Real estate developers and brokers in Dubai marketing local properties outside the emirate now face new regulations.
The Dubai Land Department (DLD) recently issued circular No. 13, which outlines new requirements for all real estate announcements, across all advertising and other media.
Permits for any announcements related to property either inside or outside of the country must be obtained via the DLD’s Trakheesi system, a statement said.
Also, no company is permitted to advertise about any property without first obtaining DLD’s permission.
To obtain a permit for marketing real estate properties outside of the UAE, companies must submit –
* A copy of the real estate property title deed
* A letter from the country in question which describes the method of foreign property ownership
* A marketing agreement between the real estate property owner and the real estate brokerage
* A copy of the property certification from the UAE Embassy and the Foreign Ministry that has been translated into Arabic by a legal translator
Ali Abdullah Al Ali, director of the Real Estate Licensing Department at The Real Estate Regulatory Agency (RERA), the regulatory arm of Dubai Land Department said: “This circular is intended to protect residents who are interested in making real estate investments outside of the country.
“It encourages real estate brokers to be accurate and cautious in any campaigns that promote properties abroad, and advises everyone to follow the correct legal procedures, regardless of the contracting parties, and deal with accredited brokerage offices.”
The circular also stressed that international buyers must follow the legal procedures in the country concerned, and preview the property before settling contracts and making payments.
DLD also said it will not broker issuing contracts of sale or receipt of any payments from the client, either for the reservation or value of the property.
The latest regulation comes after the DLD recently announced that developers and brokers will need to receive approval from RERA before they place any property advertisement in the media.
The rule, in place since October 1, is aimed at cracking down on fraudulent property advertising in Dubai and to increase transparency in the market.
Property developers or agents found violating the rule will face a fine of upto Dhs50,000. However, publishers who feature the adverts will not be penalised.