Move aims to support the real estate activities of individuals and companies within a legal framework
The Real Estate Regulatory Agency (RERA), the regulatory arm of Dubai Land Department (DLD), has announced brokers who violate its regulations may be penalised instead of their brokerage firms.
“RERA now is studying, along with brokerage firms, imposing these fines on brokers themselves rather than their firms after providing the rehabilitation training for them,” said Yousef Al Hashmi, director of RERA’s Real Estate Licensing Department.
The move aims to support the real estate activities of individuals and companies within a legal framework that improves transactions at the market and strengthens trust and transparency between the relevant parties, Al Hashmi said.
Dubai has around 1,446 real estate companies and 4,062 brokerages, of which 22 have been warned and fined a total of $245,000, he added.
A study conducted by the regulator found that the top violations by brokers were hiding information from investors, cooperation with unlicensed brokers, failure to maintain the privacy of the firm and client, using telephone calls for promotion and advertisement purposes without obtaining official approval and arranging deals without the knowledge of their accredited offices.