Contracts & agreements
Shared housing costs agreement template
Reviewed against the Civil Transactions Law — Regulator: Ministry of Justice — Last reviewed: 6 November 2026
This template follows the law of Saudi Arabia, not the law of the United States or any other country. Naming the regulator identifies the law that applies; it does not mean the regulator approved this template. This is a general template and does not replace advice on your own case.
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Shared Housing Costs Agreement
Contract no.: Contract number
Date: Contract date
Place: City of signing
Parties
First Party (First Housemate): First party name, national ID / iqama no. First party ID, national address: First party address, e-mail: First party e-mail, mobile: First party mobile.
Second Party (Second Housemate): Second party name, national ID / iqama no. Second party ID, national address: Second party address, e-mail: Second party e-mail, mobile: Second party mobile.
Other housemates joining this agreement: Names and IDs of other housemates.
Article 1: Recitals and definitions
1.1 Whereas the parties live together in the unit below and wish to set out its costs and their rights, they agree as follows. This agreement does not replace the lease with the owner.
1.2 The recitals and schedules form an integral part of this Contract and are read with it. In a conflict, this Contract prevails, then the schedules in numerical order.
1.3 "Business Day" means any day other than Friday, Saturday and an official holiday in the Kingdom of Saudi Arabia. "Laws" means the laws and regulations in force in the Kingdom.
1.4 Each party confirms that it has legal capacity to contract, that its signatory is authorised, and that entering into this Contract breaches no other obligation binding on it.
Article 2: The home and spaces
2.1 Address: Property address. Tenant registered on Ejar: Registered tenant, who confirms that sharing is allowed by its lease or the owner's consent: Owner's consent.
2.2 Private rooms: Room allocation. Shared areas: Shared areas. This agreement starts on Start date.
Article 3: Costs and shares
| Item | Approx. amount | First share | Second share | Due |
| --- | --- | --- | --- | --- |
| Rent | Rent amount | First rent share | Second rent share | Rent date |
| Power | By bill | First power share | Second power share | Within 5 days of the bill |
| Water and gas | By bill | First water share | Second water share | Within 5 days of the bill |
| Internet | Internet amount | First internet share | Second internet share | Internet date |
3.1 The person responsible for the account pays the provider and sends the bill; the other transfers its share to: Bill payer account. No increase is added for lateness.
3.2 A shared expense above SAR Shared expense limit needs the other's approval, otherwise the one who spent bears it. General wear costs are split equally, and whoever causes damage bears its cost.
3.3 Deposit paid to the owner: Deposit, shared as: Deposit shares.
Article 4: House rules
• clean by turns under the rota, and clean the kitchen and bathrooms after each use.
• quiet from Quiet hours start; guests with advance consent, none staying over beyond Guest nights nights, and within the housing rules.
• respect privacy, and do not enter the other's room, use its belongings or look through its things without consent, and do not photograph each other.
• follow the Laws and public decency, forbid anything prohibited at home, and do not harm relations with the owner and neighbours.
4.1 Each party is responsible for its own belongings; the other answers for their loss only on misuse or neglect.
Article 5: Leaving
5.1 A party wishing to leave gives Move-out notice days' notice and stays liable for its share until the notice ends or until a replacement acceptable to the other moves in.
5.2 On leaving, meters are read, bills paid and shares settled on a statement within 7 days; the deposit share is returned when recovered. Keys are returned and belongings removed within Belongings removal time.
5.3 Neither forces the other out, changes the locks or keeps its belongings. Disputes are settled amicably, then through the competent authority.
Article 6: Representations and warranties
6.1 The First Housemate and the Second Housemate each confirm the following at signing, and shall tell the other at once if any of it changes:
• the details and documents it has provided are true and complete on everything affecting the other's decision, and it has hidden nothing it knows to be material.
• no claim, seizure, disposal ban, bankruptcy or legal bar prevents performance of this Contract.
• the source of funds and purpose of contracting are lawful, and this Contract is no cover for any prohibited dealing.
• it holds the licences, approvals and legal capacity needed to sign and perform this Contract, and will keep them valid throughout.
6.2 An untrue material statement is a breach of this Contract, subject to its terms and the Civil Transactions Law; deliberately misleading information is deceit that allows annulment and compensation to be sought.
