Property Law, Protecting the Citizens
Real estate is an essential part of UAE, and the government takes several steps to provide legislation that protects the individuals and parties investing in the property of UAE. However, the law surrounding property is complex and individuals are advised to make themselves aware of the law before purchasing or entering into tenancy contract.
There are specific laws for off plan property and property which is ready. Property which is under construction should be registered with the Real Estate Regulatory Agency, further inquire if there is an owner’s association. Be it property which is completed or under construction make sure that you are aware of the termination right of the developer and the purchaser. The other things to review include the payment of the registration fees, copy of the original sale-purchase agreement, permits and alterations done to the property.
Real Estate Law Number 7, allows foreigners and non-residents to obtain property ownership on rent or lease. The duration of property lease for any property is around 99 years that must get approved by State Government of Dubai.
Regarding rental property law landlords are not allowed to increase rent. Rents can be raised when the lease finished and it’s time to renew it. However, rents cannot be raised more than 15%.
Individuals are recommended to get professional legal advise before investing in property be it for commercial or private use for rental or for ownership to ensure that the law can help them to the best of it’s capabilities.