Are you interested in learning more about how to become a real estate agent in Dubai? Dubai is the pinnacle of a modern infrastructure as well as a sprawling city of millions of people. Real estate in Dubai makes use of the most cutting-edge skills and technology available elsewhere in the globe. It also provides a stable environment for investment, attracting the largest international corporations from across the globe.
As a result, there are many business possibilities available in the real estate sector in Dubai. Many investors are interested in learning more about how to get a real estate licence in Dubai. This article focuses on the costs associated with establishing a real estate agency in Dubai.
However, it is beneficial to be aware of the criteria as well. Due to the continued expansion of Dubai’s real estate industry, there is great interest in establishing a real estate brokerage business in the city. In order to start a real estate brokerage in Dubai, you must first get a licence, then develop a business strategy, raise money, and hire agents, just like you would anywhere else in the globe.
However, there are certain extra criteria that are unique to Dubai, United Arab Emirates. This makes working with local business professionals like those at Generis Global, who offer end-to-end company help by taking care of all of the hard lifting, more efficient and cost-effective than doing it yourself.
Why is it necessary to have 100 percent UAE local ownership in order to operate a real estate brokerage company in Dubai?
The legal requirement for mainland companies in Dubai is that a UAE national be assigned a 51 percent partnership interest. In order to operate a real estate brokerage company in Dubai, you must transfer 100 percent ownership to a UAE citizen.
The transfer of 100 percent ownership to a UAE citizen may seem to be unclear. However, the UAE commercial law, as well as the RERA, which is the regulatory arm of the Dubai Land Department, are geared on providing full security to investors.
The establishment of a real estate brokerage company in Dubai requires the completion of a significant number of transactions. There have been instances when foreign investors have fled with large amounts of money or have abused their investment licence. As a result, in order to maintain full control, a UAE citizen is granted 100 percent ownership.
The establishment of a real estate brokerage company in Dubai is designed with the goal of protecting the interests of the investors in mind. The Emirati is granted 100 percent ownership, and the investor is appointed as the company’s manager. The business grants the investor full Power of Attorney over the company’s affairs. In addition, the investor receives full operational ownership of the business, with complete control over the company being transferred to the investor via appropriate paperwork.
The procedure for establishing a real estate brokerage in Dubai is outlined below.
When you follow the correct procedure, becoming a real estate broker in the United Arab Emirates is quite simple. To learn more about how to become a real estate agent in Dubai, follow the procedures outlined in this article:
Approval of a Name
The name of your real estate brokerage in Dubai must be decided upon before you can proceed. You may select any Arabic or English name you like for a little additional fee. The name must adhere to the standards established by the Department of Economic Development (DED).
Initial Approval Combined with Tasheel
Obtain initial permission from the Department of Economic Development (DED) as well as the necessary paperwork from Tasheel in order to begin operating a real estate brokerage in the United Arab Emirates.
Memorandum of Association (also known as the Articles of Association)
In order to proceed to the next step, the Memorandum of Association (MOA) must be written in compliance with UAE business law and Department of Economic Development standards (DED). It is critical to make a note of the MOA.
Local partner in the United Arab Emirates
Find out all you need to know about starting your own business as a real estate agent in Dubai with the assistance of a local sponsor right here. In order to open a real estate brokerage in Dubai, you must partner with a UAE citizen and transfer 100 percent ownership to him.
You may participate in a corporate sponsorship programme in Dubai, but you must collaborate with a local partner who is dependable and trustworthy. Documents such as an Investor’s Right Protection Contract or a Power of Attorney for a corporation that designates you as the manager and provides you with 100 percent operational ownership of the corporation may be sought.
Real Estate Brokers Registration and Certification Services (RERA Services)
Obtaining certification from the Real Estate Brokers Registration Authority is required in order to establish a real estate brokerage in Dubai (RERA). It is necessary to apply for the RERA Exam and get a Broker ID before beginning any business.
The certification process for RERA consists of the following steps:
Obtaining a residence permit via the business
I’m interested in applying for the Real Estate Broker Certification Program offered by RERA.
Attending the RERA training courses offered at the RERA training facility of your choice Writing the RERA test
Obtaining a licence and certification is a time-consuming process.
Certificate of Reputable Conduct
The Dubai Police Department issues the Good Conduct Certificate, which is sent to the Real Estate Regulatory Agency.
Approval from the Dubai Land Department
The permission of the Dubai Land Department is required for the establishment of a real estate brokerage in Dubai (DLD). Located in the United Arab Emirates, the Dubai Land Department is the government agency in charge of overseeing all matters related to real estate in the area.
Office Space for Rent in Dubai
A leased office space, or even an office in a business centre, is required for all real estate brokerage licences issued by the Real Estate Registration Authority (RERA) in Dubai, according to the Department of Economic Development rules.
The cost of establishing a real estate agency in Dubai is not known.
The cost of getting a real estate brokerage licence in Dubai is determined by a variety of variables, including the location of the company and the nature of the business.
The cost of the RERA registration test is determined on the applicant’s educational credentials. It costs AED 3,200 for bachelor degree holders to sit for the test, while it costs AED 6,300 for those who do not have a bachelor degree. In addition, candidates who do not have a formal educational qualification must pay AED 15,750 as a charge. Each action is subject to a fee of AED 5,020, which is levied by RERA.
After obtaining an RERA training certificate, the next step is to begin the licence processing procedure. It costs about AED 12,950 to get a real estate brokerage licence for a limited liability company (LLC).
The estimated cost of establishing a real estate business in Dubai begins at AED 21,000 (about $21,000). Depending on the additional activities selected as well as government levies, this cost may vary significantly.
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Still have questions about how to start a real estate business in Dubai or anyplace else in the United Arab Emirates? Do you need information about the Real Estate Regulatory Authority’s accredited training for real estate brokers? Alternatively, are you looking for information on how to apply for an RERA licence in Dubai?
Do you have any questions or concerns regarding any of the processes involved in becoming a real estate agent in Dubai? Getting in contact with our experienced business advisors is the best way to obtain answers to any queries you may have about establishing a real estate firm in the United Arab Emirates or any other business field.
At Generis Global, we provide you with a free advice on UAE business creation. Besides assisting you with everything connected to company establishment in the United Arab Emirates, we also assist you in taking the initial steps on your entrepreneurial path.