The new Law No. 4 of 2019 regulating the Real Estate Regulatory Agency (RERA) includes restructuring the legal provisions of the agency, which was established pursuant to Law No. 16 of 2007.
Under the new law, the objectives of RERA include contributing to the development of Dubai’s real estate sector within an integrated system of regulatory and monetary procedures, enhancing the sector’s contribution to Dubai’s economy as well as providing a secure environment for real estate projects. This will protect the rights of developers and investors, implement new projects and programs that enable them to explore new real estate opportunities, and promote professional and ethical standards in the industry.
Pursuant to this law, RERA is responsible for: regulating and overseeing real estate development escrow accounts; accrediting financial institutions that are qualified to manage real estate development escrow accounts; approving regulations that govern development, brokerage, management of real estate including joint property; accrediting the real estate development projects in Dubai; and monitoring the completion percentage.
RERA also monitors real estate advertisements published in media outlets in the Emirate; develops and launches awareness programs in collaboration with the Dubai Real Estate Institute to educate the public about their rights and responsibilities; prepares and updates policies designed to balance supply and demand.
Dubai Land Department will replace RERA in registering real estate rental contracts and regulating the relationship between property owners and tenants as well as any other matter related to real estate rental contracts.
This law has taken effect from the day of publishing in the Official Gazette on 17/09/2019.