How well do you know your real estate vocab?
In this competitive real estate market, knowledge gives you an edge and can set you apart from other agents. If you’re a new real estate agent, knowing the key terminology and the industry’s governing bodies is a great starting point. To make things easier, we’ve created this Dubai real estate cheat sheet – where we share all the terms you should know like the back of your hand. Keep reading, and take notes!
- DLD: The Dubai Land Department (DLD) is the main governing body for real estate in Dubai. It is responsible for managing, overlooking and ensuring secure and transparent real estate transactions, to safeguard the interest of investors, landlords and tenants. This is done by providing a proper regulatory framework, dispute resolution system and other relevant services.
The Dubai Land Department is the sole authority for legalising buying and selling of land and property in Dubai.
- RERA: The Real Estate Regulatory Authority establishes the rules and regulations for the Dubai real estate market. These regulations include everything from property sales and tenancy laws in Dubai to the legalising and registering of various real estate procedures through different forms.
- Rental Dispute Center: The Rental Dispute Center resolves tenancy law disputes between landlords and tenants. They ensure a quick and adequate resolution of these violations and disputes that cannot be mediated between both parties alone.
These disputes include a tenant’s failure to pay rent, a tenant’s resistance to vacate the property in due time, and a landlord severing essential services to force tenant eviction. The RDC is located in the Dubai Land Department in Deira.
RERA Forms
- Form A: This RERA form is an agreement between the seller and the listing agent to advertise a property. It includes details of the property, such as service charges, mortgage status and payment schedules. It also has information about how the property will be marketed, such as the portals to be used.
Once the Form A is signed, it can be submitted to the DLD’s Trakheesi system to generate a real estate advertisement permit number (Trakheesi permit). Only three Form As can be generated for one property.
- Form B: Form B is an agreement between a property buyer and a real estate agent. Also called the Buyer’s Agent Agreement, it establishes that the agent will only work for the buyer. Typically, the buyer’s agent fills up Form B, and the buyer signs the agreement. Form B also includes the following details:
- The property type the buyer is interested in
- The property’s location
- The buyer’s budget
- The buyer’s requirements
It will also have details about the contract termination terms, compensation percentage, and agency commission.
Get the latest tips for Real Estate Success
- Form U: When an agent and client want to terminate their previously signed agreements, both parties should sign Form U. 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.
- Form F: Form F, or the Memorandum of Understanding (MoU), is the purchase agreement between a buyer and a seller. The form is signed once the buyer has agreed on the property and a price has been decided between the two parties.
- Form I: Form I is an agreement between two agents who work on behalf of the buyer and the seller. Form I ensures a professional relationship between two or more agents.
This agreement is primarily used when several agents are involved in one joint transaction concerning property sale or lease.
- Title Deed: A Title Deed is a document recognised and registered by the Dubai Land Department. It shows proof of ownership and registers a particular property with the DLD authorities.
- Leasing Form/agreement: The leasing agreement includes details about the property to be leased, such as its price and other terms and conditions.
- Tenancy Contract: The tenancy contract, or rental agreement, is a legally binding contract that allows the tenant to use a property for a specific purpose and stipulated time period. It includes all the lease terms and the mutually agreed-upon expectations and requirements of both parties.
- TruCheck™: A badge on Bayut and dubizzle that shows that a property listing is authentic and available on the market.
- Signature, Hot and Property of the Week: To help boost your listing to the top of the search results, Bayut offers three ‘products’: Signature, Hot and Property of the Week.
- SPA: The Sales and Purchase Agreement (SPA) is a legal contract that binds a buyer and a seller to sell and purchase a product or service on the agreed-upon terms.
- Dubai REST app: The Dubai Rest app is an online platform launched by the Dubai Land Department to help investors and tenants perform all types of property transactions and trading services, including title deeds registrations, ‘to whom it may concern’ certificate generation, procedure status enquiries and more. It also offers information about the real estate market, such as the latest transactions by area and procedure fee calculator.
- Rental Index: A statistical indicator that measures the rate of change in rental prices of properties. You can calculate the rental index of properties in Dubai on the Dubai REST app or the Rental Index Calculator provided by the DLD.
- BUA: The built-up area, or BUA, is the total construction area on the land. In the case of a building or multiple-storey construction, it is the gross floor space.
For example, if the construction footprint of a property is 5,000 sq.ft., and the building has four floors. Its BUA would be 20,000 sq. ft.
- Makani: Makani is a smart navigation system that identifies every public place, building and residence in Dubai using the “Makani number,” a unique 10-digit identification code
- Al Sa’fat: Al Sa’fat is a system that regulates and promotes sustainable developments in the UAE. Also known as the Dubai Green Building System, the standards and specifications outlined have become mandatory for all new construction projects. It regulates the consumption of resources and encourages renewable energy.
- Ejari: The Ejari system in Dubai is a RERA initiative under the provisions of Law No. 26 of 2007. It states that all rental contracts for properties in Dubai must be registered online through a portal, to protect the rights of both landlords and tenants in the city.
- Trakheesi: An online portal operated by the Dubai Land Department (DLD) that offers a range of smart real estate services, such as permits for advertising, licensing services for real estate agencies and broker e-cards.
- Madmoun: A service accessible through the Trakheesi portal; these are QR codes for each property advertisement. Property seekers can scan these QR codes to access detailed information about the property, such as its price, availability and other specifications.
- Mustaha: Musataha is a real estate agreement that allows you to lease land from owners and construct a property or use it for any other legal purpose for up to 50 years.
Any construction on land obtained under the Musataha operates similarly to leasehold ownership. When the lease expires, the builders’ rights to the land and property end.
- ORN: The Office Registration Number is a number assigned to real estate agencies after they register with RERA.
- BRN: The BRN, or Broker’s Registration Number, is a number assigned to real estate brokers after they register with RERA.
- Oqood: The registration process between buyers and developers for off-plan property.
- POA: Power of Attorney, or POA, allows the legal appointment of a person who can work on behalf of the issuer (of the POA) in case of his or her absence. This appointee can sign legally binding documents and make decisions. As per law, a POA requires valid notarization and attestations.
Wanna test how well you know your real estate terms? Take this quiz and find out!
Property seekers want to work with knowledgeable real estate agents, so we recommend learning these terms and being updated on the market. Explore our library of resources on our Content Corner on the Agent Portal to learn more about the UAE real estate market and the skills you need to excel as an agent. You can also join us for a workshop at Bayut Academy, our in-house series of workshops for real estate professionals to help elevate their skills.