Ever wondered about becoming a real estate agent in Dubai? With its cutting-edge infrastructure and global appeal, Dubai’s real estate employs advanced technology, attracting major international businesses. The city offers stable investments, making its real estate industry full of opportunities. Investors often ask about getting a real estate license in Dubai. This guide focuses on the expenses involved in starting a real estate brokerage in Dubai.
However, it’s essential to grasp the necessary criteria too. The real estate industry in Dubai is booming, creating high demand for opening real estate brokerages. The process involves obtaining a license, creating a business plan, securing funds, and hiring agents – just like anywhere else globally.
However, Dubai, UAE has its unique additional prerequisites. For a smoother and more budget-friendly approach, consider partnering with local business experts from Company Setup. They offer comprehensive support, handling all the complex tasks on your behalf.
Necessity of 100% UAE Local Ownership for Real Estate Brokerage in Dubai
In Dubai, mainland businesses usually need to allocate 51% partnership to a local UAE entity. However, for real estate brokerage, full ownership is given to a UAE national for a specific reason:
- Investor Security: UAE commercial law and the regulatory body RERA ensure maximum security for investors. Granting 100% ownership to a UAE national offers robust protection.
- Transaction Volume: Real estate brokerages handle significant transactions. To prevent misuse or investor misconduct, complete control is entrusted to a UAE national, ensuring responsible management.
- Investor Interest: Dubai’s real estate brokerage setup prioritizes investor well-being. The UAE national holds 100% ownership while the investor becomes the company manager. The investor gains full operational control with documented Power of Attorney, safeguarding their interests effectively.
How to Start a Real Estate Brokerage in Dubai
Starting a real estate brokerage in Dubai is straightforward with the right process. Here are the simplified steps to become a real estate agent:
Step 1. Choose a Name
Decide on an approved name that follows Department of Economic Development (DED) guidelines.
Step 2. Get Initial Approval
Obtain initial approval from DED and necessary documents from Tasheel.
Step 3. Memorandum of Association
Create an MOA as per UAE commercial law, following DED protocols. Notarize it.
Step 4. RERA Certification
Get certified by Real Estate Brokers Registration (RERA). Apply for the RERA Exam and Broker ID. Steps include visa, training, exam, and certification.
Step 5. Good Conduct Certificate
Obtain this certificate from Dubai Police, recognized by Real Estate Regulatory Agency.
Step 6. DLD Approval
Gain approval from Dubai Land Department, the real estate governing body.
Step 7. Office Space
Get a rented office space or business center, complying with DED and RERA regulations.
What is the Cost of Opening a Real Estate Brokerage in Dubai?
Setting up a real estate brokerage in Dubai involves some costs. RERA charges about AED 5,020 per activity, and you need a RERA training certificate. For an LLC, the license cost is roughly AED 12,950. In total, starting a real estate company in Dubai can begin at around AED 21,000.
Overall, Cost of opening a real estate company in Dubai starts at AED 21,000, which can differ due to activities and government fees.
Steps to Start a Real Estate Business in Dubai and the UAE
To register a real estate company in Dubai, follow these steps:
- Choose a Name
- Obtain Initial Approval + Tasheel
- Create Memorandum of Association
- Secure a UAE Local Partner
- Obtain Approval from Estate Brokers Registration Services (RERA)
- Get a Good Conduct Certificate
- Gain Dubai Land Department Approval
- Set Up Dubai Rented Office Space
What is the Difference Between a Real Estate Agent and Real Estate Broker?
These terms are often confused, leading to misunderstandings. Let’s clarify:
Real Estate Broker:
- Handles legal aspects and entire real estate transactions.
- Bears additional management and financial responsibilities.
- Requires comprehensive training, adhering to high business standards.
- Can supervise, employ, and guide real estate agents.
- Oversees agent training for ethical business practices.
Real Estate Agent:
- Works under a Dubai broker’s supervision.
- Cannot operate independently in Dubai; broker initiation is needed.
- Pays fees to the skilled broker for mentorship.
- Shares a portion of commissions with the brokerage.
How can I get brokerage license in Dubai?
To get a brokerage license in Dubai, follow these steps:
- Take a Certified Training Course: Start by enrolling in a Real Estate Brokers training course provided by the Dubai Real Estate Institute (DREI).
- Pass the Broker Exam: After completing the course, you’ll need to pass an exam to become a registered broker in Dubai.
- Obtain a Good Conduct Certificate: Get a Good Conduct Certificate from Dubai Police as part of your application process.
Completing these steps will help you obtain your brokerage license in Dubai.
How Can We Assist You?
Are you still unsure about establishing a real estate company in Dubai or anywhere in the UAE? Do you need clarity on RERA’s certified training for real estate brokers? Or are you navigating the process of applying for a RERA license in Dubai?
Whether you’re seeking guidance on becoming a real estate agent in Dubai or have questions across various business sectors, our expert business consultants are here to help. Feel free to reach out for clear answers and professional support.
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