Seizing Real Estate Opportunities Through Infath Auctions 2025: Complete Guide to Smart Buying Below Market Value

Introduction: The Real Estate Auction Revolution in Saudi Arabia

Have you ever dreamed of owning a property below its actual market value? This dream has become a tangible reality thanks to the radical transformation brought by the Enforcement and Liquidation Center "Infath" to Saudi Arabia's real estate auction market. In the past, public auctions were a mysterious world controlled by a limited group of brokers and professionals, difficult for ordinary citizens to access or understand. Today, the rules of the game have completely changed.

Through approved electronic platforms, any citizen or resident can now enter fair and transparent competition to purchase properties at prices that may be 15% to 40% below market value, due to the nature of these properties being sold for various reasons such as estate liquidation, financial distress, or court judgment enforcement.

In this comprehensive guide, we will take you on a complete journey through the world of Infath auctions: from registration and bidding, through inspection and evaluation, to winning the bid and transferring ownership. We will reveal the secrets that professionals know and warn you about the risks you might fall into as a beginner.

First: What is Infath Center? And Why Does It Change the Game?

The Enforcement and Liquidation Center "Infath" is an administratively and financially independent government center, established as one of the National Transformation Program initiatives under Saudi Vision 2030. The center aims to achieve cooperation between judicial and government entities in liquidation and sale tasks for assets assigned to it, whether real estate, movables, or estates.

The Difference Between Past and Present

In the old system (traditional auction), auctions were held at specific locations, and access to information about listed properties was difficult. Information was often limited and sometimes vague, with possibilities for manipulation or collusion between some bidders. In the new system (Infath), auctions are held electronically and in-person with complete transparency. Detailed data is available for each property including photos, location, area, and valuation. The bidding record is visible to everyone in real-time, and time is automatically extended when a bid comes in the last minutes to prevent "sniping."

Statistics Showing the Scale of Opportunities

In the second half of December 2025 alone, Infath Center supervised 78 real estate auctions to sell more than 1,022 diverse real estate assets including residential, commercial, and agricultural properties across various regions of the Kingdom. Riyadh region led with 21 auctions offering 311 properties, followed by Makkah region with 18 auctions including 296 properties, then the Eastern Region with 11 auctions comprising 119 properties. These numbers confirm that opportunities are available weekly and in huge quantities for those who know how to seize them.

Second: Electronic Auction Mechanism - How Does the System Work?

Auctions are conducted through electronic platforms approved by Infath Center, which have undergone strict governance processes to ensure reliability and electronic security. The most prominent platforms include: Saudi Auctions (auctions.com.sa), Mobasher Auctions (re.mobasher.sa), and E-Mazad platform (emazad.sa).

Stages of Electronic Auction

The first stage is announcement and marketing, where the auction is announced sufficiently in advance (usually 5-10 days), and properties are displayed with detailed data including photos, location, area, and valuation. The second stage is registration and deposit payment, where participants must register on the platform and charge their electronic wallet with the security deposit. The third stage is bidding, which usually lasts 3 to 5 days, with the bidding record visible to everyone in real-time. The fourth stage is automatic extension, where if a bid comes in the last minutes, time is automatically extended to give everyone a fair chance. The final stage is awarding, where the auction is awarded to the highest bidder, who is notified immediately.

The Transparency Advantage

The most important feature of electronic auctions is absolute transparency. Every bidder sees others' offers in real-time, preventing any manipulation or collusion. The automatic extension system also prevents what is called "last-minute sniping," a strategy some professionals used in traditional auctions.

Third: Smart Buying Guide for Beginners

Entering Infath auctions requires a careful and studied strategy. Always remember that properties are sold "as is," meaning you bear responsibility for inspection and evaluation before bidding.

Step One: Proving Financial Solvency (Deposit)

Before participating in any auction, you must charge your electronic wallet on the auction platform with the security deposit. This amount varies according to the property value and is usually a percentage of the estimated value. It can be paid via certified check or bank transfer and is refunded if you don't win. This requirement ensures bidder seriousness and excludes manipulators who might raise prices without genuine intention to buy.

