Al Khobar City Guide

Al Khobar is the cosmopolitan waterfront hub of Saudi Arabia's Eastern Province, part of the Dammam-Khobar-Dhahran metropolitan triangle and home to a large, affluent expatriate workforce tied to Saudi Aramco's Dhahran headquarters and the wider oil-and-gas economy. Unlike the Holy Cities, Al Khobar sits within reach of Saudi Arabia's liberalising foreign-ownership regime: the national law effective January 2026 lets non-Saudis acquire property within designated geographic zones, and Premium Residency holders already have broader ownership rights. The metro added 428 residential units in Q3 2025 toward a total stock of around 725,000 units, and the Eastern Province is expanding on Aramco-driven demand for executive housing and gated communities. Khobar's Corniche waterfront and the Al Aqrabiyah district show some of the strongest long-term rental demand in the Kingdom. National gross rental yields ran about 6.8-7.3% in 2025, with no personal income tax on rents but a 5% Real Estate Transaction Tax on transfer.