MUSCAT: Oman is strengthening regulation of its real estate development industry as property transactions and foreign investment increase, with authorities urging buyers to verify that projects are fully licensed before committing funds.
The Ministry of Housing and Urban Planning said its regulatory framework was designed to increase transparency, protect buyers and investors and create a more competitive and sustainable property market.
The Real Estate Regulation Law brings activities including property development, off-plan sales, brokerage, valuation, joint-property management and escrow accounts under a unified legislative framework.
Nasser bin Khamis al Siyabi, Director-General of Real Estate Development, said confidence in the market depended on developers complying with licensing, registration and financial requirements.
“Building a strong real estate sector begins with building trust,” Al Siyabi said.
He said compliance was not merely an administrative requirement but a safeguard for developers, investors and buyers.
Developers must complete licensing and registration procedures before announcing, promoting or selling a project, ensuring that it meets the required legal, technical and financial standards.
The licensing process has three main stages.
A company must first secure a real estate development licence, giving it the legal authority to conduct development activities in the Sultanate of Oman.
It must then obtain a separate licence for the proposed project. This stage includes opening an escrow account with a local bank before off-plan units can be sold.
The developer must subsequently obtain an advertising, promotion and marketing permit before publicising the project through media outlets, online platforms or property exhibitions.
Al Siyabi said following the three stages increased project readiness and credibility while protecting the rights of all parties.
The ministry’s Real Estate Development Services Centre is working with other government agencies to standardise and accelerate the procedures, reducing the time and administrative burden faced by developers while maintaining regulatory checks.
The law provides for legal action against companies that conduct development activities, implement projects or advertise properties without the necessary licences. Breaches of escrow-account regulations can also result in penalties.
Al Siyabi urged prospective buyers and investors to confirm that both the developer and the project were registered and licensed by the ministry before making payments or signing purchase agreements.
The regulatory push comes as property activity continues to expand.
The value of real estate transactions in Oman rose by 5.4 per cent to RO 1.43 billion in the first half of 2026, compared with RO 1.36 billion in the same period last year.
Foreign real estate investment transactions exceeded RO 60.00 million, while transactions involving investors from Gulf Cooperation Council countries surpassed RO 13.00 million.
More than 190 real estate companies were registered with the ministry by the end of June.
Real estate activities contributed about RO 1.08 billion to Oman’s gross domestic product in 2025, according to data from the National Centre for Statistics and Information.
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