Dubai New Law 13

[mirpuri]

Hi Guys
have you heard about Law 13?
i have received notice for my developer asking 1% land registry fee to register
my property with in 60 days
when i bought my property it was to be register with land department once property was completed .

when i asked my devaloper they explained it is law (13) since august this year that all properties in Dubai have to be registered with land deparment either completed or off plan and every time we sell any property we have to pay 2% to land department 1% by seller and 1% by buyer

can any body confirm this for me please is this true that this has beed Brought forward?
thanks
Mirpuri

 

[talk]

Hi Guys
have you heard about Law 13?
i have received notice for my developer asking 1% land registry fee to register
my property with in 60 days
when i bought my property it was to be register with land department once property was completed .

when i asked my devaloper they explained it is law (13) since august this year that all properties in Dubai have to be registered with land deparment either completed or off plan and every time we sell any property we have to pay 2% to land department 1% by seller and 1% by buyer

can any body confirm this for me please is this true that this has beed Brought forward?
thanks
Mirpuri

Hi,this is all true.At contract stage developers where unsure of their commitment to land registery.New laws are coming fast and furious,but every thing is above board.Developers are fined for late registration and could pass these on.

 

[cansaw]

That is correct. See the Real Estate Regulatory Agency website (RERA),Land Department, Government of Dubai. All information regarding real estate in Dubai is noted there.

 

[Roshan]

Hi Guys
have you heard about Law 13?
i have received notice for my developer asking 1% land registry fee to register
my property with in 60 days
when i bought my property it was to be register with land department once property was completed .

when i asked my devaloper they explained it is law (13) since august this year that all properties in Dubai have to be registered with land deparment either completed or off plan and every time we sell any property we have to pay 2% to land department 1% by seller and 1% by buyer

can any body confirm this for me please is this true that this has beed Brought forward?
thanks
Mirpuri

I have not heard this from any of the three developers that I have invested with. But, yes law 13 calls for all properties to be registered with RERA and the charges were always 1%

Regards

Roshan

 

[jlizcano]

Contract Breach

Hi All,

according to Article 11, if purchaser is a default the developer may cancel the contract and repay the purchaser his money less a deduction that does not exceed 30% of the monies paid by the purchaser.

Does anybody know if this applies to properties bought before the law was issued? Or Does this law only applies to properties bought after the law was issued?

 

[doreal2]

Hi All,

according to Article 11, if purchaser is a default the developer may cancel the contract and repay the purchaser his money less a deduction that does not exceed 30% of the monies paid by the purchaser.

Does anybody know if this applies to properties bought before the law was issued? Or Does this law only applies to properties bought after the law was issued?

3
Article (3)
1. The Interim Real Estate Register is used to record all disposals of Real Estate
Units off plan. Any sale or other disposition that transfers or restricts title or
any ancillary rights shall be void if not recorded on that Register.
2. Any developer who made a sale or other disposition that transferred or
restricted title prior to the coming into force of this Law should approach the
Department to get it registered in the Real Estate Register or the Interim Real
Estate Register, as applicable, within 60 days after the date on which this Law
came into force.

in simpler words YES all offplan properties both either before or after this law must be included.

 

[nickyboyc]

I have another question on this and it sounds rediculous to me.

Basically I purchased an apartment in early 2006 on the Marina. I opted for the 15 year payment plan. So there was a purchase price which I agreed to and then there is obviously a figure that I will have paid for the apartment in total after 15 years and the payment plan which is with the developer is completed. My developer is saying that the 1% payable by me for Law 13 is based on the total purchase price. So in effect I will be paying 1% on the amount of money I have paid on the apartment in 15 years time.

I might sell the apartment in two years or I may pay it off. This would then mean I have paid a registration fee of 1% based on a figure that never actually happened. I have asked my developer for proof of this and they are unable to provide me with any. How does this sound to anyone?

Also I have heard other people say that this Law 13 does not apply to properties purchased prior to law 13 coming in. Is this right?

Thanks in advance.

Nick

 

[talk]

I have another question on this and it sounds rediculous to me.

Basically I purchased an apartment in early 2006 on the Marina. I opted for the 15 year payment plan. So there was a purchase price which I agreed to and then there is obviously a figure that I will have paid for the apartment in total after 15 years and the payment plan which is with the developer is completed. My developer is saying that the 1% payable by me for Law 13 is based on the total purchase price. So in effect I will be paying 1% on the amount of money I have paid on the apartment in 15 years time.

I might sell the apartment in two years or I may pay it off. This would then mean I have paid a registration fee of 1% based on a figure that never actually happened. I have asked my developer for proof of this and they are unable to provide me with any. How does this sound to anyone?