Step Two: Due Diligence Inspection

Never rely solely on photos displayed on the platform. You must visit the site and inspect the property yourself or through a specialized engineer or real estate appraiser. For residential properties, pay attention to a critical point: the property may be occupied by the previous owner or tenants, meaning you will buy the property "with its occupants." Here you must verify the legal status of eviction or continuation of lease and its remaining duration. Also verify the structural condition, maintenance, and services (electricity, water, sewage), and the existence of any municipal violations or encroachments on neighbors.

Step Three: Calculating Hidden Costs

The price at which the auction is awarded is not the final price you will pay. The buyer must add important additional costs. First is the commission (platform fee), usually 2.5% of the award value, plus 15% VAT on the commission amount. Second is the Real Estate Transaction Tax (RETT) at 5% of the total property value.

Practical Example for Calculating Real Cost

Suppose the auction is awarded for a property at 1,000,000 riyals. The commission equals 2.5%, which is 25,000 riyals. VAT on commission equals 15% of 25,000, which is 3,750 riyals. Real estate transaction tax equals 5% of one million, which is 50,000 riyals. Therefore, the actual total cost equals 1,000,000 + 25,000 + 3,750 + 50,000 = 1,078,750 riyals. This means additional costs represent about 7.9% above the award price, a percentage that must be considered when determining your bidding ceiling.

Step Four: Setting and Sticking to Your Bidding Ceiling

Before entering the auction, set your maximum (including all costs) and stick to it strictly. Auctions can become emotional and exciting, and you may find yourself exceeding your budget in a moment of enthusiasm. Remember that opportunities are plentiful, and if you miss a property today, you'll find another tomorrow.

Fourth: After Winning - Title Cleansing and Ownership Transfer

If you win the auction, a new and important phase begins where Infath auctions have an exceptional advantage: "title deed cleansing."

What Does Title Cleansing Mean?

Properties sold by court orders through Infath have their ownership transferred to the new buyer completely free of any defects, seizures, or mortgages that were registered against the old owner. This means you get a completely "clean" title deed, regardless of the financial or legal obligations the previous owner had. This feature removes the major legal risks that usually accompany purchasing distressed properties outside the Infath system.

Ownership Transfer Procedures

After winning, Infath Center coordinates with the Ministry of Justice to transfer the deed directly to the buyer's name. You must pay the full amount due within the specified period (usually 10 business days). Once payment is made, the new ownership deed is issued in your name electronically through the Najiz platform. You also receive the award minutes, which serves as an official ownership transfer document.

What If the Property Is Occupied?

If the property is occupied by tenants, you must refer to the lease contract and know its remaining duration. If occupied by the previous owner (debtor), the matter is referred to the Execution Court for eviction procedures. This point must be considered when calculating opportunity cost and time needed to benefit from the property.

Fifth: Types of Properties Offered in Infath Auctions

Properties offered in Infath auctions vary to include a wide spectrum of investment opportunities:

Financial Distress Properties

These are properties mortgaged to banks or financing entities, sold after the owner defaults on payment. They are usually sold below market prices to accelerate liquidation and debt collection.

Estate Properties

These are inherited properties that cannot be physically divided among heirs (such as one building among 10 heirs), so they are sold at auction and the proceeds divided among beneficiaries. These are often properties in old and prime locations.

Court Judgment Properties

These are properties sold in execution of various court judgments, whether to pay debts, compensation, or others.

Distressed Company Properties

When a company declares bankruptcy or is liquidated, its real estate assets are sold at auction to pay creditors.

Sixth: Risks to Avoid

Despite the great opportunities provided by Infath auctions, there are risks you should be aware of:

Risk One: Buying Without Inspection

The biggest mistake beginners make is relying only on photos and data without visiting the property. You may discover after purchase serious structural problems, costly municipal violations, or disputes with neighbors over boundaries.

Risk Two: Not Calculating Full Costs

Many calculate only the award price and forget the commission, taxes, and repair and maintenance costs. They may end up paying more than the property's market value.

