10 essential real estate terms
Thinking ofinvesting in real estate in Dubai? Well, this city is one of the most popular destinations for property investors, thanks to its dynamic and profitable real estate market.
However, before you decide to buy or rent a property in Dubai, you need to know a few things. That's the point of this article, which presents 10 real estate terms you need to know in Dubai.
Ejari
Ejari is a commonly used real estate term for a system of registration and regulation of long-term rental contracts. Since 2010, it has been mandatory for anyone renting property in Dubai.
In fact, Ejari makes a rental contract legal and authorized by the government in accordance with current national standards. Once registered, tenants receive an Ejari number, which gives them access to a host of benefits, including:
- Setting up DEWA (Dubai Water and Electricity Authority) connections;
- Signing contracts with internet and telephone service providers.
Ijarah
Ijarah is a new leasing system offering an option to purchase in Dubai. Customers pay rent for a fixed financing period. At the end of this period, the bank transfers title to the property if all payments have been made.
Buyers can convert their rental payments into equity in the property of their choice, and thus become owners of the property. This system enables them to acquire a property gradually, with an initial deposit transferred to an equity account.
Tawtheeq
Tawtheeq is a registration system for all rental contracts and landlords' properties. It is maintained by the Abu Dhabi Municipality (ADM) and offers numerous benefits to its beneficiaries. These include:
- Accreditation of rental transactions by official bodies;
- Speed and flexibility in transactions;
- Better management and regulation of property owners' assets;
- Simplification of procedures, facilitating the registration process with reliable information;
- Obtaining data on property history and rental contracts for owners and tenants.
Tasdeeq
Tasdeeq is an Ajman-based platform for the registration and ratification of residential and commercial contracts to tenants. This ratification avoids disagreements between landlords and tenants. It also ensures the validation of various real estate transactions through an automated, simple and easy process.
Musataha
The term Musataha refers to a type of contract in which you have the option of building and even farming on the property. This can be beneficial if you want to invest or build without having to buy 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. Indeed, Makani is an intelligent program that requires every building, house and public place to be identified by a 10-digit code known as the "Makani number". With this code, tenants can easily find the location of a property and send distress signals in the event of an emergency.
Oqood
The oqood is a real estate contract that offers developers and promoters a variety of online project management services. For example, you can register initial sales without having to visit the DLD.
Oqood also helps to regulate and monitor the market for off-plan real estate in Dubai, with reference to the rules and regulations put in force by the real estate authorities. This optimizes investor confidence in this type of property.
Trakheesi
Trakheesi is a system for real estate agents in Dubai. It enables real estate professionals and brokerage firms to obtain licenses and approvals for various types of activity. In fact, the information stored in this system is government-approved, as it is linked to Dubai Economic Development (DED).
Al Sa'fat
Al Sa'fat is a program designed to contribute to sustainable development in Dubai and the United Arab Emirates. It mainly encourages the construction of eco-responsible and environmentally-friendly buildings.
Al Sa'fat was initiated with the Dubai Municipality's "Green Building Specifications". These specifications were applied to government buildings from 2011 and have become mandatory for all new buildings since March 2014.
Estidama
Like Al Sa'fat, Estidama is a design program for eco-responsible real estate in Dubai and 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 rating systems such as LEED and BREEAM.
