New law to protect property investors in Dubai due in first quarter of 2013
Dubai’s new real estate investor protection law is to be released during the first quarter of 2013, the Dubai Land Department has confirmed.
A draft was published in June and after a consultation process the final law is now being drawn up, according to Majida Ali Rashid, director of planning and organisational development at the DLD. He said that the department received several suggestions from the public and interested parties.
The law will pave the way for property investors to get a complete refund if a developer fails to complete or handover a property within the stipulated timeframe, or if the developer deliberately defrauds, or alters the specifications of the unit without obtaining the necessary permits.
Investors will also be able to claim compensation in cases of breach of any warranty or undertaking contained in the sale contract by a broker or for misrepresentation by a developer or broker.
Meanwhile, new figures from the emirate’s Real Estate Regulatory Agency (RERA), the regulatory arm of the Dubai Land Department, show that there are now 3,094 real estate brokers registered in Dubai.
In terms of nationalities, UAE nationals dominated this profession with 620 brokers, while Indians ranked second with 438 brokers, whilst Pakistanis came third with 428 brokers. British came fourth with 304 brokers, followed by Egyptians with 160 brokers. At the bottom of the top 10 list came the Filipinos with 59 brokers.
Yousef Al Hashmi, director of RERA’s real estate licensing department, said it is now no longer possible for companies to undertake brokerage activities without registration.