Home finance calculator (Saudi Arabia): home loan instalment
Updated
How do I calculate my home finance instalment?
Take the price minus your down payment, then use the instalment formula P × r × (1 + r)n ÷ ((1 + r)n − 1) with r = the yearly term cost ÷ 12 ÷ 100 and n = the number of months. A SAR 1,000,000 first home of a Saudi citizen, financed at 90% (SAR 900,000) over 25 years at an example 5.5% term cost, is SAR 5,526.79 a month, and the APR with the admin fee at the SAMA cap is 5.71%.
| Term | Monthly instalment | Total term cost | APR incl. admin fee |
|---|---|---|---|
| 15 years | SAR 7,353.75 | SAR 423,675 | 5.74% |
| 20 years | SAR 6,190.99 | SAR 585,837 | 5.72% |
| 25 years | SAR 5,526.79 | SAR 758,036 | 5.71% |
Official rule: The APR is the yearly discount rate at which everything you pay equals what you receive, with time counted in years and parts of a year — so a monthly term cost compounds into a slightly higher yearly figure. (source, checked 2026-10-09)
A SAR 1,500,000 home as a Saudi citizen's first home, financed at 90% (SAR 1,350,000) over 25 years at an example 5.5% term cost, costs about SAR 8,290.18 a month. With the admin fee at the SAMA cap the APR is 5.69%. A non-Saudi buying the same home finances at most 70% at a bank, so SAR 6,447.92 a month on SAR 1,050,000.
- Finance amount
- SAR 1,350,000 (90% of the price)
- Total term cost (profit)
- SAR 1,137,054
- Admin fee
- SAR 5,000 + SAR 750 VAT
Variable rate: three examples
Cash needed on the day
See every cost, itemised → (opens the costs-of-buying calculator with your numbers; assumes the seller pays the tax, a 2.5% broker, the admin fee at the cap and a SAR 1,600 transfer fee — change any of them there)
Instalments on this page follow the standard monthly formula on the reducing balance. Your bank counts interest or profit day by day between the actual payment dates and rounds each amount, so its own schedule can differ slightly. Only your signed offer is binding.
Not a valid document. Estimate for information only — not financial advice, not an offer of credit and not a bank document. Errors are possible. Only your bank's or finance company's official offer letter, contract and statements are binding.
Year by year
| Year | Paid | Term cost | Principal | Balance at end |
|---|
How much can a lender finance?
For a Saudi citizen's first home a lender may finance up to 90% of the value. For second and later homes, a bank may finance up to 70% and a licensed real estate finance company up to 85%. The rules name only those two cases; for a non-citizen's first home the calculator applies the 70% / 85% tier, because the 90% is for citizens only.
What it costs on top
The admin fee is capped at 1% of the finance or SAR 5,000, whichever is lower, plus VAT, and it covers the valuation, inspection and registration. A variable-rate contract must show three instalment examples — at the initial term cost, a higher one and a lower one — so you can see what a change does to you.
Supported finance (Sakani)
Under the housing support rules the instalment is set at 33% of your income, repaid over at most 25 years and by age 65. The state's profit subsidy runs for at most 20 years. Support is for Saudi citizens only.
Paying off early
A home finance contract may forbid early repayment for at most 2 years from signing, and it must say how early repayment is charged. Releasing the mortgage after full settlement is free.
Where you buy matters
- Non-Saudi buyer fee: 2% of the value in Riyadh, Makkah and Madinah cities and Jeddah governorate, 0% elsewhere. GCC nationals pay it only in Makkah and Madinah.
- Where non-Saudis may own: only inside the zones REGA maps on its Saudi Properties portal: named development projects in Riyadh, Makkah, Madinah, Jeddah and AlUla; NEOM, AMAALA and the Red Sea; the economic cities and special economic zones; and towns and governorates in all 13 regions. In Riyadh and Jeddah city the zone is development projects on land within the urban boundary — not the city as a whole.
- A resident's own home: a legally resident non-Saudi may own one home for housing outside the zones (not in Makkah or Madinah); inside Riyadh or Jeddah's urban boundary that home may not be let out.
- Makkah and Madinah: as non-Saudis only Muslim individuals may own (a Saudi company with non-Saudi partners may), and only inside the zones.
- The same everywhere: SAMA's finance rules, the 5% transaction tax and first-home relief, VAT, Ejar registration and Sakani — none of them change with the city.
Details and the official sources: can foreigners buy property in Saudi Arabia?
Questions people ask
How much of a home can I finance in Saudi Arabia?
Up to 90% of the value for a Saudi citizen's first home. For any other home, banks may finance up to 70% and licensed real estate finance companies up to 85%.
Is there a maximum term for home finance?
No official maximum term was found for home finance in general. Supported (Sakani) finance runs at most 25 years and must be repaid by age 65.
What fees can the lender charge?
In Saudi Arabia, an admin fee of at most 1% of the finance or SAR 5,000, whichever is lower, plus 15% VAT. It covers valuation, inspection and registration.
Can I pay off my home finance early?
The contract may forbid it for at most 2 years from signing, and it must say how early repayment is charged, in Saudi Arabia.
How do I use the home finance calculator to estimate my monthly instalment?
Enter the price, your down payment (at least 10% on a Saudi citizen's first home, 15% at a real estate finance company or 30% at a bank on any other home), the term cost in your offer and the term. The calculator shows the monthly instalment, the APR with the admin fee and the SAMA limits.