Know the Do’s and Dont’s of Real Estate Transactions in The UAE4 min read
Property rights are complex in itself for a layman to grasp in its full intend. This branch of law requires a pragmatic and accurate legal disposition and hence commercial real estate attorneys are crucial to the success of real estate disputes and claims. Due to the distinctive and special characteristics of the UAE property laws, it is even more crucial that property laws and procedures should be rightfully understood in depth especially taking into account the local rules and practices of each emirate.
A real estate lawyer can complete the required due diligence to ensure that regulatory compliance as required under the law is met by the developer, especially towards ‘escrow accounts’ and ‘Oqood System’ registration that ensures the protection of your investment. They can guide you through the proper terms and conditions that ensure your best interests when entering into a comprehensive ‘Sale and purchase’ agreement with a given developer.
Often such agreements are so comprehensive and run into hundreds of pages that investors end up signing off the same without grasping the terms properly. It is crucial to seek legal advice before signing a binding ‘sale and purchase’ agreement. New investors who are not aware of the real estate legislations should seek proper legal advice from an expert property lawyer in Dubai in order to understand their rights and obligations as determined under the real estate laws. They should seek at the very least, legal review of sale contract and also know more about the processes concerning escrow payment and oqood certification.
The UAE federal laws especially the civil transactions law of the UAE constitute the primary source of law governing real estate transactions. Part four of the civil transaction law exclusively deals with property rights as well as the rights of ownership, while part five includes the principles governing real property as well as its derivative rights and framework. It is also crucial to understand that the UAE is a union of seven emirates, with each emirate being governed by its own ruler and local government and thus imposing further laws that apply within each emirate. This is especially true when concerning property laws.
Due to this distinctive and special characteristic of the UAE laws, it is even more crucial that property laws and procedures be rightfully understood in depth especially taking into account the local rules and practices of each emirate. This is best proceeded with the apt guidance of a commercial real estate attorney. They are best suited to provide the practical acumen in property matters and thereby one should choose the best Real Estate Lawyer in Dubai & Abu Dhabi, UAE, and bank on their legal know-how.
Property Lawyers in Dubai & Abu Dhabi- the two major emirates of the UAE have practices in place that are in itself different and distinct to each given emirate. Lawyers In Dubai such as Al Rowaad Advocates and Legal consultants are best suited to guide you in your commercial or personal property matters, as they bring their wealth of emirate special legal expertise and are well versed in local processes.
Type of Property rights in the UAE:
The UAE provides the following property rights to its citizens as well as ex-pats:
Freehold: This type of property right provides the most complete form of ownership as the owner is vested with complete rights to a given property unlimited in time. For this reason, freehold property is the most sought-after property rights and investment option for ex-pats in the UAE.
Usufruct: This type of property right allows for the right to use a given property only for a limited time period. A usufruct right, however, imposes certain restrictions such as the use and advantages of the usufruct property is allowed short of the destruction or waste of its substance. It is essentially hence not a complete right.
Lease: This constitutes a common property right that allows for the right to a property for a limited time period and depending on the same is often referred to as a ‘short term lease’ or a ‘long term lease’.
Musataha: This type of property right, allows the owner of the Musataha right to be able to both use the property for a limited time period as well as to have construction rights on the given property or land. Unlike freehold property, Musataha does not confer complete property rights and imposes limitations in the form of time as well as usage.
Top international law firms such as Al Rowaad Advocates and Legal Consultants have been repeatedly voted the best law firm in the commercial and litigation sector and have built their reputation in the legal sector with their successive wins and accolades. You can visit their website to obtain free access to a plethora of articles and opinion pieces on property law. The team at Al Rowaad Advocates & Legal Consultants constantly works to break the barriers and believes in giving back as much as they can to the legal fraternity at large. Property law is one of the key practice divisions of the firm and one can book a legal consultation with the top commercial real estate attorneys of the firm.