How Does REDF / Sakani Subsidy Work?
April 5, 2026
What is REDF?
The Real Estate Development Fund (REDF) is a government entity that helps Saudi citizens own their first home through the Sakani program.
Who is eligible?
- Saudi citizen
- First home (never owned property before)
- Gross monthly salary ≤ SAR 14,000
How does the subsidy work?
REDF covers the profit (interest) on the first SAR 500,000 of your mortgage. This means you pay principal only at 0% on that portion, while paying the full rate on the remainder.
Practical Example
For a SAR 800,000 mortgage at 5.49%:
- Without REDF: Monthly ≈ SAR 4,900
- With Sakani: Monthly ≈ SAR 3,400 (saving ~31%)