Can foreigners buy property in Oman? ITCs explained

Foreign ownership in Oman runs on a single distinction. Inside a government-licensed Integrated Tourism Complex, a foreigner may hold full freehold title, the same perpetual, inheritable ownership an Omani national enjoys, registered in their own name. Outside the complexes, freehold is closed; the route open to an expatriate is a usufruct, a long but fixed-term right to use and earn from a property.

The legal architecture is settled. ITC freehold rests on Royal Decree 12/2006, the law on foreign ownership of real estate in tourism complexes, with developers and off-plan escrow governed by Royal Decree 29/2018. Usufruct for expatriates outside ITCs runs on the older land legislation, reported at terms of an initial 50 years, extendable toward 99. For most international buyers the decision is therefore the first one to make: a permanent title inside a complex, or a fixed-term right elsewhere.

The complexes that sell freehold to foreigners are few, and they cluster. Around Muscat, the established names are Al Mouj Muscat, the Sultanate's first ITC and its most complete, with a marina, golf and schools; Muscat Bay and Muscat Hills; the coastal resort of Jebel Sifah east of the capital; and AIDA, the clifftop scheme by DarGlobal with OMRAN Group. In the south, Hawana Salalah serves the Dhofar coast. The Yiti area, now part of the Sultan Haitham City masterplan, is the newer designation to watch.

Two cautions belong here. First, Musandam, the northern enclave on the Strait of Hormuz, holds licensed ITC capacity but had no sales-ready, foreigner-facing freehold scheme as of mid-2026; projects there were still in planning or construction. Treat any Musandam freehold pitch as unconfirmed until a licensed, marketed development is delivering title. Second, where value compounds is a separate question from where you may buy: the entry price varies sharply between complexes, and many of the cheapest units fall below the residency thresholds.

An ITC purchase follows a clear sequence. You reserve the unit with a booking deposit, commonly around 5 to 10 percent of price, while identity and source-of-funds checks are run. The binding step is the Sales and Purchase Agreement, which locks the payment schedule and handover terms. Title and any encumbrances are verified at the Ministry of Housing and Urban Planning, the balance is paid, and the ministry then registers the property and issues the title deed in your name. For off-plan, all buyer money sits in a mandatory project escrow account and is released against construction progress, a protection reinforced by the 2025 Real Estate Regulation Law.

On a ready or resale property, plan for roughly four to twelve weeks from accepted offer to registered title: about one to two weeks of due diligence and two to four weeks for the deed to issue. Off-plan completes on the developer's two to four year build. An overseas buyer can transact remotely by granting a power of attorney to an Omani lawyer, with funds moving through an Omani bank, though an in-person viewing before committing is still the sound course.

Oman is inexpensive to own. There is no annual property tax, no capital gains tax on an individual's sale and no inheritance tax. The cost sits at purchase: a 3% transfer fee to the Ministry of Housing for foreign buyers, agency at about 2 to 3 percent and legal fees of roughly OMR 500 to 1,500, for an all-in round trip near 5 to 8 percent. VAT of 5% applies only to the first supply of a new-build home, so a resale is exempt. There is no stamp duty.

Two recurring costs deserve naming. ITC homes carry a service charge, reported at around OMR 0.5 to 2.0 per square metre per month, which funds the standard that protects the community. And from 1 January 2028 Oman introduces a 5% personal income tax under Royal Decree 56/2025, the first in the GCC, on income above OMR 42,000 a year, with rental income in scope. For a private owner of a single home it is unlikely to bite; for a landlord building a portfolio it belongs in the model.

The freehold you acquire inside a complex can open residency. Since 31 August 2025, Oman's relaunched investor programme grants a 5-year Silver Visa for qualifying property of OMR 250,000 or more, and a 10-year Golden Visa from OMR 500,000, each renewable while the investment is held and extending to immediate family. Published application fees are OMR 551 for the Golden tier and OMR 326 for the Silver. The programme carries no path to citizenship.

One caution sits on the numbers. The press has reported the August 2025 reform inconsistently, some outlets describing a single lower entry point rather than the two-tier structure above. We hold to the law-firm account of the OMR 250,000 and OMR 500,000 tiers and confirm the live figures against the official Invest Oman position before any client relies on them. Sequenced well, a single ITC purchase can secure both a permanent title and the right to live with it; but value, tenure and the visa threshold should be settled together, not assumed.