All you need to know about Dubai property laws
Buying a property in Dubai is quite a complex and challenging process for buyers and investors. In order to make safe investments, buyers and investors should be aware of the real estate/property laws in Dubai. So in this blog post, we will be sharing the rules and regulations for buying, selling and owning properties in Dubai.
Three Primary Laws
It is mandatory to produce a residential permit in Dubai to purchase a residential or commercial property.
Buyers need to deposit 10 to 20 percent of the total property price.
For instance, the buyer makes payment via the vendor then the buyer needs to remit 2 percent of the total asset price as a fee to the vendor.
Three Major Property Laws
Real Estate Law Number Seven
Real Estate Law Number Seven enabled foreigners to hold ownership of land and properties in Dubai. This law was implemented by the Estate Government of Dubai in 2006 and it allows the non-residents and foreigners to obtain asset ownership on rent or lease.
Rental property laws
As per this law, the tenant contract for residential properties and apartments will be signed for 1 year. During this period of 12-month tenancy, the landlords are not allowed to raise the rent. However, the landlords can increase rent up to 15% once the lease is over or at the time of renewal. For instance, if any dispute comes up between the homeowner and tenant, they can get the help of Real Estate Lawyers and file a case to the Rent Control Committee of the Municipality. The panel of the Rent Control Committee will hear the dispute and will make a judgment accordingly. The judgment made by the panel will be final and so both the renter and homeowner will have to obey it.
Inheritance Property Law
It turns out to be very difficult to choose acquired proprietors if a deceased asset holder holds dual citizenship of two countries other than UAE. A legitimate will that satisfies all the lawful gauges of Dubai and UAE is basically required to assign the property to legal beneficiaries. Without a legitimate will, the Intestate Court chooses how a property ought to be divided among beneficiaries or the state will owe that asset. Due to this reason, purchasers and buyers investing in resources in Dubai must have a substantial will to spare their properties for their siblings or family.
Understanding property laws are very important for anyone who is going to buy, sell or rent assets in Dubai. It is recommended to seek the help of real estate legal consultancy services before you seal the property deal in Dubai. So hire real estate consultants for better investments!