15 February, 2024

How to Apply for Real Estate Brokerage License in Dubai

real estate brokerage license in dubai

What is a Real Estate Broker License in Dubai?

A Real Estate Broker License is an important report for everyone trying to shop for, promote, or rent properties in Dubai. A Real Estate Brokerage License is sort of a permission slip from the government of Dubai. It allows people or companies to legally cope with real estate transactions. Think of it as a trust badge in the property internationally.

Steps to Get a Real Estate Brokerage License in Dubai

 

 

Choosing a Name for Your Real Estate Brokerage License in Dubai

First, choose your broker’s name. You can choose a name in either Arabic or English, following the guidelines issued by the Department of Economic Development (DED). A small fee is paid for this position.

Initial Approval and Documentation 

Next, achieve preliminary approval from the Department of Economic Development (DED) and entire the vital office work thru Tasheel to kickstart your actual property brokerage in Dubai.

Memorandum of Association (MOA) 

Draft a Memorandum of Association (MOA) consistent with UAE commercial law and DED protocols. It’s vital to notarize the MOA to finalize this step.

Real Estate Broker Certification (RERA Certification) 

To carry out a actual property brokerage in Dubai, you have to be licensed by means of way of the Real Estate Regulatory Agency (RERA). This entails utilizing the RERA Exam and acquiring a Broker ID.

Cost of a Real Estate Company License in Dubai

Getting a license to run a real estate business in Dubai isn’t too hard. But let’s talk about the money part. The cost for this license ranges from AED 30,000 to AED 45,000. How much you pay depends on what kind of real estate work you’re doing.

Here’s the breakdown:

  • Real Estate Brokerage: AED 30,000
  • Real Estate Development: AED 45,000

Now, let’s dive a bit deeper. The total cost is influenced by a few things. Firstly, the type of real estate gig you’re going for. Secondly, how many people you’re planning to hire. And finally, how much money you have to invest in the business.

Remember, there are some extra costs involved. Along with your main fees, you’ll have to pay a registration fee upfront. Plus, there’s an annual renewal fee to keep your license active.

If you’re setting up a brokerage firm, be ready for some more expenses. You’ll have to shell out extra for each agent you bring on board.

So, when you’re budgeting for your real estate venture in Dubai, keep these costs in mind. They’re not just one-time payments; some are recurring.

Also Read : How to Get Consultancy License in Dubai

How To Become A Real Estate Agent in Dubai?

Step 1: Obtain A Residency Visa (How to become a real estate agent in Dubai as a foreigner?)

The United Arab Emirates operates under strict laws, especially when it comes to immigration, work permits, and visas.

If you’re a resident or citizen of the UAE or GCC countries, you’re exempt from certain visa requirements. However, if you’re from another country, you’ll need a valid visa to work in the UAE. There are two main ways to address this, both involving sponsorship.

Firstly, you can obtain a visa through your employer. Your company will sponsor you as an employee, granting you permission to work and reside in Dubai.

Alternatively, if you’re married to a UAE citizen or resident, you can use the second method. Spousal or Family Visas allow your spouse to sponsor you, enabling you to work and live in the UAE.

Once you have your visa sorted out, the next step is to apply for an Emirates ID. This official identification document is essential for various official processes, including becoming a fully licensed real estate broker in Dubai. Once you’ve completed these steps, you can begin your journey as a licensed professional in Dubai’s real estate sector.

Step 2: Complete The Certified Training For Real Estate Brokers

Once you’ve secured your legal right to reside and work in Dubai, the next step is to ensure you’re competent as a qualified real estate broker. The Dubai Real Estate Institute (DREI) is the regulatory body responsible for this.

The DREI offers a comprehensive four-day course designed to equip aspiring brokers with the knowledge they need to navigate the Dubai real estate market. Accredited by both the Real Estate Regulatory Agency (RERA) and the Dubai Land Department (DLD), this course covers various essential topics:

  • The historical development of Dubai’s real estate market
  • Working as a real estate broker in Dubai
  • Industry dynamics, concepts, jargon, vocabulary, and key market actors
  • Sales and procurement processes, along with legal agreements
  • Legal agreements related to property leasing and rentals
  • Ethical codes of conduct and behavior for real estate brokers
  • An introduction to various Owners’ Associations
  • General real estate law
  • Other basic skills necessary to act as a competent broker

This course can be taken either in person at the Real Estate Regulatory Agency (RERA) training center located at the Dubai Land Development (DLD) office, or online. To enroll, you’ll need to provide your Emirate ID and, if you’re a foreigner, a copy of your residency permit.

Completing this course will equip you with the necessary skills and knowledge to become a competent real estate broker in Dubai.

Step 3: Complete The Real Estate Regulatory Agency (RERA) Exam

After successfully completing the four-day DREI training, the next crucial step toward becoming a broker in Dubai is passing the written Real Estate Regulatory Agency (RERA) Exam. This exam assesses your understanding of the real estate regulations and practices in Dubai.

