You want to work as a real estate broker in Riyadh. Which body issues the FAL licence you need before you can broker any deal?

1. The Ministry of Commerce
2. The Real Estate General Authority (REGA)
3. The Ministry of Justice (Najiz)
4. The Saudi Central Bank (SAMA)

Your brokerage contract with a seller in Jeddah says nothing about the commission rate. What does the Real Estate Brokerage Law set by default on a sale?

1. 2% of the sale price
2. 5% of the sale price
3. 1% of the sale price
4. 2.5% of the sale price

You find a tenant for a 3 year lease of a villa in Riyadh. Unless agreed otherwise in writing, what is your legal commission based on?

1. 2.5% of the first year's rent only
2. 2.5% of the total rent for all 3 years
3. One month's rent
4. 5% of the first year's rent

A landlord signed a brokerage contract with you to find a tenant. The tenant never signed anything with you. Who pays your commission under the law?

1. The tenant, because they benefit from the unit
2. Landlord and tenant, half each
3. The landlord, as the party that contracted you
4. Nobody, because commission is only due on sales

A seller agrees verbally to let you market his apartment and promises you a commission. What does the law require for the brokerage contract to be enforceable?

1. A WhatsApp message confirming the deal is enough
2. It must be written and deposited with REGA on the electronic platform
3. It must be notarised at the Ministry of Justice
4. It must be registered on Ejar within 30 days

A brokerage contract was signed and deposited but the parties forgot to write an end date. How long does it run?

1. 30 days
2. One year
3. Until the property is sold
4. 90 days from signing

A buyer asks why the seller's title in a Riyadh district already covered by the National Real Estate Registry (RER) is considered so safe. What is the best answer?

1. Entries in the registry are conclusive evidence of ownership, and each unit has its own record and number
2. The Ministry of Justice reprints the paper deed every year
3. The registry only lists mortgages, not owners
4. Registration is optional, so the paper deed still decides

A buyer wants to show commitment and offers a 10% down payment (arboon) on a villa. What does the brokerage law say?

1. Down payments are forbidden in Saudi Arabia
2. The broker may keep it as a guarantee for the commission
3. The down payment is capped at 5% of the deal, and anything above counts as an advance payment
4. Any amount is fine if the buyer signs

A buyer walks away from a deal for his own reasons and the seller becomes entitled to keep the down payment. Your brokerage contract is silent on this case. What are you entitled to?

1. Nothing, because the sale did not close
2. 25% of the down payment
3. The full 2.5% commission on the price
4. 50% of the down payment

You want to post a listing for a Jeddah apartment on Instagram and on a property portal. What do you need from REGA first?

1. A real estate advertising licence for that ad, which carries no licence fee
2. Nothing, social media is not covered by the law
3. One advertising licence per year, costing SAR 5,000
4. A permit from the Ministry of Media

What is the highest fine the Real Estate Brokerage Law allows for a single violation, before any doubling for a repeat?

1. SAR 50,000
2. SAR 1,000,000
3. SAR 200,000
4. SAR 10,000

According to the brokerage implementing regulations, how long is a REGA licence valid once issued?

1. For life, with no renewal
2. Three years, renewable once
3. Six months
4. One year, which may be extended for a period of up to five years

An agency in Dammam applies for an establishment FAL licence for brokerage and marketing. Which set of conditions does REGA list?

1. A licence from the Saudi Council of Engineers and a bank guarantee
2. A commercial registration with activity 682010, and a manager who completed the brokerage, marketing and e-marketing courses
3. Ten licensed brokers on staff and an office in a mall
4. A SAMA approval and SAR 1 million in paid up capital

A non-Saudi broker with ten years of experience in Dubai wants to be hired as a property sales and rental broker by a Riyadh agency. What does the Saudization decision say about this job?

1. It is 100% reserved for Saudi nationals
2. It is open to anyone with a FAL licence
3. Expats can hold it if the agency is 70% Saudi
4. Expats can hold it for their first two years

A landlord asks why you insist on the unified Ejar lease rather than his own lawyer's contract. What is the strongest legal reason?

1. Ejar contracts are cheaper to print
2. Only Ejar contracts allow a rent paid in cash
3. A unified Ejar contract is an enforcement instrument that can go straight to the execution court, and unregistered leases have no judicial effect
4. Ejar automatically adds 15% VAT, which protects the landlord

A landlord in Riyadh wants to raise the rent of his existing tenant by 8% at renewal in 2026. What do you tell him?

1. Fine, up to 10% a year is allowed
2. Not possible: increases are suspended for five years in Riyadh from 25 September 2025, for residential and commercial leases
3. Only allowed if the tenant agrees by WhatsApp
4. The freeze applies only to commercial leases

Under the Riyadh rent rules of September 2025, a flat that was rented before is now vacant. How is the rent for the next tenant set?

1. Freely agreed between the landlord and the new tenant
2. By REGA's average rent for the district
3. At the last registered Ejar rent for that unit
4. At the last rent plus 5%

What tax applies to the sale of a ready apartment in Riyadh?

1. VAT at 15% of the price
2. Real Estate Transaction Tax (RETT) at 5% of the value, with no VAT on the sale
3. RETT at 2.5% plus VAT at 15%
4. No tax at all on property sales

Who is liable to pay the 5% RETT when a property is sold, if the contract says nothing?

1. The seller (the disposer), though the contract can shift the cost to the buyer
2. Always the buyer, by law
3. The broker, out of the commission
4. Seller and buyer, half each by law

A young Saudi couple is buying their first home for SAR 900,000 and holds the Ministry of Housing first home certificate. What happens with RETT?

1. They get a 50% discount on RETT
2. RETT is waived only for off-plan homes
3. They pay the full SAR 45,000 and claim it back later
4. The state bears the RETT, since the price is within the SAR 1,000,000 limit

Under the non-Saudi ownership law in force since January 2026, where can a foreign national legally resident in Riyadh buy a home for himself?

1. Anywhere in the Kingdom, with no limit
2. Nowhere, only GCC nationals can own
3. Inside the designated zones, plus one residential property for personal use outside them (not in Makkah or Madinah)
4. Only in NEOM and the Red Sea projects

A non-Saudi investor asks to buy an apartment in a designated zone of Makkah. What condition applies to individual buyers there?

1. They must be Muslim
2. They must hold Premium Residency for five years
3. They must be GCC nationals
4. They must buy through a Saudi spouse

Under the implementing regulations approved in June 2026, what fee does REGA charge on a disposal by a non-Saudi in Riyadh, on top of RETT?

1. 10% of the value
2. 5% of the value in every city
3. 2% of the value in Riyadh, Jeddah, Makkah and Madinah, and 0% outside these four cities
4. No fee, only RETT

A buyer insists on paying a large part of the price in cash and refuses to explain where it comes from. You suspect money laundering. What must you do?

1. Tell the buyer you are reporting him so he can explain
2. Report it immediately to the General Directorate of Financial Intelligence, without warning the client
3. Just refuse the cash and continue with a bank transfer
4. Ask the seller to decide

Under REGA's AML guide for brokers, how long must you keep client due diligence and transaction records?

1. At least 2 years
2. At least 5 years
3. Until the title deed is issued
4. At least 10 years from the end of the relationship or transaction