Saudi Arabia is weighing a rent cap among a far-reaching package of real estate reforms to control the market, boost housing supply, and stabilize rents. The planned measures demonstrate the government’s interest in improving affordability and ensuring equitable housing practices throughout the kingdom.
With increasing rent levels in central cities such as Riyadh and Jeddah, officials are considering policies to avoid exaggerated rent increases while ensuring a healthy market. The new rules may also provide increased control over tenancy contracts and property development, with openness and the safeguarding of tenants against price spikes.
Experts indicate that such reforms would be able to draw additional investment into the housing market by developing a organized and predictable market. Meanwhile, renters might enjoy cheaper and more stable housing, lessening fiscal burdens on households.
Saudi Arabia’s Vision 2030 vision has an element of urban development and raising living standards included within it. The prospective rent cap is consistent with this wider approach, hoping to increase access to housing while ensuring that the real estate market grows sustainably.