Article 7: Breach and its effects
7.1 A breach notice is in writing, states the obligation breached, what is needed to cure it and a reasonable time of at least 15 days, unless this Contract sets another period. No notice is needed if cure is impossible or the party at fault has said it will not perform.
7.2 Each party may withhold its corresponding obligation that has fallen due if the other has not performed its own, unless that would run against good faith or the failure is minor, under the Civil Transactions Law.
7.3 The injured party shall make reasonable efforts to limit its loss and is not compensated for what it could have avoided. Compensation follows proved loss. Nothing is charged as compensation or increase merely for lateness in paying a sum of money, and the actual costs awarded by the competent authority may be claimed.
7.4 On termination the parties are restored as far as possible, each answering for what it actually benefited from. This Contract does not affect statutory limitation periods or the terms that survive its end by their nature.
Article 8: Documents, correspondence and proof
8.1 Each party keeps a copy of this Contract, its schedules, payment receipts and handover reports for at least 5 years after it ends, or any longer statutory period.
8.2 Correspondence through the e-mail or mobile at the head of this Contract, and approved government platforms, is proof where it can be attributed to its sender, under the Electronic Transactions Law and the Evidence Law. Nothing said orally changes this Contract.
8.3 The party receiving money gives a receipt for each sum, stating what it covers. No payment is a final release unless that is stated in writing.
Article 9: Personal data protection
9.1 The parties shall comply with the Personal Data Protection Law and its regulations. Where the Second Housemate processes personal data for the First Housemate, it acts as processor and processes it only on the First Housemate's written instructions and for the purpose of this Contract.
9.2 The Second Housemate shall apply suitable security and technical measures, limit access to those who need it, and use a sub-processor only with the First Housemate's prior written approval and on equivalent terms.
9.3 The Second Housemate shall notify the First Housemate of any leak or unauthorised access without delay and within 24 hours of becoming aware, with the information the First Housemate needs to report to the competent authority within the statutory 72 hours.
9.4 Data leaves the Kingdom only in line with the statutory controls. When the Contract ends, data is returned or securely deleted within 30 days unless a law requires it to be kept.
Article 10: Force majeure and exceptional circumstances
10.1 A party is not liable for delay or failure caused by an event beyond its control that was unforeseeable and unavoidable, provided it notifies the other within 7 days and makes reasonable efforts to limit the effect. Force majeure does not excuse paying what fell due before it occurred.
10.2 Affected obligations are suspended for the duration. If the event lasts more than 60 days, either party may terminate by written notice, with payment for work actually performed.
10.3 If unforeseeable general exceptional circumstances make performance so onerous as to threaten a heavy loss, the affected party may request renegotiation without delay while continuing to perform, as provided by the Civil Transactions Law.
Article 11: General provisions
11.1 Notices are in writing and sent to the addresses at the head of this Contract; the registered e-mail is valid, and a notice counts as received on the next Business Day. Each party shall report any change of address.
11.2 Neither party may assign this Contract or subcontract without the other's prior written approval, and it remains responsible for its subcontractors.
11.3 Delay in using a right does not waive it, and this Contract changes only by a signed written annex. If a provision is void the rest stays in force, unless that provision was the reason for contracting.
11.4 The parties shall comply with the rules against bribery, corruption and money laundering. Neither is the agent, partner or employer of the other, and each bears the obligations of its own staff.
11.5 This Contract may be signed electronically under the Electronic Transactions Law, and electronic signatures and records have their legal force. It is made in two copies, one for each party.
Article 12: Governing law and disputes
12.1 This Contract is governed by the laws of the Kingdom of Saudi Arabia, including the Civil Transactions Law, and in a manner consistent with Islamic Sharia.
12.2 The parties shall try to settle any dispute amicably through their representatives within 30 days of notice, and may then use conciliation through the Taradhi platform.
12.3 If it remains unresolved, it shall be decided by: Forum: the competent courts in the city of ... / arbitration under the rules of the Saudi Center for Commercial Arbitration, seated in .... The parties shall keep performing whatever the dispute does not affect.
12.4 Where made in Arabic and English, the Arabic text prevails in any difference.
Schedules
• Schedule 1: cleaning rota and house rules.
Signatures
The parties sign this Contract after reading and accepting all of its terms.
| First Party (First Housemate) | Second Party (Second Housemate) |
| --- | --- |
| Name: First party name | Name: Second party name |
| Signature: First party signature | Signature: Second party signature |
| Date: Signing date | Date: Signing date |