Risk Three: Emotional Drift in Bidding

The auction atmosphere is exciting and charged, and you may find yourself raising prices impulsively to beat competitors. Set your ceiling in advance and stick to it strictly.

Risk Four: Ignoring Occupancy Status

Buying an occupied property means you may wait months before you can benefit from it. Calculate this waiting cost in your decision.

Risk Five: Not Verifying Legal Status

Although Infath cleanses the title, make sure you understand all terms and conditions, and verify there are no pending cases that may affect your use of the property.

Seventh: Registration and Participation Steps

Here are the practical steps to participate in Infath auctions:

Step One: Choose the Platform

Visit the official Infath Center website (infath.gov.sa) and browse upcoming auctions. Choose the approved platform where the auction you're interested in is held (Saudi Auctions, Mobasher Auctions, or others).

Step Two: Create Account

Register on the chosen platform using National Access (Absher) account. Complete your personal data and activate your account.

Step Three: Search and Filter

Browse listed properties and categorize them by your interest (region, type, estimated price). Read detailed data for each property carefully.

Step Four: Field Inspection

Visit the property you're interested in physically, and use an engineer or appraiser if necessary. Note your observations and evaluate the property's condition objectively.

Step Five: Pay Deposit

Charge your electronic wallet with the required security deposit for the auction you want to participate in.

Step Six: Bidding

Participate in the auction during the specified period and submit your offers within the ceiling you set in advance.

Step Seven: After Winning

If you win the auction, pay the due amount within the deadline and receive your new ownership deed.

Eighth: Professional Tips for Seizing the Best Opportunities

Here are some tips that professionals in the auction world know:

Monitor Auctions Regularly

Follow Infath announcements weekly, as opportunities appear continuously. Subscribe to notification channels of approved platforms.

Search in Less Competitive Areas

Auctions in Riyadh and Jeddah witness high competition. Try other regions like Qassim, Hail, or Jouf, where competition is lower and opportunities are better.

Focus on Estate Properties

Estate properties are often in old and prime locations, and their prices may be better because heirs want quick liquidation.

Utilize Valuation Reports

Many listed properties have valuation reports from certified experts. Compare the award price with the valuation to know the opportunity level.

Track Repeated Auctions

Some properties are re-auctioned more than once due to incomplete awards. This is an opportunity to get a better price.

Ninth: Frequently Asked Questions

Can residents participate in Infath auctions?

Yes, residents can participate in auctions and purchase properties, subject to regulations regarding non-Saudi ownership of real estate depending on the region and property type.

Can I get mortgage financing to buy property from auction?

Theoretically yes, but practically it requires prior arrangement with the bank, because payment must be made within a short deadline after winning. Some banks offer financing services dedicated to auctions.

What happens if I don't pay after winning?

The security deposit you paid is forfeited, and you may be referred to relevant authorities and banned from participating in future auctions.

Can I withdraw after bidding?

Generally, you cannot withdraw from a bid after submitting it, especially after winning. So, make sure of your decision before raising your paddle.

How do I know the real value of the property?

Compare the announced valuation price with prices of similar properties in the same area. You can also hire a certified real estate appraiser for an independent valuation.

Are there in-person or only electronic auctions?

Infath supervises both types: in-person auctions held in specific halls, and electronic auctions through approved platforms. Electronic auctions have become most common due to their ease and transparency.

Conclusion

Infath auctions have opened a wide door for seizing distinguished real estate opportunities at prices that may be much lower than the market. But this door requires good preparation: understand the auction mechanism, calculate real costs, inspect the property yourself, set your ceiling and stick to it, and deal cautiously with potential risks.

The digital transformation brought by Infath Center has made the market more transparent and fair, giving ordinary citizens the opportunity to compete on equal footing with professionals. Opportunities are available weekly across various regions of the Kingdom, and the key is knowledge, preparation, and patience.

Start today by browsing the Infath website and approved platforms, follow upcoming auctions, and you may find the opportunity of a lifetime waiting for you.