Renting in Riyadh: the true cost of a yearly lease

In Riyadh a home is let by the year, and the rent is paid in instalments, not in monthly bills. The number that matters on day one is not "the rent" but the first instalment plus everything that comes with it: the brokerage commission, a security deposit, the Ejar contract and the first bills. This guide lists those lines so you can ask for each one before you pay anything.

A note on LeaseExact in Saudi Arabia: Saudi listings are coming. Advertisers can already prepare their portfolio pages in early access, and our Saudi Arabia page explains what will be shown when search opens.

Annual rent, paid in instalments

A Riyadh lease states a rent for the whole year. It is commonly paid in one, two or four payments, and some contracts use other schedules if both sides agree. The schedule is written in the Ejar contract, with the date of each payment.

The schedule changes the cash you need, not the rent. One payment means the whole year before you move in; two payments mean half; four mean a quarter. There is no true monthly price unless the contract really says monthly payments, so divide carefully when you compare: a yearly rent split into twelve is an average, not what you will pay each month.

The cost lines to start a yearly lease

Ask the advertiser to put a figure, or "none", next to every line.

First rent instalment. Due at or before the start date, as the payment schedule says.
Brokerage commission. If a licensed broker arranges the lease, the commission is capped at 2.5 % of the contract value. It is paid once. Ask who pays it and make sure it is written down.
Security deposit. As agreed between you and the landlord and recorded in the contract. The landlord holds it and returns it at the end, less unpaid amounts and damage beyond normal wear.
Ejar contract fee. The platform charges a fee to register the contract. It is usually the landlord's or the broker's to pay; ask whether it is being passed on to you.
Building service fees. Many compounds and apartment buildings charge for maintenance, cleaning, security, shared areas or lifts. Ask whether they are inside the rent or a separate yearly or monthly charge.
Electricity and water. Usage is your cost; ask about any connection or transfer charges and about debts on the meter.
Furnishing and appliances. Many unfurnished homes come without kitchen appliances or air conditioning units. Ask what is installed.

For a worked example with real numbers, see the worked example on our Saudi Arabia page.

The Ejar contract

A residential lease in Saudi Arabia is made on the Ejar network by the landlord or the licensed broker. You receive the contract to review and approve it, so read every field: the rent, the payment schedule, the deposit, the service fees, who pays the bills and the length of the lease. A registered Ejar contract is an enforceable document, which protects both sides; a private paper agreement does not give you the same protection.

Do not pay the first instalment before you have seen the contract on Ejar with the same figures you were promised.

Riyadh rules on rent increases and renewal

In September 2025 the government announced rules for Riyadh: a freeze on residential rent increases within the city's urban boundary for five years, automatic renewal unless notice is given, and limits on when a landlord can refuse to renew. Registering leases on Ejar is required across the Kingdom. Rules like these are updated and clarified over time, so check the current text with the Real Estate General Authority before you rely on it, and ask the broker how it applies to your contract.

Deposits: who holds them

The landlord holds the security deposit; there is no separate deposit scheme. Make sure the amount is in the Ejar contract and agree in writing what may be deducted. On the day you move in, photograph every room and the meters, and list any existing damage. Keep the photos until the deposit is back.

Utilities and who connects them

Electricity usually stays connected, and in many cases the account is linked to the tenant through the registered Ejar contract, so the bills come to you. Water has its own account; ask whether it is in the landlord's name, shared by the building or inside the service fee. Summer air conditioning makes electricity the largest monthly bill in many homes, so ask the advertiser what earlier bills looked like. Internet is your own contract with a provider.

Licences in every ad

Every property advertisement in Saudi Arabia must carry its REGA advertising licence number, and a broker must hold a FAL licence. Before you pay anything, check that the licence number is in the ad, that the broker's FAL licence is valid and that the person you deal with is the one named. Our guide to avoiding rental scams covers the warning signs.

Areas and other cities

In Riyadh, people often ask about Al Malqa, Hittin and Al Narjis in the north, and Olaya in the centre. Newer compounds and buildings tend to have more service fees, so compare the full yearly cost, not only the rent. In Jeddah and Khobar the same Ejar contract, commission cap and licence rules apply, but the Riyadh rules on increases do not; humid summers also make cooling a large part of the bills there.

Questions to ask before paying anything

What is the yearly rent, and in how many instalments, on which dates?
How much is the first payment before move-in, with every line added?
Is there a brokerage commission, and is it within 2.5 % of the contract value?
Who pays the Ejar fee?
How much is the security deposit, and what can be deducted?
Are building service fees inside the rent?
Whose name are the electricity and water accounts in, and are there debts?
What are the ad's REGA licence number and the broker's FAL licence?
Can I see the Ejar contract before I pay?

How LeaseExact shows this

When Saudi search opens, the exact-cost card will list every cost line: the yearly rent with its instalments and dates, the commission, the Ejar fee, service fees, the refundable deposit and the cash needed before move-in. We never divide a yearly rent by twelve and call it monthly; the card shows the real payment schedule. A line the advertiser has not confirmed yet shows as "Not confirmed yet" with a range. A commission above 2.5 % of the contract value cannot be published, and verified listings show the REGA licence number and the broker's FAL licence as provided, and whether LeaseExact checked them, with the date. The Ejar step stays with the landlord or broker. LeaseExact is not a broker, takes no commission and never holds deposits. It is free for renters, always: create a free account to get an alert when Riyadh opens.

Sources

Ejar, the rental services network
Real Estate General Authority (REGA)
Payment schedules, deposits and service fees reflect common practice; check your own contract.

Last checked: 21 October 2026.