In Dubai, the Department of Land and Real Estate announced that in order to obtain financing for the purchase of real estate in development projects, it is necessary to provide the bank-lender with a certificate stating that it does not oppose this transaction. This requirement applies to land plots on which the object is being built, and which are mortgaged in UAE banks.
In a new address, the Department of Land and Real Estate of Dubai noted that this amendment was made to improve the service for all aspects of real estate and to enhance the efficiency of services. According to the new regulations, after the construction on the plot is completed, there will be no restrictions regarding the freedom of ownership of the real estate objects.
However, if the construction is not yet completed and the land plot is still encumbered for loan purposes, the buyer for obtaining financing will need to provide the bank with a certificate stating that it does not oppose the sale of this real estate object. The authorities of Dubai believe that this amendment will make the process of purchasing real estate more transparent and safer for all parties.
