Saudi Real Estate Market to Reach USD 132.65 Billion by 2033

The real estate sector in Saudi Arabia is on an accelerated growth trajectory, with the market expected to nearly double in size over the next decade. According to a new report by IMARC Group, the industry, valued at USD 72.11 billion in 2024, is forecast to hit USD 132.65 billion by 2033—registering a healthy CAGR of 7.0% between 2025 and 2033.

Saudi Arabia’s Vision 2030 continues to be a game-changer for the real estate industry. Mega-projects such as NEOM and Qiddiya are not only reshaping the country’s urban footprint but also creating new demand for housing, commercial hubs, and hospitality destinations. The Sakani housing program, launched to improve homeownership rates, is a major growth enabler, particularly among first-time buyers.

Rapid urbanization and a youthful population—over 60% under the age of 35—are transforming cities like Riyadh, where the population is expected to approach 10 million by 2030. Developers are increasingly turning toward high-rise apartments and mixed-use communities to meet the changing preferences of young professionals and families.

Government reforms allowing foreign ownership, along with initiatives by SAGIA and the creation of special economic zones, are drawing international players into the market. Recent deals, like those involving U.S.-based K. Hovnanian ME, signal growing global interest in developing residential communities tailored for Saudi Arabia’s evolving demographic landscape.

Market Trends

• Mixed Developments: Projects such as Diriyah Gate and the Red Sea Project illustrate the rise of upscale, walkable communities that integrate housing, retail, leisure, and culture in a single masterplan.
• Smart Cities: With NEOM leading the charge, the country is adopting smart infrastructure, including AI-driven planning, IOT-enabled systems, and virtual property platforms like Aqarmap for enhanced buyer experiences.
• Green Focus: From eco-parks like King Salman Park to green building materials and solar integration, sustainability is becoming central to real estate strategy in line with Vision 2030 goals.

Major players shaping the competitive landscape include Emaar, Abdul Latif Jameel, Dar Al Arkan, SEDCO Development, and Jabal Omar Development Company. The report also highlights key growth zones, from the booming central and western regions to emerging opportunities in the south.

While high development costs and oil-linked economic risks persist, continued government support through tax incentives, affordable housing, and international investor-friendly policies signal long-term momentum. With EXPO 2030 and the FIFA World Cup 2034 on the horizon, Saudi Arabia is actively positioning itself as a global real estate hotspot.

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