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The Dubai Land Department said that three of the standard contracts it issues regulating deals between buyers, sellers and property brokers would become mandatory from the beginning of May.

The Land Department said that it would be drawing up new standard contracts that would have to be used in all transactions that relate to the buying and selling of property. It added that models of the new contracts could be found on its property marketplace website, eMart.

The new rules cover form F, which formalises the relationship between a seller and a buyer; form A, which formalises dealings between seller and broker; and form B, which formalises dealings between a buyer and a broker.

Under the current rules, sellers may only name three property brokers to act for them. If this requirement is included in the new forms it could make it harder for brokers not instructed on property deals to try to get a cut by claiming to represent somebody they do not.

Contracts will become formal and completed after they have been recorded and documented at the DLD.

In February, JLL reported that real estate prices rose by 22 per cent last year and could increase by another 10 to 15 per cent this year, putting them back in line with levels in 2008 before the global financial crisis hit.

It also predicted that rents in Dubai could increase by another 10 to 20 per cent this year after increasing by an average of 17 per cent last year.

source: http://www.thenational.ae/business/indu ... -mandatory