|
The long awaited Property Law in Dubai seems to be emerging from the Doldrums. Dubai residents looking to buy their dream home will be entitled to outright ownership of both the property and the land, as detailed in the latest draft of the Dubai Property Law.
Emirates Today has witnessed the newest draft of the law, poised for imminent ratification, and it is possibly set to spark huge interest in people buying property in the city. If you want to know more about this, then
For the first time it will allow foreigners to register their properties under their names in the Dubai Land Department. Until now, a contract with the developer is an expatriate’s only guarantee of ownership rights in Dubai’s freehold developments, such as the Palm Jumeirah, Dubai Marina or Jumeirah Beach Residence.
“Dubai is keeping its promises. Dubai promised full title to the land. With the legislation, they’re going to deliver on what they promised. People purchased and put money into properties on the promise of freehold,” said Essam Al Tamimi, managing partner of Al Tamimi and Company. “That in my opinion comes naturally with what Dubai has been planning.” If passed in the current form, the law could kick-start a new wave of sales among expatriates who have been wary about the lack of formal rules, according to property officials.
“There are a lot of people sitting on the sidelines. These are the end-users rather than the speculators,” said Andrew Chambers, managing director of property developer Asteco, who had not seen a copy of the draft, but said the clauses fall in line with what he had been hoping for.“ People have been saying, ‘we will come and see you when there is a law’. Many of them have mortgages lined up and are just waiting for the law to be announced,” he added, saying that a good number of overseas buyers will also take out mortgages abroad to buy properties, fuelling a new surge in the sale of real estate properties.
The 40-article draft law covers five broad areas: title and ownership of titles, areas nationals and foreigners can own, granting the right to own units in an apartment or condominium, long-term leases and mortgages. Among the most-anticipated pieces of legislation to hit the emirate this year, the draft gives UAE and GCC nationals the unhindered right to buy property anywhere in Dubai. A sub-clause entitles foreigners to own properties with the “Ruler’s consent”. Al Tamimi said the exemption will likely include properties of the major freehold developers: Emaar, Nakheel and Dubai Properties. Foreigners may also request special permission from the Ruler to buy properties outside of the designated areas, the draft says. One article, meanwhile, formalises long-term leases saying that leases of longer than five years must be registered with the Dubai Land Department. Observers and lawyers said the law is necessary to develop Dubai’s real estate sector.
“This draft changes a lot because there has been nothing. The property revolution in Dubai was going on in a legal vacuum,” said Omar Momany, a legal consultant, specialising in property law with Habib Al Mulla & Company, who has also reviewed the law.“We have something now that talks about real estate and outlines the ownership rules.This is good news.” According to Al Tamimi, the draft has been in final form since December, and is awaiting the final signature of His Highness Sheikh Mohammed bin Rashid Al Maktoum,Vice-President and Prime Minister of the UAE and Ruler of Dubai.
Final approval was put on hold following the passing of Sheikh Maktoum, and the subsequent reshuffling of the cabinet
If you need help in arranging a mortgage, establishing an offshore company to buy property, need home & contents cover or just a general overview in buying in Dubai then call our specialists today toll free 8004558 or (+9714 3979550) |
