Ministry of Housing Coordinates with Government Entities to Register Their Rental Contracts in "Ejar"

Engineer Mazen bin Mohammed Al-Dawood, General Supervisor of Real Estate Regulation at the Ministry of Housing, confirmed that the Council of Ministers' decision requiring all government entities to register their real estate rental contracts in the Electronic Network for Rental Services is an enhancement of the "Ejar" program's role, which focuses on organizing the real estate rental sector and facilitating its procedures and transactions. This is achieved through neutral work systems and mechanisms that encourage investment and maintain balance within the sector based on safe standards, while preserving the rights of all parties involved in rental agreements.
He explained that this decision aims to unify the channel for registering real estate rental contracts in the Kingdom across all levels and sectors, thus simplifying and formalizing rental transactions to build trust among all parties, whether from government entities or the private sector, including individuals and institutions. It also ensures the documentation of mutual obligations between lessors, tenants, and real estate brokers within the rental housing sector, making the network an effective tool for monitoring rental agreements for both the public and private sectors.
The General Supervisor pointed out that the decision by the Council of Ministers also encourages the Ministry of Housing, through the "Ejar" program, to promote monthly payment options for users. This feature is one of the most significant advantages provided by the Electronic Network for Rental Services, as it minimizes risks and helps tenants meet financial obligations without delays. He noted that the electronic payment service simplifies the collection process, facilitates financial tracking, and removes the need for cash transactions between the lessor and tenant, with payments made through the system serving as approved documentation of rent payments.
He stated: "Registering rental contracts in the network enables parties to benefit from the unified rental contract, which has been drafted by legal experts and is recognized as an executive document that meets the needs of both investors and consumers. It helps reduce disputes within the real estate rental sector, enhances its performance, and contributes to raising its share in GDP." He emphasized that the development of the Electronic Network for Rental Services is ongoing, and added that the option to register residential rental contracts through the network is currently available free of charge until the end of 2018, supporting beneficiaries, streamlining procedures, and encouraging the documentation of both current and new rental contracts, while maximizing the benefits of the platform’s services and features.
It is noteworthy that the Council of Ministers, during its session chaired by the Custodian of the Two Holy Mosques King Salman bin Abdulaziz Al Saud, issued several decisions, including mandating the Ministry of Housing to coordinate with other government entities to register their real estate rental agreements electronically via the Electronic Network for Rental Services. The Ministry was also tasked with promoting monthly rental payments and treating payments made through the system in the same way as fees paid to other government entities for similar services.