This paper assesses the energy and water consumption practices of existing housing in Saudi Arabia, with the ultimate aim of establishing guidelines for delivering sustainable residential buildings in the near future. In order to achieve this aim the current status of a typical Saudi residence (i.e. an apartment complex) is investigated in terms of energy and water consumption using simulation software packages. The paper then examines the prospects for applying various measures to the typical Saudi residence to manage energy and water use more sustainably. This research identifies several design-related faults common to Saudi Arabian house design. These faults contribute to an inefficient use of energy and domestic water resources. Finally, the paper puts forward a set of recommendations and guidelines, design-related and otherwise, to enhance the sustainability of future Saudi residential buildings.