Brokers who violate rule are first given warning and repeated offenders face fines of up to Dh50,000Dubai is working to prevent rampant speculation in the property market by closely monitoring brokerage activities, according to Real Estate Regulatory Agency (Rera) chief.
"Our mission to control Dubai's real estate market involves monitoring property brokerage activities closely; preventing rampant speculation that would have a negative impact on the market by providing brokers with effective guidance systems; and implementing laws and regulations to govern the nature of their work," Marwan bin Ghalita, Chief Executive Officer, Rera, the regulatory arm of Dubai Land Department (DLD), said in a statement.
"We will discuss the importance of maintaining high ethical standards and ensuring strong regulation to protect the rights of all parties."
Rera chief's statement was part of the release issued by the organisers of Cityscape Global, who will launch the region's first Real Estate Brokers Summit aimed at keeping all those involved in the buying and selling of real estate informed with the latest procedures and regulations that are impacting the industry at large.
Supported by the DLD, the conference will provide delegates with a "rare" chance to acquire in-depth insight into current and planned policies in order to advise clients, gain traction in the market and navigate changing regulations that could affect their success.
There are 2,238 real estate brokers in Dubai, who helped generate transactions of over Dh236 billion in 2013 with the broker community earning a commission of Dh1.8bn.
Emirates 24|7 reported that Rera has issued warning to real estate brokerage firms engaged in making unsolicited calls with brokers who violate the rule are first given warning and repeated offenders face fines of up to Dh50,000.
Last year, property prices in Dubai rose by over 20 per cent with the pace of increase has slowed down post the DLD increasing property registration fee from 2 per cent to 4 per cent in order to control quick sales and the UAE Central Bank introducing a mortgage cap.
Though rumours were afloat of a new slab-wise property transfer fee for off-plan properties, the possibility of a new fee and restrictions to stop flipping in off plan properties again traction after the International Monetary Fund statement. DLD Director-General Sultan Butti Bin Mejren, however, ruled out any such move.
© Emirates 24|7 2014
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