Saudi Arabia Home Finance Calculator — Murabaha & Ijara
Estimate your monthly Islamic home finance installment in SAR. Shariah-compliant Murabaha and Ijara, current bank profit rates, and REDF/Sakani guidance. No signup.
Current Saudi home finance rates (April 2026)
| Structure | Effective rate (p.a.) | Notes |
|---|---|---|
| Murabaha (fixed margin) | 6.0% – 7.0% | Fixed installment, known upfront |
| Ijara (lease-to-own) | 6.0% – 7.0% | Ownership transfers over term |
| REDF/Sakani supported | Subsidized | For eligible Saudi citizens |
SAR is pegged to the US dollar, so rates track the US Fed and SAMA policy (≈4.5%). All mainstream Saudi home finance is Shariah-compliant — no interest, a transparent profit margin instead.
Major Saudi home finance providers
- Al Rajhi Bank — the largest Islamic bank, wide home finance range
- Saudi National Bank (SNB) — competitive real-estate finance
- Alinma Bank — fully Shariah-compliant, popular for property
- Bank Albilad — Islamic financing with flexible terms
- Riyad Bank / SAB — additional home finance options
The real cost of a SAR 1M home finance
Example: SAR 1,000,000 at 6.5% effective for 25 years.
- Monthly installment: ≈ SAR 6,752
- Total paid over 25 years: ≈ SAR 2.03 million
- Total profit (bank's margin): ≈ SAR 1.03 million
- A larger down payment or REDF support meaningfully lowers both.
Frequently Asked Questions
How does Islamic home finance work?
Murabaha: the bank buys and resells the home at a fixed margin. Ijara: the bank leases it to you with ownership transferring over time. No interest (riba) — a fixed, known installment.
What is the current profit rate?
About 6%–7% p.a. effective (April 2026). SAR is USD-pegged, so rates follow the US Fed and SAMA (≈4.5%).
What is REDF / Sakani?
A government program that subsidizes financing for eligible Saudi citizens. Check Sakani for your eligibility; this tool estimates the standard installment before subsidy.
How much down payment?
Up to 90% financing (10% down) for first homes under SAMA rules; more down means a lower installment.