Value Added Tax (VAT)
Value Added Tax (or VAT) is an indirect tax imposed on all goods and services that are bought and sold by businesses, with a few exceptions. VAT is applied in more than 160 countries around the world as a reliable source of revenue for state budgets. VAT is imposed at each stage of the supply chain from the production and distribution to the final sale of the good or service. Saudi Arabia is committed to impose VAT with effect from January 1, 2018 (Rabi Al-Thani 14, 1439). VAT will be introduced at a standard rate of 5%.
- Sharia Complaint Financing
- Competitive Annual Percentage Rate
- Ability to finance the advance payment
- Ability to delay the finance principle and deduct part of the monthly installment (profits only) during the construction period up to a maximum of 24 months
- Step up financing solution on various products.
- Military support feature for the advance payment is up to SR 140,000 according to the admission criteria of the program
- Civil support for advance payments of up to SR 140,000 (age 50 and over) according to the admission criteria of the program
- Calculate the amount of residential support as part of the customer's income
- Annual Percentage Rate starts from 5.82% for Ijarah products
- Management fees equal to 1% of finance amount or SAR 5,000 whichever is less
Terms and Conditions
All of our programs are approved and monitored by Al Rajhi Bank's Shariah Board.
The first step is to explore is the amount you can borrow. Typically, finance for an Investment Property is up to 5 times the annual income or rental of the property. If you use the additional annual to repay the loan, then you can borrow a larger amount.
Must be under 20 years old, fully constructed and have an independent title deed. The property should be located within an urban setting and be priced between SAR 1 million - 5 million.
Terms and Conditions
- For Saudi citizens only.
- For government and private sectors which are approved by the bank.
- Terms & Conditions of Al Rajhi Bank will Apply.
The bank is controlled and supervised by SAMA
What happens if I want to sell the property before the financing is paid off?You would need to make an immediate repayment of the principle outstanding amount by way of early settlement and we would transfer the title in your name or to the person you requested.