The Ministry of Housing has reformulated and organized the concept of real estate rental in the Kingdom through the launch of the “Ejar” program and its associated activities. This includes the establishment of an Electronic Network for Rental Services, which offers a range of distinctive services designed to facilitate the rental process, simplify its procedures, and activate supervision and oversight operations aimed at educating real estate brokers and monitoring compliance with laws and regulations.
The Ministry introduced the program under the title “Ejar First Transformation,” considering it one of its most significant initiatives for regulating the real estate sector. The goal is to introduce the benefits of the Electronic Network for Rental Services (www.ejar.sa) to all parties involved in the rental process (tenant, lessor, and real estate broker) and highlight its current and future impact on the real estate and residential rental sectors. This impact includes enhancing trust in financial and contractual transactions and facilitating rental processes through advanced electronic tools, which will have a major role in improving the investment environment, mitigating risks by safeguarding rights, and reducing litigation periods on documented residential rental contracts, as these contracts are recognized as executive instruments approved by judicial authorities.
The Ejar Network offers tenants numerous electronic advantages, including the ability to make rental payments easily through multiple options (monthly, quarterly, semi-annual, or annual). Payments are processed through the banking payment system (Sadad), which eliminates the need for physical receipts and payment vouchers. This system helps tenants manage their expenses, organize savings, and fulfill their financial obligations more efficiently. Furthermore, the network issues accurate statistical reports about the rental market, empowering investors to make informed investment decisions and contributing to a healthy supply-and-demand balance.
The program enables all parties involved in rental transactions to monitor contracts, receive text notifications regarding upcoming contract start or end dates, and be reminded of payment due dates. The system requires the registration of title deed data and the verification of contracting parties’ identities through an accredited broker on the Ejar network to ensure proper documentation of contracts. This coincides with the launch of the “Real Estate Brokers” application, which helps users find accredited brokers and distinguish them from non-accredited ones, further enhancing trust and reducing potential disputes.
Additionally, the network includes a program designed to support tenants who are financially unable to pay their rent and have had a court order issued against them, once their inability to pay is proven. The program facilitates full or partial rent coverage depending on the tenant’s circumstances.
The Ejar electronic network was officially launched on 12 February, following months of intensive efforts by the Ministry of Housing. During this period, the Ministry held workshops across most regions of the Kingdom to raise awareness among real estate brokers and gather their feedback.
It is noteworthy that the Ejar program is one of the Ministry’s key initiatives under the Housing Program within the framework of Vision 2030. It aims to improve the performance of the real estate sector, increase its contribution to GDP, create an attractive investment environment, and strengthen confidence in the Kingdom’s economy.