RERA Dubai Real Estate Law & Fundamentals 1 — Questions and Answers
Question 1: Which law established the legal framework for real estate ownership and registration in Dubai?
- Law No. 7 of 2006 (Real Property Registration Law) (Correct answer)
- Law No. 26 of 2007 (Rental Law)
- Law No. 27 of 2007 (Strata Law)
- Federal Law No. 5 of 1985 (Civil Transactions)
Correct answer: Law No. 7 of 2006 (Real Property Registration Law)
Dubai Law No. 7 of 2006 is the foundational real property law that established the Dubai Land Department (DLD) as the registrar, defined ownership rights, and set out the framework for property registration, title deeds, and real estate transactions in Dubai.
Question 2: Who is permitted to own freehold property in Dubai?
- UAE and GCC nationals anywhere; foreign nationals in designated freehold areas (Correct answer)
- Only UAE nationals
- Only UAE nationals and residents with a 10-year visa
- Any person regardless of nationality in any area of Dubai
Correct answer: UAE and GCC nationals anywhere; foreign nationals in designated freehold areas
Under Law No. 7 of 2006, UAE and GCC nationals may own property anywhere in Dubai. Foreign nationals (non-GCC) may only own freehold property in areas designated by the Ruler of Dubai (e.g., Dubai Marina, Palm Jumeirah, Downtown Dubai, Business Bay).
Question 3: What type of ownership gives a buyer full rights to the property and land in perpetuity?
- Freehold ownership (Correct answer)
- Leasehold ownership
- Usufruct right
- Musataha right
Correct answer: Freehold ownership
Freehold ownership grants the buyer absolute ownership of both the property and the land on which it stands, in perpetuity, with full rights to sell, lease, or mortgage. Leasehold grants possession for a fixed term (typically up to 99 years) without owning the land.
Question 4: What is a 'leasehold' property right under Dubai real estate law?
- The right to use and occupy a property for a specific period (up to 99 years) without owning the land (Correct answer)
- Absolute permanent ownership of both property and land
- A right to build on another person's land without owning it
- A right to use a property for agricultural purposes only
Correct answer: The right to use and occupy a property for a specific period (up to 99 years) without owning the land
Leasehold in Dubai gives the buyer rights to use, occupy, and sometimes sublease the property for a term of up to 99 years, without owning the underlying land. Upon expiry, rights revert to the freeholder. Dubai law recognizes leasehold as a registrable real property right.
Question 5: Which government entity is responsible for registering all property transactions in Dubai?
- Dubai Land Department (DLD) (Correct answer)
- Real Estate Regulatory Agency (RERA)
- Dubai Municipality
- Department of Economic Development (DED)
Correct answer: Dubai Land Department (DLD)
The Dubai Land Department (DLD) is the official government body responsible for registering all real property transactions, issuing title deeds, and maintaining the property registry in Dubai. RERA is a regulatory arm of DLD focused on real estate brokers and developers.
Question 6: A foreign national wants to purchase a property in Dubai. What is the primary document they receive upon completing DLD registration?
- Title deed (Tabu) (Correct answer)
- Ejari certificate
- NOC letter from the developer
- Sales and purchase agreement only
Correct answer: Title deed (Tabu)
Upon completing property registration at the Dubai Land Department, the buyer receives a Title Deed ('Tabu') — the official government document evidencing ownership. The title deed includes property details, owner information, and is the only legally recognized proof of ownership.
Which law established the legal framework for real estate ownership and registration in Dubai?