Dubai: Lower fees for common property services increase attractiveness of real estate projects
The Dubai Land Department has confirmed that low fees for joint property services in the freehold areas of Dubai have contributed to the attractiveness of real estate projects by encouraging buyers to invest in the medium and long term, as well as those wishing to purchase residential units .
This is due to the regulatory laws of this activity, notably Law No. (27) of 2007 on joint ownership, circulars issued by the Dubai Land Department and the Real Estate Regulatory Authority (RERA).
In addition, the Corporation has required the service management companies in these projects to disclose the financial statements of service fees and to submit them to the Corporation for auditing before contacting the owners and demanding payment.
Marwan bin Ghalaita, CEO of RERA, noted the regulatory and regulatory role of the institution to ensure transparency in this aspect and to avoid items and items not previously known to buyers.
He said: "The institution required the management companies to present all their financial statements to the owners' associations.
And taking prior approval. Furthermore, they are then asked to submit the budget for audit by a financial audit company registered with us in the institution, to be audited, and then submitted again to the institution in order to review the audit, to be approved in the event of passing all these stages.
When compared to the year 2018, a RERA survey shows that the percentage of decline in 11 districts across Dubai is 12% in some areas.
He stressed the need to obtain the approval of the Foundation to collect fees for services, which is available through the electronic system owner mollak.ae.
In addition to the necessity of cooperation between owners in the reduction of energy use, which leads to rationalization of expenses to contribute significantly to the reduction of service fees, as the combined power (electricity + central air conditioning) costs from 45 to 65% of the total service charges.
"By scrutinizing RERA services fees, we are keen to enhance the attractiveness of real estate investment in the city," said Mohammed Bin Hammad, Senior Director of Real Estate Regulatory Affairs, RERA.
We have launched a number of initiatives aimed at reducing service charges, which will reap the benefits of the investment horizon and Dubai's position as a global competitive index and remain one of the most important investment options in the world. "
RERA initiatives include encouraging the use of modern energy-saving systems within green initiatives, the possibility of leasing space in common areas, and using rental income to reduce service charges.
As reported by the newspaper "albayan"