Many search for a "Riyadh rent-increase cap" expecting a permitted percentage. What REGA's published texts actually establish is a freeze on increases — within a defined scope and for a defined period, not a percentage. This page presents the rule, its scope, duration, and exceptions as published by the Authority, as part of Hala Law's real estate and rentals materials.
The rule: a ban on increases, not a permitted percentage
Effective 25 September 2025, the Real Estate General Authority announced rental-market regulations for Riyadh lasting five years, including a ban on annual increases in the rent of residential and commercial properties located inside Riyadh's urban boundary.
The accurate phrasing is "a rent-increase freeze in Riyadh" within the regulations' scope — not "a 10 percent cap" or any other circulated, undocumented figure.
Scope and duration: a dated, location-scoped rule
This is a time-bound and geographically bounded rule, not a permanent or Kingdom-wide one:
| Element | What the published texts establish | | --- | --- | | Start of application | Effective 25 September 2025 | | Duration | Five years | | Geographic scope | Inside Riyadh's urban boundary | | Property type | Residential and commercial |
Outside that geographic scope, these published texts establish no equivalent rule; each city, contract type, and date needs its own verification.
Existing contracts and vacant units
REGA's published provisions establish that the landlord may not increase the total rent in contracts existing when the provisions took effect or contracts concluded afterwards. They also establish that a vacant property previously leased may not exceed its last registered rent — vacating a unit does not reopen free repricing.
Exceptions: objection before the Authority
The published texts include exceptions whose route is an objection before REGA, in cases such as:
| Case | Clarification | | --- | --- | | Structural or material repairs | That affected the rent value | | Last contract predates 2024 | Per the published texts | | Other cases | As decided by the Authority's council |
So the rule does not make rent adjustment absolutely impossible — it makes adjustment an exception with a defined objection route before the Authority.
Refusing renewal in Riyadh: defined cases only
In Riyadh, where the tenant wishes to renew, the landlord may not refuse renewal and demand eviction except in defined cases, including:
- Non-payment.
- Structural defects affecting safety, per an official technical report.
- The landlord's need to live in the property himself or a first-degree relative.
- Cases approved by the Authority's council.
REGA also issued a specific decision: a landlord who does not wish to renew a residential lease in Riyadh due to his own need or a first-degree relative's must notify the tenant at least 365 days before the contract ends.
Non-payment follows an entirely different track, detailed in evicting a tenant via Ejar. If a disagreement over an increase or renewal hardens into a dispute, see how to file a real estate dispute.
When do you need a licensed lawyer?
This page is a general framework, not an assessment of a specific case. The matter becomes one for a licensed lawyer or accredited adviser when:
- The scope's application to your property is contested: its position relative to the urban boundary, the contract type, or its date.
- The landlord invokes an exception — material repairs or a pre-2024 contract — and the strength of an objection before the Authority needs assessment.
- The landlord refuses renewal citing personal housing need or a technical report, and the ground or the notice period is disputed.
- The increase question is entangled with other disputes: payment, maintenance, or early termination.
In those cases the Authority or the competent body weighs the facts and documents, and each party's position rests on the evidence presented — not on a single general rule.