Saudi Arabia Condominiums and Apartments - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)

The saudi arabia condominiums and apartments market size is expected to grow from USD 81.69 billion in 2025 to USD 87.8 billion in 2026 and is forecast to reach USD 125.94 billion by 2031 at 7.48% CAGR over 2026-2031. This report is Segmented by Business Model (Sales, Rental), by Price Band (Affordable, Mid-Market, Luxury), by Mode of Sale (Primary, Secondary), and by Cities (Riyadh, Jeddah, DMA, Rest of Saudi Arabia). The Market Forecasts are Provided in Terms of Value (USD).

Saudi Arabia Condominiums And Apartments Market Trends and Insights

Vision 2030 Urban Developments

Vision 2030 giga-projects such as NEOM and the Mukaab are redefining the Saudi residential ecosystem by creating employment hubs anchored by high-density housing. These projects channel over USD 3.33 billion into mixed-use residential assets that normalize vertical living concepts previously uncommon in the Kingdom. Planned capacity for millions of new residents near high-value job centers sustains long-run demand for condominiums, encouraging developers to prioritize apartment-led communities over low-rise villas. Public-sector backing mitigates infrastructure risk and sends a strong signal to private investors seeking stable pipelines. As construction phases overlap through 2030 and beyond, the Saudi Arabia condominiums and apartments market is poised to absorb continuous supply without derailing price stability.

Rising Young Population and Smaller Households

Seventy-one percent of Saudis are under 35, and average household size has narrowed to 5.2 persons, trends that tilt preferences toward compact, well-located apartments. The demographic dividend boosts the pool of mortgage-ready buyers who favor proximity to workplaces over suburban living. Increasing numbers of single-person and dual-income households gravitate toward serviced apartments with shared amenities that reduce running costs. Developers offering integrated gyms, co-working lounges, and community retail report higher pre-sales velocity, underscoring the segment’s pull. The resulting uplift spreads across primary and secondary cities, solidifying the growth runway for the Saudi Arabia condominiums and apartments market.

Cultural Villa Preference

Deep-rooted affinity for standalone villas tempers condominium demand in many family-oriented segments. Villa transactions still form more than half of residential deals in Riyadh, signaling latent resistance to vertical living among larger households. Developers counter by embedding villa-level amenity packages, private gardens, family recreation courts, and generous parking into apartment master-plans. Over time, younger Saudis show a a willingness to trade private land for on-site facilities and shorter commutes, gradually eroding the cultural barrier. Still, the villa mindset remains a structural drag on the Saudi Arabia condominiums and apartments market’s ultimate penetration ceiling.

Other drivers and restraints analyzed in the detailed report include:

• Increasing Expatriate Housing Needs
• Government-Backed Mortgage Programs
• High Construction Costs

Segment Analysis

The Sales segment occupied 65.40% of the Saudi Arabia condominiums and apartments market in 2025, underpinned by pervasive home-ownership aspirations and broad mortgage support. Rental activity, although smaller, is projected to expand at an 7.98% CAGR, outpacing ownership growth as expatriate arrivals intensify. Developers reliant on off-plan sales through the Wafi system enjoy early cash inflows, reinforcing project liquidity. Conversely, institutional landlords accumulate portfolios to capture rising rental yields of 5%-8%, diversifying revenue across the Saudi Arabia condominiums and apartments market.

Rental pressure is most visible in central Riyadh, where a one-bedroom apartment exceeds USD 1,333 per month, nudging young professionals toward ownership once mortgage subsidies become accessible. Lack of rent-increase caps amplifies this shift, although regulators are studying ceiling mechanisms to curb inflation. In Jeddah, premium districts post 11.7% gross yields, cementing the city’s appeal for income-focused investors. Across both models, transparent digital platforms such as Ejar safeguard tenancy contracts, fortifying market confidence and fostering balanced growth in the Saudi Arabia condominiums and apartments market.

Complete Report Scope:

• By Business Model
  • Sales
  • Rental

List of Companies Covered in this Report:

• Kingdom Holding Company
• Ewaan Global Residential
• Al Ra’idah Investment Co.
• SEDCO Development
• Rafal Real Estate Dev.
• Dar Al Arkan
• ROSHN Group
• National Housing Company
• Retal Urban Development
• Jabal Omar Development
• Saudi Real Estate Co. (Al Akaria)
• Emaar The Economic City
• Cayan Group
• Omran Holding Group
• Makkah Construction & Dev.
• Knowledge Economic City Co.
• Sumou Real Estate
• Neom Company (Residential)
• Al Nassar Group

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support