The New Real Estate Financing System<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/faisal-binsaedan.com\/en\/mortgages-in-saudi-arabia\/#Cash_Guarantee\" >Cash Guarantee:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/faisal-binsaedan.com\/en\/mortgages-in-saudi-arabia\/#Value_of_Real_Estate_Financing\" >Value of Real Estate Financing:<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/faisal-binsaedan.com\/en\/mortgages-in-saudi-arabia\/#Steps_to_Apply_for_the_Real_Estate_Financing_Loan\" >Steps to Apply for the Real Estate Financing Loan:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/faisal-binsaedan.com\/en\/mortgages-in-saudi-arabia\/#Conditions_for_Obtaining_Real_Estate_Financing\" >Conditions for Obtaining Real Estate Financing<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/faisal-binsaedan.com\/en\/mortgages-in-saudi-arabia\/#New_Housing_Bank_Conditions\" >New Housing Bank Conditions<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Benefits_of_the_New_Real_Estate_Financing_Loan\"><\/span><span class=\"s23\">Benefits of the New Real Estate Financing Loan<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li class=\"s25\"><span class=\"s22\">Financing amounts up to 500,000 Saudi Riyals, secured with a cash guarantee.<\/span><\/li>\n<li class=\"s25\"><span class=\"s22\">The down payment for the primary residence starts at 10%, while for the secondary residence, it is 30%.<\/span><\/li>\n<li class=\"s25\"><span class=\"s22\">The financing complies with Islamic Sharia provisions.<\/span><\/li>\n<li class=\"s25\"><span class=\"s22\">Free insurance coverage for protection against earthquakes, fires, and natural disasters is included.<\/span><\/li>\n<li class=\"s25\"><span class=\"s22\">The salary deduction percentage does not exceed 65% of the total salary.<\/span><\/li>\n<li class=\"s25\"><span class=\"s22\">The repayment period can extend up to 25 years.<\/span><\/li>\n<\/ul>\n<p><strong>Read<\/strong>: <a href=\"\/?p=991675\">Conditions and Requirements of Renovation Loan<\/a>.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"The_New_Real_Estate_Financing_System\"><\/span><span class=\"s23\">The New Real Estate Financing System<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><span class=\"ez-toc-section\" id=\"Cash_Guarantee\"><\/span><span class=\"s26\">Cash Guarantee:<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span class=\"s22\">The new financing initiative provides a cash guarantee covering up to 5% of the housing cost, facilitated through the Real Estate Development Fund, significantly reducing the required down payment.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Value_of_Real_Estate_Financing\"><\/span><span class=\"s26\">Value of Real Estate Financing:<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span class=\"s22\">Citizens with a monthly salary of less than 14,000 Saudi Riyals are eligible for financing that can cover up to 100% of the home value, with the maximum financing amount reaching 500,000 Saudi Riyals.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Steps_to_Apply_for_the_Real_Estate_Financing_Loan\"><\/span><span class=\"s27\">Steps to Apply for the Real Estate Financing Loan:<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><img fetchpriority=\"high\" decoding=\"async\" class=\"aligncenter wp-image-991636 size-full\" src=\"https:\/\/faisal-binsaedan.com\/wp-content\/uploads\/2024\/10\/image-1_-1.webp\" alt=\"\u0634\u0631\u0648\u0637 \u0627\u0644\u062d\u0635\u0648\u0644 \u0639\u0644\u0649 \u0642\u0631\u0636 \u0627\u0644\u062a\u0631\u0645\u064a\u0645 \u0645\u0646 \u0627\u0644\u0636\u0645\u0627\u0646 \u0627\u0644\u0627\u062c\u062a\u0645\u0627\u0639\u064a\" width=\"1920\" height=\"600\" srcset=\"https:\/\/faisal-binsaedan.com\/wp-content\/uploads\/2024\/10\/image-1_-1.webp 