Also I have heard other people say that this Law 13 does not apply to properties purchased prior to law 13 coming in. Is this right?

Thanks in advance.

Nick

I had a question relating to this on the forum a few months back and got no direct answers.

I'll tell you what developers told me .

When you enter into a payment plan you cannot get out of it unless you,

A. Pay off the complete amount owed on the payment plan right up to the end off the 15th year including all interest etc.

B. In the event of you selling your property the purchaser will take up your plan and make payments up until the end of the 15th year so paying off the payment in total.


SO,this would mean that your exact price for the property is that at the end of the 15year term with all interest included.


Purchased price+interest charges=? Then your landregisty fee=1% of ?

One reason why I hate payment plans!


talk....NI

 

[Collin]

More Minc problems

Dear group,

I have purchased an apaertment through Minc at Marina Suites with similar problems...Can some one contact ,me to update on Minc and what is happening concerning your project.

Kind regards

Collin Rudkin

Hi Guys
have you heard about Law 13?
i have received notice for my developer asking 1% land registry fee to register
my property with in 60 days
when i bought my property it was to be register with land department once property was completed .

when i asked my devaloper they explained it is law (13) since august this year that all properties in Dubai have to be registered with land deparment either completed or off plan and every time we sell any property we have to pay 2% to land department 1% by seller and 1% by buyer

can any body confirm this for me please is this true that this has beed Brought forward?
thanks
Mirpuri

 

[reasonant]

I was told that if you receive a default notice from Developer, you should not worry (It must be served from the Lands department only).

 

[oasis2buyer]

Law No. (13) of 2008
Regulating the Interim Real Estate Register in the Emirate of Dubai
WE, Mohammed bin Rashid Al Maktoum, Ruler of Dubai
After taking into consideration Federal Law No. 7 of 1997 regarding land
registration fees;
Law No. 7 of 2006 regarding real estate registration in the Emirate of Dubai;
Law No. 8 of 2007 concerning real estate development trust accounts in the
Emirate of Dubai;
Law No. 27 of 2007 on ownership of jointly owned properties in the Emirate of
Dubai;
Regulation No. 3 of 2006 specifying the areas where non-UAE nationals may
own real properties in Dubai, and
Regulation No. 85 of 2006 concerning the Register of Real Estate Brokers in the
Emirate of Dubai.
Issue the following Law:
Article (1)
This Law shall be called “Law No. (13) of 2008 Regulating the Interim Real
Estate Register in the Emirate of Dubai”.
Article (2)
The following words and expressions shall have the meanings set out opposite
them unless the context otherwise requires:
http://www.rpdubai.com 1
Emirate: Emirate of Dubai.
Department: Department of Lands & Properties.
Real Estate Register: The Real Estate Register maintained by the
Department.
Interim Real Estate Register: A set of documents kept in written or electronic
form in the electronic register at the
Department in which all contracts for the sale
of real estate and other dispositions off plan
are recorded before being transferred to the
Real Estate Register.
Real Estate: Lands and permanent structures erected on
them which may not be moved without
suffering damage or alteration.
Real Estate Unit: The subdivided part of the real estate including
any subdivisions off plan.
Off Plan Sale: Sale of subdivided real estate units off plan or
under construction or not yet completed.
Master Developer: A person licensed to develop real estate and
sell its units in the Emirate.
Sub-Developer: A person licensed to develop real estate and
sell its units and who develops part of a real
estate project of a master developer under an
agreement between them.
Broker: A person engaged in real estate brokerage
activities pursuant to Regulation No. 85 of
2006 regulating the Register of Real Estate
Brokers in the Emirate of Dubai.
Competent Authorities: The authorities concerned with licencing and
registering real estate projects in the Emirate.
http://www.rpdubai.com 2
Article (3)
1. The Interim Real Estate Register is used to record all disposals of Real Estate
Units off plan. Any sale or other disposition that transfers or restricts title or
any ancillary rights shall be void if not recorded on that Register.
2. Any developer who made a sale or other disposition that transferred or
