What is RERA Dubai?
The Real Estate Regulatory Agency (RERA) is the regulatory arm of the Dubai Land Department. It is the regulatory body responsible for overseeing and regulating the real estate sector in Dubai, United Arab Emirates. It handles all contracting parties relationship and organizes the properties’ exchange process.
In 2007, His Highness Sheikh Mohammed Bin Rashid Al Maktoum created the Real Estate Regulatory Agency (RERA) to oversee real estate in Dubai. RERA takes care of things like developer rental agreements and money, allowing property sales, organizing home shows, and watching over real estate agents. One important job of RERA is giving licenses to people wanting to work as property brokers in Dubai. Additionally, RERA is responsible for resolving disputes and complaints between stakeholders in the real estate industry, including developers, investors, and buyers. The agency’s goal is to promote a sustainable and prosperous real estate market in Dubai, which is a vital contributor to the overall economy of the emirate.
What is the difference between RERA and the DLD?
RERA and DLD are two separate government entities in Dubai with different roles and responsibilities in the regulation and management of real estate.
Dubai Land Department (DLD) is responsible for the registration and regulation of real estate transactions in the emirate of Dubai. On the other hand, the Real Estate Regulatory Agency (RERA) is a regulatory body that operates under the DLD’s umbrella and oversees the activities of developers, brokers, and other real estate professionals in Dubai.
While DLD is responsible for the overall management and regulation of the real estate sector in Dubai, RERA is a specialized regulatory agency that operates under the DLD’s umbrella and oversees the activities of real estate professionals in Dubai.
Benefits of Obtaining a RERA License
- Enhances Credibility
A RERA registration demonstrates that your real estate company follows industry benchmarks and carries out business legally. Potential clients are more inclined to select a licensed professional over a non-registered one, as it builds confidence in them.
- Legal Protection
You and your clients can gain advantages from the authorized security given by the RERA structure. It diminishes the likelihood of misrepresentation or careless acts by guaranteeing that exchanges are led plainly and straightforwardly. On the off chance that issues emerge, the RERA debate determination cycle can likewise be valuable.
- Getting Services
The Dubai Land Department provides important services like transferring property titles, registering properties, and other services related to real estate deals. However, only companies with a RERA certificate can access these services. Therefore, your company has a benefit over those without a certificate when it comes to getting services from the Dubai Land Department like title transfer and property registration.
- Market Advantage
RERA contributes to making Dubai’s real estate industry more organized and clearer. Everyone involved builders, financial specialists, landowners, renters, and real estate firms benefit from this.
How to Obtain a RERA License in Dubai
A residency visa for the United Arab Emirates is not required to get the RERA license. Everyone can directly apply for an RERA license. However, getting a valid residency permit should be your first goal if you are a UAE resident. Based on your circumstances, you have different options for UAE residency visas. One choice is to invest in real estate properties which can help you receive a residency visa.
1- Apply for DREI Certification Training
Getting an RERA License in Dubai requires completing an approved training from the Dubai Real Estate Institute (DREI) and passing the RERA test. The coursework covers different property-related topics like rules, market research, and ways to decide property worth. Once done with the training, people must show they know and grasp the material by taking the RERA exam in Dubai
2- Take the RERA Exam
After taking the exam, you can apply for an RERA license to become a registered real estate agent in Dubai after passing the RERA exam.
Submit your Certificate of Good Conduct, which confirms your good character and lack of any unlawful acts. The Dubai Land Department (DLD) usually issues the license within two to three days of applying. When you receive your license, the DLD will add your contact details here as a registered real estate professional. This license expires after one year. You must renew it one month before it runs out.
RERA License Cost in Dubai
Getting an RERA license in Dubai can cost different amounts based on where your business is located and what kind it is. The price of the registration exam depends on your education level. If you have a bachelor’s degree, the exam fee is 3,200 AED. For those without a degree, the fee is 6,300 AED. Also, people without a degree have to pay an extra 15,750 AED. RERA also charges 5,020 AED for each thing your business does.
Starting the license process requires getting a RERA training certificate first. Additionally, an LLC needs to pay around 12,950 AED for a real estate broker license. It’s crucial to remember the typical initial cost for a RERA certificate in Dubai is 21,000 AED. The price of applying for an RERA permit can vary depending on the type of work. Note that other real estate-related jobs usually involve greater yearly expenses.
Documents Needed to Apply for a RERA License
To obtain a RERA License in Dubai, you must submit the following documents:
- A copy of your residency visa or an Emirates ID
- Passport-size photographs
- A copy of your realtor license
- NOC for those who based in the freezone
- Proof of the DREI Certified Training and RERA exam
- Certificate of Good Conduct from the Dubai police
- Bachelor’s or Master’s Degree Certificate
- Copy of trade name reservation
Useful Tips and Advice Regarding RERA
It is important to adhere to the laws of real estate regulatory authorities and avoid penalties, to better protect the interests of customers. Here are some tips that will help with this:
1- Stay updated with RERA regulations: RERA regularly updates its regulations to improve transparency and protect the interests of all parties involved in real estate transactions.
2- Obtain the correct licenses and permits: This includes obtaining a brokerage license from the Real Estate Regulatory Agency, registering off-plan sales, and obtaining approvals for construction projects.
3- Keep proper records: It is important to keep records of all transactions, including sales contracts, lease agreements, and property management agreements. This helps demonstrate compliance with RERA regulations. Also, it protects the interests of both the company and its clients.
4- Adhere to Ethical Business Practices: Following ethical practices is essential to avoid engaging in fraudulent or misleading activities. This includes providing accurate information to clients, ensuring transparency in transactions, and avoiding conflicts of interest.
5- Hire qualified professionals: Make sure to hire qualified professionals who have obtained RERA certifications and have the knowledge and experience necessary to comply with RERA regulations.
6- Provide training and education: Providing employees with training and education that enables them to comply with the regulations and procedures of the Real Estate Regulatory Authority. This helps promote compliance and avoid penalties.
7- Immediate response to RERA inquiries: Real estate companies must respond quickly to any questions or requests from RERA. Failure to respond to RERA inquiries may result in imposing penalties and harming the company’s reputation.