The exam fee has been recently reduced to 3,200 AED (872 USD) for individuals who hold a bachelor’s degree from a recognized university. However, if you don’t have a bachelor’s degree, you can still take the test, but at a higher cost of 6,300 AED (1,715 USD).

Given your completion of the DREI Certified Training for Real Estate Brokers Course, the RERA exam should not pose significant difficulty for most candidates, and passing it is generally considered achievable.

Preparing thoroughly for the exam and familiarizing yourself with the material covered in the DREI training will increase your chances of success. Once you pass the RERA exam, you’ll be one step closer to obtaining your real estate broker license in Dubai.

Step 4: Obtain Your Agent’s License

Once you’ve successfully passed the RERA exam, there’s just one more step to becoming a fully qualified and licensed broker in Dubai. This final step is relatively straightforward and simple, especially if you have a clean criminal background.

All you need to do is gather and submit a few documents:

  • Your DREI course completion certificate, which confirms that you’ve finished the required training.
  • Confirmation of your completion of the RERA Exam, demonstrating your knowledge of real estate regulations and practices in Dubai.
  • A good conduct certificate, affirming your clean criminal background.

Once you’ve compiled these documents, you’ll submit them to the Economic Department. After reviewing your application, the Economic Department will approve you and issue your Broker’s License within a few days.

It’s important to note that while this license is a significant milestone, it’s not indefinite. You’ll need to renew it regularly to maintain your status as a licensed broker in Dubai.

Getting a Real Estate Brokerage License in Dubai includes:

The real estate professional licensing program includes:

  • To obtain a visa to stay under the company
  • They are enrolled in RERA accredited training courses for real estate agents
  • Attending classes at your chosen RERA Training Centre
  • RERA exam conducted and passed
  • Obtaining your license and certification
  • Certificate of Good Conduct
  • Obtain a certificate of good performance from the Dubai Police, which is required by the Real Estate Regulatory Agency.

Approval from Dubai Land Department

You’ll want approval from the Dubai Land Department (DLD) to establish your brokerage. The DLD oversees all real property subjects in Dubai.

Office Space in Dubai

Every actual property brokerage licensed by means of RERA in Dubai has to have a rented office area or a presence in a business center, as consistent with DED guidelines. This step is important for compliance.

Establish Your Real Estate Brokerage in Dubai

When getting your actual property brokerage license in Dubai, you’ve got two alternatives: putting in on the mainland or in a Freezone region. Each option comes with its personal advantages and boundaries, so let’s discover them similarly.

Mainland Real Estate Brokerage Setup:

Setting up at the mainland is frequently recommended because it provides extra opportunities for face-to-face interactions together with your customers. You can meet with customers in person at your office, that could help construct acceptance as true with and rapport. This setup lets in for a more personal method to doing business.

Free Zone Real Estate Brokerage Setup:

On the other hand, putting in place in a loose region restricts your capability to operate on the mainland. While you may behave with actual estate brokerage license sports on-line, you cannot physically meet customers on the mainland. This setup offers greater flexibility in phrases of online operations however lacks the personalized effect of face-to-face interactions.

Choosing the Right Setup for Your Brokerage Company in Dubai:

Both mainland and Freezone region setups have their pros and cons, and it’s important to not forget which one aligns fine with your business dreams and possibilities. If you value personal interactions and building relationships with customers, the mainland setup may be extra suitable. However, if you opt for the flexibility of online operations, a Free zone setup might be a better suit.

FAQ – Real Estate Brokerage license in Dubai

1. How much is a brokerage license in Dubai?

  • A brokerage license in Dubai includes fees for licenses, visas, personnel, insurance, and office space. The cost for a commercial brokerage license typically starts from AED 12,500.

2. What is the cost of opening a real estate brokerage in Dubai?

  • The cost of opening a real estate brokerage in Dubai varies based on the business’s size and scale. Generally, it ranges from AED 25,000 to AED 30,000. Larger businesses or those requiring additional licenses or permits may incur higher costs.

3. Is real estate brokerage profitable in Dubai?

  • Establishing a real estate brokerage in Dubai can be a lucrative investment due to its strategic location, top-notch infrastructure, and favorable tax regulations. However, success in this competitive industry requires a solid understanding of the legal, regulatory, and licensing processes.

4. Can I be a real estate agent without a license in Dubai?

  • No, the Real Estate Regulatory Authority (RERA) in the UAE mandates that all estate agents hold a license. Obtaining a license involves completing a real estate training program, passing a test, and meeting other eligibility criteria set by RERA.

Are you ready to setup a business in Dubai with RadiantBiz? If you want to learn about starting business in UAE, you can contact us by calling +971 50 797 4832 or sending a WhatsApp message to +971 50 777 5554. You can also email us at [email protected] for assistance.

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