Property Transfer Fee Calculator (RETT)
Calculate the Saudi Real Estate Transaction Tax (RETT) of 5% on property sales in Saudi Arabia, including the first-home exemption
How to Use
- Select the property type (residential — first home, residential — other, or commercial)
- Enter the property value
- Press "Calculate" to see the RETT amount, first-home exemption (if applicable), and total buyer cost
Saudi Real Estate Transaction Tax (RETT)
RETT is a tax levied on real estate dispositions (sale, purchase, gift) within Saudi Arabia, managed by ZATCA.
Tax Rate
RETT is 5% of the transaction value. First introduced in October 2020, it is now governed by the Real Estate Transaction Tax Law (Royal Decree M/84, 2024), whose Implementing Regulations took effect on 10 April 2025.
First-Home Exemption
Saudi citizens purchasing their first home are exempt on the first SAR 1,000,000 of the property value, in support of Vision 2030 homeownership targets.
Did RETT Replace VAT on Real Estate?
Yes. Since October 2020, residential and commercial real estate transactions are exempt from 15% VAT and instead subject to 5% RETT — saving buyers 10% compared to the old regime.
Calculation Methodology
Base formula
Real Estate Transaction Tax = taxable base × 5%. The taxable base is the transaction value after applying any exemption entered in the calculator.
First-home exemption
When first home for a Saudi citizen is selected, the calculator deducts the exemption amount up to SAR 1,000,000 from the property value, then applies tax to any remaining taxable amount.
Source basis and limits
This page is based on ZATCA information about RETT. It does not detail every exemption or exception, so check the ZATCA portal before transfer or payment.
Practical Examples
First home purchase at SAR 800,000
Ahmad, a Saudi citizen, is buying his first home for 800,000 SAR. Exemption: first 1,000,000 SAR exempt → exempt amount = 800,000 SAR Taxable amount = 800,000 - 800,000 = 0 SAR RETT = 0 SAR Total buyer cost = 800,000 SAR (no tax).
Non-first residential property at SAR 1,500,000
Sarah is buying a second apartment for 1,500,000 SAR. No exemption (not a first home). Taxable amount = 1,500,000 SAR RETT = 1,500,000 × 5% = 75,000 SAR Total buyer cost = 1,500,000 + 75,000 = 1,575,000 SAR.
Commercial property at SAR 3,000,000
Mohammed is buying a commercial property for 3,000,000 SAR. No exemption (commercial property). Taxable amount = 3,000,000 SAR RETT = 3,000,000 × 5% = 150,000 SAR Total buyer cost = 3,000,000 + 150,000 = 3,150,000 SAR.
Frequently Asked Questions
Who pays RETT — the buyer or the seller?
How does the first-home exemption work?
Is RETT applied on inherited property?
Is there a difference in RETT between land and built property?
How do I pay RETT?
Is RETT applied on gifts between family members?
Did RETT replace VAT on real estate?
Legal References
Disclaimer: The results shown are approximate and for reference only, and do not constitute financial or legal advice. Actual amounts may vary based on additional factors. Please consult the relevant official authorities or a licensed financial advisor for accurate information specific to your situation.