Sakudar

Vacant property fee in Saudi Arabia: what the new rules say

28 October 2026 · 8 min read

The vacant property fee in Saudi Arabia is a new annual charge on buildings that stand empty, run by the Ministry of Municipalities and Housing. Its implementing regulations were approved in May 2026, but the fee does not apply to any building yet. It only starts in zones the minister announces by decision, and as of 28 October 2026 we have found no such announcement. Below: what the regulations say, how the fee differs from the white land fee, and what owners can do now.

This is general guidance, not legal advice. The official references are the ministry’s White Land platform and the Umm Al-Qura gazette.

Where the fee comes from

The White Land Fees Law dates from 1437 AH (2015). On 29 April 2025 the Council of Ministers approved amendments to it (Argaam), and the law was renamed the White Land and Vacant Properties Fees Law, extending it to unused buildings. Under the law, the vacant property fee is a percentage of the building’s equivalent rent (أجرة المثل), capped at 5% of the property’s value, and the Council of Ministers may raise that cap to 10% on the proposal of the ministerial committee. State property is excluded (Saudipedia, Arabic).

The ministry announced its approval of the implementing regulations on 13 May 2026 (Okaz, Arabic), and the text appears in Umm Al-Qura dated 28/11/1447 AH, or 15 May 2026 (Umm Al-Qura, Arabic). Fee revenue is to support housing projects (Ministry of Municipalities and Housing).

What counts as a vacant building

The regulation defines a vacant property as a building inside the urban boundary that stays unused for a long period without an acceptable reason, affecting supply in the market (Article 1). Under Article 7, that means unused for six months, consecutive or not, within the reference year, a 12-month period set by the ministry. A building’s use is decided only by approved zoning plans or its occupancy certificate (Article 2).

Being empty is not enough on its own. Under Article 8, the fee applies only when all of these hold during the reference year (Umm Al-Qura, Arabic):

  1. The building lies inside an announced zone.
  2. It can be occupied, or it has an occupancy certificate.
  3. Its use is one of the uses named in the decision.
  4. The owner reaches the minimum number of vacant properties set for that use.
  5. Its consumption of utilities and services is below the minimum set for its type of use.

Point 4 matters for individual owners. Each decision sets the minimum number of vacant properties per owner by type of use (Article 6), so whether a single empty flat would be charged cannot be known until a decision is published.

Zones first: why nobody pays yet

Under Article 5, a zone within a city becomes a candidate when any one of four indicators is met: a high vacancy rate, high housing costs compared with household income, property prices high compared with the consumer price index, or a high vacancy rate among owners of more than one vacant property. The ministry then monitors the zone for at least 12 months, and only if the conditions persist is the fee announced.

The announcement must give the city, a map of the zone, the start of the reference year, a deadline for owners to disclose their buildings’ status, and the documents required, including proof of ownership. It is published in the official gazette and on the ministry’s portal (Article 9).

The ministry’s FAQ says the cities and zones “will be announced later” and that the fee does not apply “until after zones are approved and announced” (White Land platform). On the day of approval, the minister said application would be gradual, tied to indicators such as rising rents or a housing shortage, and would follow a year of monitoring them (Amlak, Arabic).

As of 28 October 2026, we have not found any ministerial decision announcing vacant property zones. What is being invoiced today is white land.

How the fee would be calculated and paid

When the fee stops

Under Article 10, the fee stops in several cases, including when any Article 8 condition ceases to apply, when an obstacle the owner did not cause prevents occupancy, and when the building is sold under a formal legal document.

How it differs from the white land fee

In the ministry’s words, the vacant property rules target developed vacant properties, while white land fees target undeveloped land (White Land platform).

White land fee Vacant property fee
Applies to Undeveloped land Developed buildings left unused
Status Invoiced in Riyadh since 1 January 2026 Regulations approved; no zones announced
Rate Riyadh tiers of 10%, 7.5%, 5% and 2.5% of land value A share of fair rent, capped at 5% of building value
Threshold Land of 5,000 m² or more held in the city A minimum number of vacant properties per owner, set in each decision
Payment Within one calendar year Within six months of notification

White land figures are from the Ministry of Municipalities and Housing; vacant property figures are from the regulation.

Unpaid fees now matter when selling, too. In September 2026 the ministry said the Council of Ministers had approved a rule that a transaction transferring ownership of land subject to the fees law cannot be documented until the fees due on it are verified as paid (Ministry of Municipalities and Housing). For tiers, valuations and objections, see white land tax in Saudi Arabia.

What owners can do now

Nothing is payable today, but some preparation will make a future announcement easier.

  1. Note which buildings stand empty, and why. The regulation weighs whether a building can be occupied and obstacles the owner did not cause, so a dated note of the reason (repairs, a dispute, a missing occupancy certificate) is worth keeping.
  2. Keep records of use. Utility consumption is one of the Article 8 tests, so bills and lease records for let units are useful.
  3. Keep contact details current. Notices can go to the portal, a verified mobile number, a verified email or a registered national address (Article 14).
  4. Put the deed in order. The announcement will ask for proof of ownership. If your deed is still on paper, see Saudi title deed digitization. Real estate registration is a separate obligation; see rer.sa registration for the steps and the registration deadline guide for dates.
  5. Agree who handles shared buildings. Once a zone is announced, owners must disclose their buildings’ status at least once in each reference year (Article 3). For family property, see inherited property in Saudi Arabia.
  6. Watch the official channels. Any decision will appear in Umm Al-Qura and on the ministry’s portal.

How Sakudar helps

Sakudar is an independent app, not a government body. For the vacant property fee it does one thing for now: it alerts you by WhatsApp, in the app and by email when zones are announced. It does not estimate vacant property fees or file disclosures. For white land, it tracks invoices, the 60-day objection window and payment dates, and includes an estimate calculator. Sakudar never connects to government systems and never asks for your national ID or Nafath login. See features and pricing: plans start at SAR 19 a month or SAR 149 a year, VAT included.

FAQ

Has the vacant property fee started in Saudi Arabia?

Not as far as we can find. The regulations were approved in May 2026, but no zones had been announced as of 28 October 2026, and the fee applies only inside announced zones.

How much will the fee be?

Each zone’s decision sets it as a share of fair rent, capped at 5% of the building’s value. No zone rate has been published yet.

Will one empty flat be charged?

It depends on the decision for its zone: the uses covered, the minimum number of vacant properties per owner and the utility test, on top of six months of vacancy.

Can it be charged for years before a zone is announced?

The ministry says the fee does not apply until zones are approved and announced. After that, invoices for earlier years run only from the date the zone became subject to the fee.

If you own buildings or land in more than one city, the next announcement is easy to miss. You can try Sakudar free for 14 days, no card needed. Any decision will come from the Ministry of Municipalities and Housing and be published in Umm Al-Qura.