restricted title prior to the coming into force of this Law should approach the
Department to get it registered in the Real Estate Register or the Interim Real
Estate Register, as applicable, within 60 days after the date on which this Law
came into force.
Article (4)
No Master Developer or Sub-Developer shall commence a project or sell its units
off plan before taking possession of the land on which the project is to be built
and obtaining the necessary approvals from the Competent Authorities in the
Emirate.
In all cases, the Department shall indicate in the relevant folio of the register that
the Real Estate is under development.
Article (5)
An application to register the Real Estate Unit in the Interim Real Estate Register
shall be filed using the standard form. The required information and documents
shall be furnished in accordance with the applicable rules and procedures of the
Department.
Article (6)
Real Estate Units that are marked as sold off plan and are registered in the
Interim Real Estate Register maintained by the Department may be sold,
mortgaged or otherwise legally disposed of.
http://www.rpdubai.com 3
Article (7)
The Master Developer and Sub-Developer are not allowed to charge any fees for
the sale, re-sale and other dispositions of Real Estate Units that have been
completed or marked as sold off plan. This restriction does not apply to
administrative expenses which the Master Developer and Sub-Developer charge
to third parties with the approval of the Department.
Article (8)
Developers must register completed projects in the Real Estate Register
maintained by the Department as soon as a completion certificate has been
obtained from the Competent Authorities, including any units that were sold to
purchasers who have fulfilled their contractual obligations according to the
applicable procedures of the Department.
For the purposes of this Article, the Department may, upon request of the
purchaser or of its own initiative, transfer Real Estate Units that are marked as
sold off plan from the Interim Register into the purchaser's name on the Real
Estate Register once the purchaser has fulfilled his contractual obligations.
Article (9)
A developer who wishes to market his project through a real estate broker must
first conclude a contract with a Broker who is accredited under the terms and
provisions of Regulation No. 85 of 2006 concerning the Register of Real Estate
Brokers in the Emirate of Dubai then the developer must get the contract
registered at the Department.
Article (10)
The developers or the broker cannot conclude informal contracts for the sale of
Real Estate and Real Estate Units off plan in projects that have not been
approved by the Competent Authorities. Every such contract made without such
approval will be void.
http://www.rpdubai.com 4
Article (11)
1. In the event that the purchaser defaults on any term of the contract he made
with the developer for the sale of the Real Estate Unit, the developer should
notify the Department accordingly and the Department will then give the
purchaser 30 days notice to fulfill his contractual obligations, by hand,
registered post or email.
2. If at the end of the period referred to in item 1 of this Article the purchaser has
not fulfilled his contractual obligations, the developer may cancel the contract
and repay the purchaser his money less a deduction that does not exceed
30% of the monies paid by the purchaser.
Article (12)
The area of a sold Real Estate Unit is correct. If the unit turns out to be bigger on
completion, the developer may not claim the difference in value and if the unit
turns out to be smaller then the developer must compensate the purchaser for
the difference unless it is marginal in which case the developer would not be
required to compensate the purchaser for the shortfall in the area.
Article (13)
When the Department finds that a developer or Broker has committed an act or
omission that constitutes an offence under this Law or other legislation in force,
the Director General shall prepare a report and refer the matter to the competent
investigating authorities.
Article (14)
The Chairman of the Executive Council shall issue the regulations required to
implement this Law.
Article (15)
This Law shall be published in the Official Gazette and shall take effect from its
date of publication.
http://www.rpdubai.com 5
MOHAMMED BIN RASHID AL MAKTOUM
RULER OF DUBAI
Issued in Dubai on 14th August 2008
13 Shaban 1429 Hegira
source: www.
rpdubai.com/rpdubai/fg?f=DaFD6buDFunTim9885A7Nu9lzfurwomL1TSA5bIPpx7TdClqE4dHrcHCDKr6bbHi