1920w, https:\/\/faisal-binsaedan.com\/wp-content\/uploads\/2024\/10\/image-1_-1-400x125.webp 400w, https:\/\/faisal-binsaedan.com\/wp-content\/uploads\/2024\/10\/image-1_-1-1300x406.webp 1300w, https:\/\/faisal-binsaedan.com\/wp-content\/uploads\/2024\/10\/image-1_-1-768x240.webp 768w, https:\/\/faisal-binsaedan.com\/wp-content\/uploads\/2024\/10\/image-1_-1-1536x480.webp 1536w\" sizes=\"(max-width: 1920px) 100vw, 1920px\" \/><\/p>\n<ol>\n<li class=\"s25\"><span class=\"s22\"><strong>Prepare Required Documents:<\/strong> Gather all necessary documentation, including your ID, property details, and proof of income.<\/span><\/li>\n<li class=\"s25\"><span class=\"s22\"><strong>Submit Your Application<\/strong>: Submit your application through the official website or by visiting one of its branches.<\/span><\/li>\n<li class=\"s25\"><span class=\"s22\"><strong>Application Review<\/strong>: Once the documents are submitted, the bank will review the application to ensure all conditions are met.<\/span><\/li>\n<li class=\"s25\"><span class=\"s22\"><strong>Receive Loan Approval<\/strong>: You will receive a notification with the specified loan amount.<\/span><\/li>\n<\/ol>\n<p class=\"s21\"><img decoding=\"async\" class=\"aligncenter size-full wp-image-991638\" src=\"https:\/\/faisal-binsaedan.com\/wp-content\/uploads\/2024\/10\/image-2.webp\" alt=\"\u0637\u0644\u0628 \u062a\u0645\u0648\u064a\u0644 \u0627\u0644\u062a\u0631\u0645\u064a\u0645\" width=\"1920\" height=\"600\" srcset=\"https:\/\/faisal-binsaedan.com\/wp-content\/uploads\/2024\/10\/image-2.webp 1920w, https:\/\/faisal-binsaedan.com\/wp-content\/uploads\/2024\/10\/image-2-400x125.webp 400w, https:\/\/faisal-binsaedan.com\/wp-content\/uploads\/2024\/10\/image-2-1300x406.webp 1300w, https:\/\/faisal-binsaedan.com\/wp-content\/uploads\/2024\/10\/image-2-768x240.webp 768w, https:\/\/faisal-binsaedan.com\/wp-content\/uploads\/2024\/10\/image-2-1536x480.webp 1536w\" sizes=\"(max-width: 1920px) 100vw, 1920px\" loading=\"lazy\" \/><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Conditions_for_Obtaining_Real_Estate_Financing\"><\/span><span class=\"s26\">Conditions for Obtaining Real Estate Financing<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li class=\"s25\"><span class=\"s22\"><strong>Saudi Nationality<\/strong>: Applicants must be Saudi citizens to qualify for real estate financing.<\/span><\/li>\n<li class=\"s25\"><span class=\"s22\"><strong>Age<\/strong>: Applicants must be between 20 &#8211; 70 years old.<\/span><\/li>\n<li class=\"s25\"><span class=\"s22\"><strong>Employment and Income<\/strong>: Applicants must be officially employed for at least one month in a government institution or three months in the private sector.<\/span><\/li>\n<li class=\"s25\"><span class=\"s22\"><strong>Current Account<\/strong>: Some banks require applicants to have a current account to facilitate salary transfers.<\/span><\/li>\n<li class=\"s25\"><span class=\"s22\"><strong>Salary Requirement<\/strong>: The minimum monthly salary varies by bank but must be 3,000 Saudi Riyals.<\/span><\/li>\n<li class=\"s25\"><span class=\"s22\"><strong>Apartment Size<\/strong>: The apartment must have a minimum area of 80 square meters.<\/span><\/li>\n<li class=\"s25\"><span class=\"s28\"><strong>Down Payment and Area Selection<\/strong>: <\/span><span class=\"s22\">Down Payment: A 10% &#8211; 30% down payment of the loan value is required.<\/span><\/li>\n<li class=\"s25\"><span class=\"s22\"><strong>Area Selection<\/strong>: Some financing entities specify certain cities where the property must be located. Therefore, applicants should carefully review the available areas and choose accordingly.