Thursday, October 05, 2006

Freehold property registration announded by Emaar

The process of registering freehold property in Dubai has begun with Emaar being the first to ask buyers of its properties to submit paperwork to ensure their ownership is recognised as per the new law.

“Emaar is putting arrangements in place for the start of registration of transfer of ownership to its purchasers for the properties that are completed, handed over and fully paid and without any outstanding balances for charges such as services, interest and maintenance fees,” according to a letter issued to property owners by Ahmad Al Falasi, the director of the firm’s property management.

The move is expected to be mirrored across the emirate as other freehold developers set up their internal mechanisms to process the paperwork for flats and villas sold to expatriates.

The law gives permanency and legitimacy to Dubai’s massive freehold property ventures, which until now did not have the official stamp of approval.

It legalises the freehold ownership of “surface property” to expatriates in certain designated areas, and allows registration of their ownership with the Dubai Lands and Properties Department.

The new legislation also clears up uncertainty over the viability of freehold property investments, as it was feared by investors that the upcoming law would only give owners lease right, and not ownership. The launch of the registration process of freehold property is expected to give a boost to Dubai’s real estate market.

The law is also considered to be an overall positive move for the emirate in respect to recognition of rights and protection of investors and buyers’ interests.

Owners of Emaar freehold properties are invited to submit applications for registration from September 19. On completion of registra tion, Emaar’s Property Transfer Department will notify each owner via SMSs for collection of their respective title deeds.

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