Real Estate Regulatory Authority (RERA)
RERA is a Government agency and an arm of Dubai Land Department which is responsible for regulation of the real estate sector in Dubai. Dubai Land Department is a principal organization in the emirate, which authorize and regulates real estate organizations and professionals practicing in Dubai. RERA was established as a result of a law issued by UAE Vice President, Prime Minister and Ruler of Dubai, in 2007. RERA plays a key and executive role in the regulation of Dubais real estate scene with support of Dubai Land Department. Despite being a young entity, RERA has managed to register all real estate development companies and brokerage agents in the United Arab Emirates.
Aims & Objectives of RERA
RERA was established and launched as a part of Dubai’s 2015 vision for economic development and falls in line with the current developments within the real estate sector. RERA’s main objective is to establish the foundation for a globally attractive real estate sector that satisfies and guarantees all stakeholders’ rights and expectations.RERA helps buyers, sellers and real estate agents to make the real estate sale, purchase and brokerage processes free of frauds and transparent so that the investors can feel confident in investing their money in Dubai real estate sector. The agency has its own financial and administrative independence with full legal authority to regulate the real estate sector in Dubai. Agency also play a vital role in coordination among developers, investors and buyers, the same time it also connect them with other supporting sectors like, Banks, Insurance Companies and Law firms. As RERA is a legal agency for Real estate sector so it also set new rules and regulations to set standards for brokerage activities, registration of lease contract and certifications. Moreover, it also issues license for real estate development professionals.
Responsibilities of RERA
RERA is responsible for licensing real estate activities, managing real estate developers’ trust account, licensing real estate agents, regulating and registering rental agreements, regulating and supervising the owners associations, regulating real estate advertisements in the Mass media, regulating and licensing real estate exhibitions and publishing studies for the sector.
Rules & Regulations of Land Trade in Dubai
RERA also informs people on regulatory acts when buying the real estate in Dubai. Land resources can be in security until the building process is complete. The land can be divided but only according to local planning approval. The neither could be bought nor sold until the written direction of His Highness Sheikh Mohammed Bin Rashed Al Maktoum is received. According to the policy of confidentiality the Dubai Land Department doesnt publish any information about its clients. Information about the land conditions can be given when the Dubai Land Department studies the condition of Land relations. Regulatory authority certify real estate agencies, agents and developers do work in the given frame work. It can also recommend new property laws to Government of Dubai to make the real estate sector more attractive and secure for investors and buyers. Moreover, it also registers rental agreements and regulates advertisements in mass media and issue licensing to real estate exhibitions. Besides this, RERA also formulates processes, documentations and standard procedures related to Real Estate sector and provide statistical information about Dubai property to Public and Government.
Role of RERA in Dubai Property Market
Real Estate Regulatory authority key role is to inspect Real Estate sector of Dubai and make this sure whole process of property sale, purchase and renting is according to rules and laws set by the RERA. Property Sellers and Buyers should consider few things while setting any property deal in Dubai.Buyers must confirm either the Real Estate developer from whom they are going to purchase the property is certified from RERA or not if registered then it must have registration number. Moreover, they can also make the payments via escrow accounts in RERA certified banks.