UAE: new laws regulate the real estate sector.

The image is kindly provided by Christopher Pike / Getty Images

Sheikh Saud bin Rashid Al Mualla, Advisor to the Supreme Council and Ruler of Umm Al Quwain, issued a series of laws related to the Emirate's Real Estate Fund and the regulation of the real estate sector in the Emirate. The laws are also aimed at helping in the development and implementation of plans aimed at stimulating growth in the sector and conforming to the Emirate's urban development, as reported by the state news agency WAM.

What do the real estate laws provide for?

Law No. 2 of 2023 concerns the establishment of a Temporary Real Estate Registry in Umm Al-Quwain and the regulation of property registration activities in the emirate. Law No. 3 of 2023 relates to the regulation of real estate development activities in the emirate, the determination of prices for all projects, and the provision of trust accounts for real estate in accordance with norms that protect the rights of investors, companies, and developers. Law No. 4 of 2023 addresses amendments to Law No. 3 of 2007 regarding real estate trust accounts in Umm Al-Quwain, establishing guidelines to better regulate real estate sales transactions and ensure compliance by all stakeholders with the norms issued by the Real Estate Fund.

Law No. 5 of 2023 provides for the regulation of mortgage registration activities through the Umm Al-Quwain Municipality Department in accordance with the norms developed by the Central Bank of the UAE, and addresses issues and violations related to unregistered mortgages. Law No. 6 of 2023 focuses on protecting investors' rights in the event of delays or obstacles in development projects, as well as ensuring the completion of such projects whenever possible. It also provides for the establishment of a special committee to address issues related to canceled and unfinished projects. Law No. 7 of 2023, concerning amendments to Law No. 2 of 2005 on the regulation of brokerage activities in the emirate, establishes legislation and guidance for regulating all brokerage activities.

Read: The UAE real estate market: high demand and a lack of supply contribute to further growth in 2023, claims CBRE.