 

[oasis2buyer]

Law No. (13) of 2008
Regulating the Interim Real Estate Register in the Emirate of Dubai
WE, Mohammed bin Rashid Al Maktoum, Ruler of Dubai
After taking into consideration Federal Law No. 7 of 1997 regarding land
registration fees;
Law No. 7 of 2006 regarding real estate registration in the Emirate of Dubai;
Law No. 8 of 2007 concerning real estate development trust accounts in the
Emirate of Dubai;
Law No. 27 of 2007 on ownership of jointly owned properties in the Emirate of
Dubai;
Regulation No. 3 of 2006 specifying the areas where non-UAE nationals may
own real properties in Dubai, and
Regulation No. 85 of 2006 concerning the Register of Real Estate Brokers in the
Emirate of Dubai.
Issue the following Law:
Article (1)
This Law shall be called “Law No. (13) of 2008 Regulating the Interim Real
Estate Register in the Emirate of Dubai”.
Article (2)
The following words and expressions shall have the meanings set out opposite
them unless the context otherwise requires:
http://www.rpdubai.com 1
Emirate: Emirate of Dubai.
Department: Department of Lands & Properties.
Real Estate Register: The Real Estate Register maintained by the
Department.
Interim Real Estate Register: A set of documents kept in written or electronic
form in the electronic register at the
Department in which all contracts for the sale
of real estate and other dispositions off plan
are recorded before being transferred to the
Real Estate Register.
Real Estate: Lands and permanent structures erected on
them which may not be moved without
suffering damage or alteration.
Real Estate Unit: The subdivided part of the real estate including
any subdivisions off plan.
Off Plan Sale: Sale of subdivided real estate units off plan or
under construction or not yet completed.
Master Developer: A person licensed to develop real estate and
sell its units in the Emirate.
Sub-Developer: A person licensed to develop real estate and
sell its units and who develops part of a real
estate project of a master developer under an
agreement between them.
Broker: A person engaged in real estate brokerage
activities pursuant to Regulation No. 85 of
2006 regulating the Register of Real Estate
Brokers in the Emirate of Dubai.
Competent Authorities: The authorities concerned with licencing and
registering real estate projects in the Emirate.
http://www.rpdubai.com 2
Article (3)
1. The Interim Real Estate Register is used to record all disposals of Real Estate
Units off plan. Any sale or other disposition that transfers or restricts title or
any ancillary rights shall be void if not recorded on that Register.
2. Any developer who made a sale or other disposition that transferred or
restricted title prior to the coming into force of this Law should approach the
Department to get it registered in the Real Estate Register or the Interim Real
Estate Register, as applicable, within 60 days after the date on which this Law
came into force.
Article (4)
No Master Developer or Sub-Developer shall commence a project or sell its units
off plan before taking possession of the land on which the project is to be built
and obtaining the necessary approvals from the Competent Authorities in the
Emirate.
In all cases, the Department shall indicate in the relevant folio of the register that
the Real Estate is under development.
Article (5)
An application to register the Real Estate Unit in the Interim Real Estate Register
shall be filed using the standard form. The required information and documents
shall be furnished in accordance with the applicable rules and procedures of the
Department.
Article (6)
Real Estate Units that are marked as sold off plan and are registered in the
Interim Real Estate Register maintained by the Department may be sold,
mortgaged or otherwise legally disposed of.
http://www.rpdubai.com 3
Article (7)
The Master Developer and Sub-Developer are not allowed to charge any fees for
the sale, re-sale and other dispositions of Real Estate Units that have been
completed or marked as sold off plan. This restriction does not apply to
administrative expenses which the Master Developer and Sub-Developer charge
to third parties with the approval of the Department.
Article (8)
Developers must register completed projects in the Real Estate Register
maintained by the Department as soon as a completion certificate has been
obtained from the Competent Authorities, including any units that were sold to
purchasers who have fulfilled their contractual obligations according to the
applicable procedures of the Department.
For the purposes of this Article, the Department may, upon request of the
purchaser or of its own initiative, transfer Real Estate Units that are marked as
sold off plan from the Interim Register into the purchaser's name on the Real
Estate Register once the purchaser has fulfilled his contractual obligations.
Article (9)
A developer who wishes to market his project through a real estate broker must
first conclude a contract with a Broker who is accredited under the terms and
provisions of Regulation No. 85 of 2006 concerning the Register of Real Estate
Brokers in the Emirate of Dubai then the developer must get the contract
registered at the Department.
Article (10)
The developers or the broker cannot conclude informal contracts for the sale of
Real Estate and Real Estate Units off plan in projects that have not been
approved by the Competent Authorities. Every such contract made without such
approval will be void.
http://www.rpdubai.com 4
Article (11)
1. In the event that the purchaser defaults on any term of the contract he made
with the developer for the sale of the Real Estate Unit, the developer should
notify the Department accordingly and the Department will then give the
purchaser 30 days notice to fulfill his contractual obligations, by hand,
registered post or email.
2. If at the end of the period referred to in item 1 of this Article the purchaser has
not fulfilled his contractual obligations, the developer may cancel the contract
and repay the purchaser his money less a deduction that does not exceed
30% of the monies paid by the purchaser.
Article (12)
The area of a sold Real Estate Unit is correct. If the unit turns out to be bigger on
completion, the developer may not claim the difference in value and if the unit
turns out to be smaller then the developer must compensate the purchaser for
the difference unless it is marginal in which case the developer would not be
required to compensate the purchaser for the shortfall in the area.
Article (13)
When the Department finds that a developer or Broker has committed an act or
omission that constitutes an offence under this Law or other legislation in force,
the Director General shall prepare a report and refer the matter to the competent
investigating authorities.
Article (14)
The Chairman of the Executive Council shall issue the regulations required to
implement this Law.
Article (15)
This Law shall be published in the Official Gazette and shall take effect from its
date of publication.
http://www.rpdubai.com 5
MOHAMMED BIN RASHID AL MAKTOUM
RULER OF DUBAI
Issued in Dubai on 14th August 2008
13 Shaban 1429 Hegira
source: www
rpdubai.com/rpdubai/fg?f=DaFD6buDFunTim9885A7Nu9lzfurwomL1TSA5bIPpx7TdClqE4dHrcHCDKr6bbHi