Saudi Off-Plan Buying: Escrow and Payment Checks

Start with the payment trail

Before paying for a Saudi off-plan home, ask a practical question: can you connect this particular unit, this payment request and this destination account in one clear file? A brochure is not the right place to settle that question. This AqarLex guide separates official information from an editorial checking method designed to help a buyer ask better questions. It is a preparation checklist, not a legal opinion or a finding that any particular project is safe.

REGA's off-plan platform explains that purchase payments go to the project's escrow account according to engineering progress and the payment schedule agreed in the sale contract.[1] For a buyer, our recommended starting point is therefore a matching exercise, not simply a search for the word “escrow” in a sales presentation. Build a record that another person could understand without needing the salesperson to explain it again.

Establish the project and the collection stage

Create a cover sheet with the developer's legal name, project name, relevant licence details, unit identifier and the date of your checks. Save the documents you actually consulted rather than only a message saying that somebody checked them. Our editorial recommendation is to compare the project and unit across the proposed contract, payment request and account information, and ask for a written explanation of any difference before committing.

The implementing regulations published on 10 May 2024 distinguish marketing permission from project licensing; during a marketing licence, reservation collections may not exceed 5% of the unit value and must enter the designated escrow account.[3] Do not reinterpret that stage-specific ceiling as the maximum for every later instalment. In your comparison sheet, label a request by its stated purpose: reservation, contractual instalment or another specified charge. If the documents disagree about the stage, obtain clarification rather than choosing whichever explanation sounds most reassuring.

Verify the account, not just the message

SAMA's rulebook, explicitly amended on 9 November 2024, provides for a project-specific named escrow account, with linked subaccounts permitted.[2] It describes the ordinary withdrawal route through developer documents certified by the consultant and licensed accountant, and also a regulator-requested exception.[2] Those bank-side controls should not be read as a personal buyer approval right over every withdrawal.

As an editorial safeguard, request the project's payment instructions through an established official contact and compare the beneficiary details with the documented project relationship. If account information changes, verify the change through a separately established contact channel, not only the telephone number inside the new message. Keep the previous instructions, replacement instructions and confirmation together. This is a suggested anti-fraud habit, not a claim that a particular bank will disclose confidential account information to you.

Turn the schedule into a readable worksheet

Make one row for each proposed instalment. Record the contract reference, stated construction milestone, requested amount, due date, supporting document and the question still awaiting an answer. Separate the date of a report from the date it was sent to you. A recently forwarded attachment is not necessarily a newly prepared assessment; read the document itself before describing it as current.

Our recommendation is to request the evidence relevant to the milestone named in the request, then compare descriptions consistently. Do not invent a universal construction percentage or substitute a promotional photograph for the contractual wording. If the documents leave you uncertain about whether an amount is due, obtain qualified advice promptly. This checklist is not permission to miss a payment deadline or unilaterally suspend a contractual obligation.

Keep the unit reference visible

Article 26 of the regulations requires a deposit reference identifying the unit, while Article 22 provides access to the unit's accounting record on request and a copy within ten working days.[3] This concerns the unit record, not unrestricted access to the project's entire bank statement.

In your own payment folder, keep the request, transfer confirmation and subsequent acknowledgement in the same sequence. Compare the unit identifier before and after payment. If a description is abbreviated, ask the developer to explain the link in writing. Mark the issue as resolved only when the explanation and the record agree; a polite response alone does not complete your reconciliation. These are suggested recordkeeping practices, not additional statutory documentation requirements.

Plan for questions before they become urgent

Prepare a short list of contacts and responsibilities before signing: who answers account questions, who explains construction reports and who can explain the contract independently? Ask how to submit a written query and retain its reference. A useful query identifies the unit, document, date and precise inconsistency. Avoid sending an unstructured collection of screenshots with no explanation of what needs correcting.

For example, if a payment notice and the proposed contract use different milestone descriptions, place both descriptions side by side and ask which contractual provision governs. This is a hypothetical editorial example, not evidence of a breach by a developer. Keep allegations separate from questions until you have the relevant facts and professional advice. Record an answer's date and author so that a later reviewer can follow the sequence.

Check your household exposure separately

Do not treat confirmation of an escrow arrangement as proof that a purchase fits your household budget or preferred completion timetable. Our editorial recommendation is to write a separate cash-flow plan covering the proposed payments, existing commitments and a contingency that you choose according to your circumstances. Consider whether temporary housing or other arrangements would remain manageable if your plans had to change. No return, resale price or completion outcome is promised here.

Before deciding, review three folders: project and unit identity; account and payment evidence; and contract questions with written answers. Unresolved contradictions deserve a deliberate review, not a hurried transfer made only to preserve a sales incentive. If necessary, have a qualified Saudi adviser assess the particular documents. The objective is not to collect the largest stack of paperwork. It is to make each material payment understandable, traceable and consistent with the transaction you intend to enter.

Image: AI-generated conceptual illustration; not a real development, bank account or official project record.