<\/span><\/li>\n<li class=\"s25\"><span class=\"s28\"><strong>Apartment Condition<\/strong>: <\/span><span class=\"s22\">The apartment must be fully completed, vacant, and equipped with essential water, gas, and electricity services. It must also be officially documented.<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"New_Housing_Bank_Conditions\"><\/span><span class=\"s23\">New Housing Bank Conditions<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span class=\"s22\">Several housing banks in Saudi Arabia offer real estate financing services, each with specific conditions. Key conditions include:<\/span><\/p>\n<div class=\"s25\"><strong><span class=\"s22\">Approval of Financing Request:<\/span><\/strong><\/div>\n<ul>\n<li class=\"s25\"><span class=\"s22\">The bank must approve the financing request.<\/span><\/li>\n<li class=\"s25\"><span class=\"s22\"><strong>Apartment Condition<\/strong>: The selected apartment must be vacant and fully finished.<\/span><\/li>\n<li class=\"s25\"><span class=\"s22\"><strong>Property Age<\/strong>: The property age must not surpass 25 years.<\/span><\/li>\n<\/ul>\n<p><strong><span class=\"s22\">Inspection of the Housing Unit:<\/span><\/strong><\/p>\n<ul>\n<li class=\"s25\"><span class=\"s22\">If the residential property is older than 15 years, the client must request an inspection by the Real Estate Fund. A deduction form must also be completed, allowing for a reduction of up to 20% of the financing amount.<\/span><\/li>\n<li class=\"s25\"><span class=\"s28\"><strong>Required Documents<\/strong>: <\/span><span class=\"s22\">The applicant must ensure that all necessary documents are provided. Detailed information about the required documents can be found on the <a href=\"https:\/\/redf.gov.sa\" rel=\"nofollow noopener\" target=\"_blank\">Real Estate Development Fund&#8217;s official<\/a> website.<\/span><\/li>\n<\/ul>\n<p>If you&#8217;re looking for assistance with the Real Estate Indicators Platform, <a href=\"https:\/\/faisal-binsaedan.com\/\"><strong>Bin Saedan<\/strong><\/a> provides valuable insights to help you explore its features and maximize its potential.<\/p>\n<p><strong>Read also:<\/strong><\/p>\n<ul>\n<li><a href=\"\/?p=989619\">Steps To Use Real Estate Indicators Platform<\/a><\/li>\n<li><a href=\"\/?p=989650\">Foreign Ownership of Real Estate in Saudi Arabia<\/a><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>The Real Estate Bank supports Saudi citizens in purchasing and building new homes by offering real estate financing loans. This<\/p>\n","protected":false},"author":5,"featured_media":991633,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-991632","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog"],"_links":{"self":[{"href":"https:\/\/faisal-binsaedan.com\/en\/wp-json\/wp\/v2\/posts\/991632","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/faisal-binsaedan.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/faisal-binsaedan.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/faisal-binsaedan.com\/en\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/faisal-binsaedan.com\/en\/wp-json\/wp\/v2\/comments?post=991632"}],"version-history":[{"count":0,"href":"https:\/\/faisal-binsaedan.com\/en\/wp-json\/wp\/v2\/posts\/991632\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/faisal-binsaedan.com\/en\/wp-json\/wp\/v2\/media\/991633"}],"wp:attachment":[{"href":"https:\/\/faisal-binsaedan.com\/en\/wp-json\/wp\/v2\/media?parent=991632"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/faisal-binsaedan.com\/en\/wp-json\/wp\/v2\/categories?post=991632"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/faisal-binsaedan.com\/en\/wp-json\/wp\/v2\/tags?post=991632"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}