New real estate laws stated in the UAE

His Highness Sheikh Saud bin Rashid Al Mu'alla, Supreme Council Member and Ruler of Umm Al Quwain has recently issued a series of laws aimed at enhancing the Real Estate Foundation of Umm Al Quwain and overseeing the real estate sector within the emirate.

One of the notable legislations, Law No. 2 of 2023, focuses on establishing the Interim Real Estate Register of Umm Al Quwain and regulating property registration activities within the emirate. The objective is to streamline registration processes and contribute to the ongoing urban development initiatives in the emirate.

Law No. 3 of 2023 concentrates on the regulation of real estate development activities, including pricing mechanisms for all real estate projects. It also introduces the concept of real estate escrow accounts, aligning with regulations designed to safeguard the rights of investors, real estate companies, and property developers.

Addressing modifications to existing regulations, Law No. 4 of 2023 amends Law No. 3 of 2007 concerning real estate escrow accounts in Umm Al Quwain. The amendments provide comprehensive guidelines to enhance the regulation of real estate sales transactions, ensuring compliance with the standards set forth by the Real Estate Foundation.

In a bid to regulate mortgage registration activities, Law No. 5 of 2023 delegates responsibilities to the Umm Al Quwain Municipality Department. This aligns with the regulations issued by the Central Bank of the UAE and aims to address issues and violations related to unregistered mortgages.

Law No. 6 of 2023 focuses on safeguarding the rights of investors in situations involving delays or obstacles in real estate development projects. It also establishes a special committee to address concerns related to cancelled or incomplete real estate projects, promoting completion whenever feasible.

Lastly, Law No. 7 of 2023 amends Law No. 2 of 2005 concerning the regulation of real estate brokerage activities in the emirate. This legislation provides a framework and guidelines to regulate all brokerage activities within Umm Al Quwain.