Useful RERA forms for property buyers and sellers in Dubai
Buying and selling property in Dubai can be a little complicated if you aren’t fully aware of the procedures, legal obligations and documents required. Due to Dubai’s high volume of real estate transactions, RERA (Real Estate Regulatory Agency) has many forms that must be used for a hassle-free deal. Here’s a detailed look at the various RERA forms in Dubai for property-related transactions.
WHAT IS RERA?
Real Estate Regulatory Agency, or RERA, is the regulatory arm of the Dubai Land Department, which regulates and authorises the real estate sector in Dubai. RERA forms in Dubai ensure that all real estate transactions are transparent and fair. If you want to buy or sell property in Dubai for the first time, here are some of the real estate forms in Dubai you should know about.
IMPORTANT RERA FORMS IN DUBAI YOU NEED TO KNOW ABOUT
Let’s now check out the most common Dubai Land Department forms that buyers, sellers and agents use in real estate transactions in Dubai.
FORM A – Agency Contract Agreement/Listing Form
This is one of the important RERA forms required for selling a property. Once a seller has found the agent who wants to advertise their property, the seller and listing agent must sign RERA Form A. Clauses in RERA form A include:
- An outline of the agreement between the seller and the listing agent.
- Property details like financial information, service charges, mortgage status and payment schedules.
- Details regarding how the property will be marketed. The seller is not authorised to advertise the property on any portal without a written agreement.
After Form A has been signed, it will be approved by the DLD’s Trakheesi system, which will assign the property advertisement a permit number. It’s important to note that the broker must get the seller’s details when the property is being listed for sale.
If two or more people jointly own the property, they must sign Form A by RERA.
According to RERA, a property owner can only complete three Form A at a time and deal with a maximum of three brokers (one form for each broker).
FORM B – Buyer’s Agent Agreement
You will need RERA Form B to buy property in Dubai. This is also necessary if you’re searching for offices for sale in Dubai.
This is one of the RERA forms that must be signed when the buyer appoints an agent to find a property for sale. It’s essential to appoint a RERA-certified real estate agent who can show you the properties based on your requirements and budget.
The information in RERA Form B must include all the necessary data, such as:
- The property type the buyer is interested in
- The property’s location
- The buyer’s budget
- Requirements of the buyer
It should also include contract termination terms, compensation percentage, and agency commission.
As per RERA law, the buyer is obligated to terminate this agreement unilaterally for a specific reason. If such a situation arises, the buyer needs to fill out Form U with a detailed description of the reason for terminating further cooperation with the agent.
You can find a list of professional real estate agents in Dubai on the Bayut property portal.
FORM I – Agency Agreement
Form I is an agreement between two agents who act on behalf of the buyer and the seller. The form protects the agent’s rights, listings and clients. Form I also ensures a professional relationship between two or more agents.
Form I is mainly applicable when several agents are involved in one joint transaction concerning property sale or lease.
FORM F – Contract of Sale
The RERA Form F, known as the Memorandum of Understanding, is one of Dubai’s most important real estate forms. Form F by RERA Dubai is the purchase agreement between the seller and the buyer. The form is signed once the buyer has chosen the property and a price has been decided between the two parties.
If you plan to buy an apartment or villa for sale in Dubai, you must have this form to complete the transaction.
The Dubai Land Department Form F will cover property and financial details and the commission to be paid to the seller’s and buyer’s agents.
However, it’s important to note that Form F by RERA is only a valid contract after it has been signed by the seller and the buyer. It must also be witnessed and dated by the agent.
RERA form F is one of the mandatory RERA forms in Dubai for any real estate transaction to be carried out.
Generally, Form F is augmented with a schedule, an attachment or incorporation by reference by parties entering into a SPA (separate sale and purchase agreement) or an MOU (memorandum of understanding).
FORM U – Notice of Cancellation of the Agreement
RERA Form U in Dubai is both parties’ official agreement cancellation notice. The buyer or seller can unilaterally terminate the contract with the broker by signing a copy of Form U. It is the only legally accepted way to end the agreement.
Under regulations in Form U, the real estate agent must be notified of the agreement termination in written form. The reason for termination and the contract termination date are also required.
FREQUENTLY ASKED QUESTIONS
WHAT RULES APPLY TO RERA CONTRACTS FOR RENTAL PROPERTIES?
The most important contract to be aware of for rental properties is the Ejari tenancy contract in Dubai, which RERA mandated to standardise all rental agreements in Dubai.
Ejari is a legally-binding document that acts as proof of the validity of your tenancy contract and is required to get many services, including the internet, phone and DEWA connection in your new home.
Since the Ejari tenancy contract will also state the rental price agreed upon, it protects the tenant’s rights, as landlords will not be able to hike up the rent illegally later. You can register for Ejari visit Ejari registration office or visit DLD’s official website.
WHY ARE RERA FORMS IMPORTANT?
No real estate transaction is complete without duly filled, valid RERA Forms. Also, these forms protect the rights of every party involved in the deal.
That concludes our guide to the important RERA forms in Dubai that buyers, sellers and tenants should know about. Are you planning on buying a home in Dubai? Find out all the costs of buying property in Dubai that you may not know about, such as fees for the transfer of the property, no-objection certificate and more.
If you’re renting an apartment or villa in Dubai, you can use the RERA rental increase calculator to check possible rent increases or average rents in your area. Tenants should also be aware of the RERA tenancy laws in Dubai if they face any hindrances in getting a rental property.
Learning Arabic real estate terms commonly used in the property market can be helpful too.
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