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Things to Know in the Real Estate Law

Things to Know in the Real Estate Law

Real estate is all about construction of building and development of land either residential or commercial. This appears to a short and simple concept, however there are various legal matters involved. Real Estate rules and regulates who may use and have become owners association management companies in Dubai.

Key terms to remember about real estate rules and regulations

The title is official legal term that describes owner of that property.

The mortgage is defined as lending money on interest in exchange of title on the property of the debtor. After completion of debt payment get successful, the conveyance of title become void.

Foreclosure is defined as lender taking control of house, building or any other property that is used for the purpose of mortgage if debtor fails paying the amount back.

Official meeting to transfer property or land ownership is defined as closing

Escrow is defined as property or money withheld with 3rd party safekeeping

Real estate agent is a professional individual who is licensed for negotiation as well as conducting the transaction of real estate

All the rules and regulation in real estate sector has been announced by the RERA also known as Real Estate Regulation Agency, however it is government that announce these rules and regulation set by RERA. Under act of home builders need to deposit 80 percent of the amount in Escrow account and that will ensure buyers that this amount will never be diverted or invested in builders’ other projects and they will get their property within said time.

Benefits of the RERA Act:

RERA act and its advantages

As said above, the builder will have to divert around 60 to 80 percent of the invested amount in to Escrow to ensure the buyers that their money isn’t being invested in another interest of the builder and fully used for the betterment of only their project only.

As this new act is introduced buyers does not need to pay for carpet area and it is one of the most important factors to consider

Each and every clearance both from the builder and from the buyer must need to be made before selling. Builder needs to disclose information related to the building and apartments.

Builder is allowed to sell the property only after having all the clearances properly.

RERA is central regulating agency, however Real Estate is subjected to the country, and the government play major role in implementing the RERA act. But various other related practice area to Real Estate law include Landlord Tenant law, Tax law, Estate Planning, Accidents and Injuries, and insurance law as well


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