Fines of up to 200 thousand.. “General Real Estate” ends the chaos of real estate advertisements

The real estate sector in Saudi Arabia

The new regulation comes to represent a pivotal link that completes the regulatory construction that laid the foundation for the real estate brokerage system issued by royal decree in the year 1443 AH.

The regulation established three basic principles that are inseparable from each other to govern every real estate advertisement, starting with the necessity of obtaining a license. The advertising license is independent of the practitioner’s license, and is issued for each property separately with a number that must be clearly shown to the recipient.

Electronic real estate platforms

The Authority stressed the pillar of full disclosure, as it imposed eight mandatory items that must be included in every advertisement presented to the public. These items include real and personal rights, a description of the property and its condition, and existing disputes, with permission to suffice with the license number coupled with a quick response code that allows direct access to this data.

The legislation decided the fate of expired advertisements, adopting the principle of immediate removal as soon as their purpose expires or their license expires, whichever comes first.

It obliges electronic real estate platforms to implement this removal automatically through their systems without the need for prior notification or granting a deadline.

Off-plan sale and rental projects

In a move to avoid duplication of procedures, the Authority excluded specific projects from obtaining an independent advertising license for each property.

The exception included those licensed to market off-plan sale and rental projects, real estate contributions, and auctions, provided that the basic license number for the project is mentioned in the advertisement.

The General Real Estate Authority warned firmly against committing five explicit prohibitions in the field of marketing, the perpetrators of which would be exposed. For accountability.

Strict financial fines

The regulations prohibit insulting others, publishing fictitious data to collect public information, using government logos without justification, using non-compliant contact information, or including in the advertisement something that contradicts reality.

The instructions confirmed that violating these prohibitions or publishing an advertisement without the owner’s permission exposes the violator to strict financial fines of up to 200 thousand riyals.

The authority has absolute authority. To directly cancel the license in the event that the information provided is proven to be incorrect or different from the published reality.

Regulation of real estate advertisements in Saudi Arabia

At the technical and operational level, the regulations surrounded electronic real estate platforms with fifteen regulatory obligations to ensure a safe digital environment.

The regulations imposed automatic linking of the platforms to the Authority’s systems, authentication of advertisers’ accounts through unified national access, and the requirement to host the platforms’ servers within Saudi territory to ensure data sovereignty.

The regulations indicated The regulation regulates the legal limits for non-Saudis and content creators in the advertising market to fill any regulatory gaps.

Real estate advertising license

It clarifies that non-Saudis are not allowed to practice mediation at all, but they can work as a regular advertising medium provided that they possess licenses from the competent authorities such as a reliable license, and display the real estate advertising license number.

This new regulation cancels the previous controls issued in 1442 E, to establish a new stage of reliability and credibility.

The current system reduces the advertising process to a journey that begins with submitting the application electronically, passes through the review of the authority, and ends either with the committed issuance and publication or rejection and immediate removal to ensure the rights of all parties.