A Guide to Dubai Real Estate Terminology

A guide to some of the most important real estate / property terms in Dubai.

Author: Gareth Davies : Award-Winning Property Consultant and Broker

Key Real Estate Organizations and Systems in Dubai

Dubai Land Department (DLD)

The Dubai Land Department (DLD) is the central authority overseeing all real estate activities in Dubai. It ensures the secure and transparent execution of property transactions, safeguarding the interests of investors, landlords, and tenants. DLD legalizes the buying and selling of land and properties, providing a regulatory framework and dispute resolution services.

Real Estate Regulatory Agency (RERA)

RERA, a key arm of the DLD, sets the rules and regulations for the Dubai real estate market. It governs everything from property purchases to tenancy laws and oversees the legal registration of various real estate contracts through specialized RERA forms.

Rental Disputes Centre (RDC)

The Rental Disputes Centre (RDC) is where rental disputes between landlords and tenants in Dubai are resolved. Located in the DLD building in Deira, the RDC ensures quick and fair resolutions, maintaining a healthy real estate market.

Makani

Makani is a smart navigation system that assigns a unique 10-digit code to every building and public place in Dubai. This system is essential for precise location identification and includes an Emergency Location Reporting feature for crisis situations.

Al Sa’fat

Al Sa’fat, also known as the Dubai Green Building System, promotes sustainable construction in Dubai. Since 2014, its standards for resource consumption and renewable energy have been mandatory for all new construction projects.

Trakheesi

Trakheesi is a licensing system for real estate professionals in Dubai. Integrated with property listing portals and the Dubai Economic Development (DED), it facilitates the issuance of licences and approvals necessary for real estate brokerage activities.

Special Contracts and Services in Dubai Real Estate

Ejari

Ejari is the system used to register tenancy contracts in Dubai. It is mandatory for tenants and landlords and is required for essential services like DEWA connections, internet, and phone services.

Oqood

Oqood is a platform for registering and managing off-plan property contracts. It ensures transparency in off-plan property transactions and offers various services to developers.

Musataha

Musataha is a type of real estate contract in Dubai that allows individuals to lease land for up to 50 years to build on or use for other legal purposes. The rights to the land and property revert to the owner once the lease expires.

Other Key Real Estate Terms

Freehold

Freehold ownership grants the buyer full legal rights over a property, allowing them to sell, lease, or live in it as they choose. Freehold properties in Dubai are located in designated areas and are available to foreign investors.

Leasehold

Leasehold ownership allows the buyer to use and live in a property for a set period, typically 99 years. Unlike freehold, leasehold does not transfer full ownership to the buyer.

BUA (Built-Up Area)

BUA refers to the total constructed area of a property. For multi-story buildings, it includes the gross floor space of all floors.

Saleable Area

The saleable area is the total square footage of a property’s gross floor space, excluding shared spaces like corridors and staircases.

SPA (Sales and Purchase Agreement)

The SPA is a legally binding contract between the buyer and seller detailing the terms and conditions of a property sale.

POA (Power of Attorney)

A Power of Attorney allows an appointed individual to make decisions and sign documents on behalf of the issuer. It requires proper notarization and attestation.

Title Deed

A Title Deed is an official document registered with the DLD that provides proof of ownership of a property.

Frequently Asked Questions

Is it worth buying property in Dubai?

Dubai offers lucrative investment opportunities with high rental yields and affordable luxury properties compared to other global cities. The real estate market in Dubai is diverse, with options ranging from affordable homes to high-end villas.

What is a freehold property in Dubai?

A freehold property in Dubai gives the buyer complete ownership of the land and housing unit, with the freedom to sell, lease, or live in it.

Conclusion

Understanding these essential real estate terms will make navigating the Dubai property market easier, whether you’re an investor, a homebuyer, or an aspiring real estate agent. Familiarity with these terms will also help you make informed decisions and avoid potential pitfalls.

Ready to test your knowledge? Take our quiz on common real estate terms in the UAE and see if you can get a perfect score!

For advice on the availability of off-plan opportunities to match your needs please

WhatsApp Gareth Davies or email to admin@dubaiproperty.news