What’s Driving the Boom in Saudi Arabia’s Residential Compounds? H1 2025 Market Insights

The first half of 2025 has confirmed what many in the industry have been sensing: Saudi Arabia’s residential compound market is not just growing, it’s evolving. At CompoundIn, we’ve seen this firsthand through over 461,000 website visits and more than 2,200 direct inquiries in just six months.

Here’s what’s driving the momentum:

Expat demand is surging

Thanks to the Regional Headquarters initiative and new premium residency visas, Saudi Arabia is attracting mid-to-senior-level professionals and their families. These expats are seeking gated communities that offer privacy, amenities, and easy access to schools and business districts.

 

Riyadh and the Eastern Province are hotspots

Riyadh neighborhoods like Al Malqa and Al Narjis are leading in search volume, while Khobar and Dammam continue to attract energy-sector professionals and families looking for lifestyle-driven communities.

 

Digital leasing is the new standard

Tenants now expect listings with upfront pricing, virtual tours, and instant WhatsApp contact. Compounds that embrace digital-first leasing are seeing higher engagement and faster occupancy.

 

Lifestyle matters more than ever

Search filters for pet-friendly units, swimming pools, and gyms are among the most used. Today’s tenants want more than a place to live — they want a place to belong.

 

The outlook for H2 2025

As expats return for the school year, we anticipate a seasonal spike in leasing activity. Compounds that offer flexibility, premium features, and a strong digital presence will be in the best position to meet this demand.