The 10 essential property terms
Are you thinking of’invest in property In Dubai? Well, you should know that this city is one of the most popular destinations for property investors, thanks to its dynamic and profitable property market.
However, before you go ahead with buying or renting a property in Dubai, it is essential to be familiar with certain key concepts in this area. That is, in fact, the whole point of this article, which sets out 10 property terms you should know in Dubai.
Ejari
The’Ejari is a commonly used property term referring to a system for registering and regulating long-term tenancy agreements. Since 2010, it has been compulsory for anyone letting a property in Dubai.
Indeed, the Ejari system ensures that a tenancy agreement is legal and authorised by the government in accordance with current national standards. Once the registration has been completed, the tenant receives an Ejari number which gives them access to a range of benefits, including:
– Configuring DEWA (Dubai Water and Electricity Authority) connections;
– Signing contracts with internet and telephone service providers.
Ijarah
Ijarah is a new leasing scheme that offers an option to buy in Dubai. Under this scheme, customers pay rent over a fixed finance period. At the end of this period, the bank transfers ownership of the property provided all payments have been made.
Buyers can convert their rent payments into equity in the property of their choice, thereby becoming owners of the property. This scheme enables them to acquire a property gradually, with an initial deposit transferred into an equity account.
Tawtheeq
Tawtheeq is a register of all tenancy agreements and property owned by landlords. It is maintained by the Abu Dhabi Municipality (ADM) and offers numerous benefits to its users. These include:
– The certification of letting transactions by official bodies;
– Speed and flexibility in transactions;
– Better management and regulation of property owners’ assets;
– Simplifying procedures to make the registration process easier, using reliable information;
– Obtaining data on the history of properties and tenancy agreements for landlords and tenants.
Tasdeeq
Tasdeeq is an Ajman-based platform that enables tenants to register and ratify residential and commercial tenancy agreements. This ratification helps to prevent disputes between landlords and tenants. It also ensures the validation of various property transactions through a simple and straightforward automated process.
Musataha
The term ‘Musataha’ refers to a type of contract under which you are permitted to build on and even farm the property. This may be beneficial if you wish to invest or build without having to purchase land in Dubai. The term of this lease does not exceed 50 years.
Makani
The term «Makani» means «my location» and was first introduced in Dubai in 2005. Makani is a smart programme that requires every building, house and public place to be identified by a 10-digit code known as the ‘Makani number ’. Thanks to this code, tenants can easily locate a property and send distress signals in the event of an emergency.
Oqood
An oqood is a property contract that offers developers and property promoters a range of online project management services. For example, it allows you to register initial sales without having to visit the DLD.
Oqood also helps to regulate and monitor the off-plan property market in Dubai in accordance with the rules and regulations put in place by the property authorities. This, in turn, boosts investor confidence in this type of property.
Trakheesi
Trakheesi is a system designed for estate agents in Dubai. It enables property professionals and estate agencies to obtain licences and approvals for various types of activities. Indeed, the information stored in this system is approved by the government, as it is linked to the Dubai Economic Development Department (DED).
Al Sa’fat
The Al Sa’fat programme aims to contribute to sustainable development in Dubai and across the United Arab Emirates. Its main focus is on promoting the construction of eco-friendly and environmentally sustainable buildings.
Al Sa’fat was launched in line with the Dubai Municipality’s «Green Building Specifications». These specifications have been applied to government buildings since 2011 and have been mandatory for all new buildings since March 2014.
Estidama
Like Al Sa’fat, Estidama is a programme for the design of environmentally responsible properties in Dubai and across the United Arab Emirates. Derived from the word «sustainability», Estidama requires all buildings to achieve a minimum rating of Pearl 1, and Pearl 2 for government-funded properties. However, it should be noted that Estidama should not be confused with green building assessment schemes such as LEED and BREEAM.
