RERA Dubai is a branch or unit of the Dubai Land Department that regulates the policy-making and planning of Dubai real estate. It is an independent body when it comes to decision-making.
The Real Estate Regulatory Agency (RERA) in Dubai has implemented comprehensive guidelines aimed at enhancing transparency and efficiency in property transactions within the Emirate.
As part of this initiative, standardized RERA forms have been introduced to facilitate the selling, buying, and renting of properties. These forms play a crucial role in ensuring the fairness and smoothness of transactions between the parties involved.
It is important to be aware of the various RERA forms applicable in Dubai for individuals engaged in property transactions, whether selling, buying, or renting.
RERA Forms Dubai Details
There are currently five different RERA Dubai forms. Let’s explore them.
Form A RERA Dubai
Form A under RERA is primarily designed for property sellers. It serves as a contractual agreement between the seller and the appointed property broker. After the execution of this agreement, the broker gains authorization to market the property on behalf of the seller.
However, sellers retain the right to specify the marketing platforms and terms of engagement. The chosen broker is restricted from advertising the property on any platforms beyond those agreed upon.
Additionally, RERA Form A addresses crucial details such as property mortgages, payment schedules, and service charges applicable in Dubai. The signed agreement between the broker and the seller must be processed through DLD’s Trakheesi system, which issues a permit number authorizing the broker to conduct marketing and advertising activities.
According to RERA regulations, a seller may engage up to three property brokers simultaneously using Form A. Moreover, if multiple individuals co-own the property, all owners must sign Form A. Once the property is listed for sale, it is necessary that the agents possess comprehensive information about the seller to facilitate smooth transactions.
Form B RERA Dubai
Form B serves as a formal agreement between real estate brokers and property buyers. According to this form, any property transaction in Dubai must involve a licensed real estate agent certified by RERA.
It is highly recommended that you engage a qualified broker listed by RERA who possesses the expertise to meet your specific property requirements. Form B outlines details such as the type of demanded property and budget constraints.
Once the buyer and agent agree to terms, the appointed broker exclusively represents the buyer’s interests and undertakes the task of identifying properties that align with the specified criteria.
Acting on behalf of the buyer, the broker interacts with the seller’s listing agent (as per Form I – Agent to Agent under RERA), participates in auctions, and conducts property inspections. Form B is signed by both the buyer and the agent to formalize their agreement.
It is important to note that either party, buyer or seller, has the right to terminate their contract with the property broker at any time, for any reason.
However, termination requires providing a written notice to the real estate agent with a seven-day notice period, along with the reason for termination. In such cases, Form U must be completed to process the termination formally.
Form I RERA Dubai
When the agents representing the seller and the buyer collaborate on a property transaction, it is necessary for them to sign Form I.
This document serves as an agreement between RERA-certified agents, safeguarding their respective clients and property listings, while also specifying the distribution of commissions.
Form I formalizes a professional relationship between the two agents involved in the transaction.
Form U RERA Dubai
According to RERA regulations, it is mandatory to sign Form U if either the buyer or seller chooses to terminate their agreements (Form A or Form B) with the broker.
Form U requires a clear statement of the reason for termination and must be submitted to the agent with a minimum 7-day written notice. This procedure ensures formal and transparent termination of the brokerage agreement under RERA guidelines.
Form F RERA Dubai
RERA Form F is a crucial document in Dubai’s property transactions. This form, known as the (MOU) Memorandum of Understanding, serves as the purchase agreement between the seller and buyer.
Both parties have to sign form F once the buyer agrees to purchase the property at an agreed-upon price. Form F outlines
- Important terms and conditions,
- The sale price,
- Commission share for both the buyer’s and seller’s agents, and
- Other essential details about the property.
The memorandum is finalized with a date stamp provided by the property broker.
Frequently Asked Questions
How to register for RERA Dubai?
When applying for a RERA License in Dubai, you are required to submit the following documentation:
- Residency visa or Emirates ID’s copy
- Passport-size photographs
- Proof of completion of the DREI Certified Training and RERA exam.
- Certificate of Good Conduct issued by the Dubai police.
How much is the RERA fee in Dubai?
Obtaining a RERA license requires payment of applicable fees. The fee varies based on the type and duration of the license selected. Costs range from AED 10,000 for a one-year license to AED 30,000 for a three-year license.
What is the trakheesi system?
The Trakheesi system, introduced by the Dubai Land Department (DLD), serves as a streamlined platform designed to assist real estate companies and agents operating in Dubai. This system simplifies the process of obtaining licenses, permits, and e-cards necessary for property transactions and related procedures within the Emirate. Its implementation aims to enhance efficiency and regulatory compliance across the real estate sector.
Summing it up
RERA Dubai is a division of the Dubai Land Department that independently regulates real estate policies and planning. It has implemented clear guidelines to enhance transparency and efficiency in property transactions.
Standardized RERA forms facilitate fair dealings in buying, selling, and renting properties. Understanding these forms is crucial for anyone involved in Dubai’s real estate market.
There are five main forms:
- Form A for sellers,
- Form B for buyers,
- Form I for agent collaboration,
- Form U for termination, and
- Form F, which is a Memorandum of Understanding for property purchases.
Each form plays a distinct role in ensuring smooth transactions under RERA regulations. Need help with your real estate needs in Dubai? Feel free to contact Orchid Homes Real Estate Dubai