Real Estate Regularity Authority is a regulatory agency created by State Government of Dubai with the aim to regulate real estate organizations and agents working in Dubai. It was established on 31st July 2007 by vice president, Sheikh Mohammed Bin Rashed Al Maktoum and prime minister of Dubai. The Dubai Land Department of State Government strongly supported establishment of this regulatory authority. It is a principal organization in the emirate, which authorize and regulates real estate organizations and professionals practicing in Dubai. RERA plays executive role to regulate real estate in Dubai. Although it is a newly established organization, but due to keen interest of state government and highly qualified national staff, the agency has successfully managed to register all real estate development organizations and agents working in the emirate.
Primary Goals of Establishing RERA
RERA was established to provide strong legal frame work to buyers, sellers and renters and enable them to make all kind of asset deals in effective manner. Its major aim is to make the whole process extremely transparent with an attempt to eliminate any type of property frauds. Observing deep interest of international investors to make investment in real estate market of Dubai, RERA is trying to set policies for real estate sector that successfully drag potential investors in property market of Dubai. The agency is totally independent with its own financial and administrative infrastructure to regulate real estate sector of Dubai. RERA has build up an online society that makes it possible to coordinate developers, investors and buyers with each other as well as with other supporting sectors like banks, insurance companies and law firms. RERA acts like an arm of Dubai Land Development Department. It helps this industry to develop strategies and regulating activities for property management organizations, property consultants, brokers and owner associations that are taking part in selling, renting and purchasing of residential assets in Dubai. Real estate regulatory authority is the legal organization that also issues rules and regulation to set standards for brokerage activities, registration of lease contract and certifications. Moreover, it also issues license for real estate development professionals.
Functions of RERA
As we know RERA is the regulatory authority of Dubai Government that serves as main regulatory authority to certify real estate agencies, agents and developers. It is also eligible to recommend new property laws to Government. Moreover, it also regulates and registers rental agreements, real estate advertisements in Mass media and licensing of real estate exhibitions. Besides this, it also formulates processes, documentation and standard procedures related to property and provide statistical data about emirate’s property market to government and public.
Role of RERA in Dubai Property Market
RERA closely inspect Dubai property market in order to carryout whole process of property sale, purchase and renting according to rules and regulations implemented by RERA. Property buyers and sellers have to consider few important things when going to make any asset deal in the city. Buyers must check that the real estate developer is certified by RERA and must possess a registration number. Moreover, they also consider making payments via escrow accounts in RERA certified banks. Last but not the least, property dealer you are working with holding RERA certification and display his/her Identity card to its clients.
Real Estate Regulatory Authority is carefully implementing laws and regulations to provide safe property deals in a way to cope up slowdown of current property boom in Dubai.