Down Payment and Loan-to-Value: The Basics

When buying a property with financing, the bank funds part of the value and you pay the down payment. The maximum loan-to-value ratio is regulated by the Saudi Central Bank (SAMA) and may vary by beneficiary category and property type.

In practice this means: the higher the allowed financing ratio, the smaller your down payment — and vice versa. So plan your down payment early, and include the additional costs with it (fees, valuation, insurance, transfer of ownership).

Tip: secure preliminary financing approval before you start serious searching, so you know your real budget and negotiate from a clearer position. Check the exact figures and ratios from their official source, as they are subject to update.

Source: Saudi Central Bank (SAMA) — sama.gov.sa