New Requirements for Receiving Sale Funds in Advance: Key Updates for Agents about Declaration from Dubai Courts

As the Head of Conveyancing and Compliance at fam Conveyancing, we want to ensure that our agents and clients are up-to-date with the latest procedural changes that were announced in June 2024 by the Dubai Land Department regarding new procedures for owners receiving sale funds in advance. This article aims to clarify the new documentation requirements and ensure compliance in all future transactions.

Documentation Requirements for Sale Procedures

If the Seller is Present in Person or Represented via Power of Attorney (POA):

  • Original Manager Cheque: This must be produced as an authentic proof of payment. The manager's cheque should be issued in favor of the specified recipient and must reflect the transaction details accurately.
  • Official Bank Transfer: A verified document detailing the bank transfer is now mandatory. This document must include all relevant transaction details such as the transfer date, amount, and both sender and receiver bank information to ensure clarity and traceability.
  • Statement of Account (SOA) from the Developer: If the property in question is associated with an ongoing payment plan, an up-to-date Statement of Account from the developer is required. This statement should outline the current balance, payment history, and any remaining obligations under the payment plan.
  • Official Courts Declaration by Dubai Courts: In cases where the funds have been received in cash, an official declaration from Dubai Courts is required. This declaration must confirm the legitimacy of the cash transaction and provide detailed information on the amount received.

Key Changes

One of the most notable changes under the new regulations is the elimination of the previously accepted statement, "the sale value has been received in cash in advance." This change signifies a shift towards enhanced transparency and accountability. Moving forward, regardless of whether the transaction involves the Seller directly or through a Power of Attorney, one of the specific forms of proof outlined above must be submitted to the Trustee Office. This measure is intended to mitigate risks associated with cash transactions and ensure that all funds are documented and verified through proper channels.

Ensuring Compliance and Support

Adhering to these new procedural requirements is crucial for avoiding legal disputes and ensuring smooth transaction processes. It is essential for all parties involved in real estate transactions—including buyers, sellers, and agents—to be attentive about these updates and incorporate the new documentation protocols into their practices.

For any assistance related to the courts' declaration or other inquiries concerning these regulatory changes, our conveyancing team is available to provide support. We are equipped to assist with the arrangement of necessary documentation and offer guidance to ensure compliance with these new requirements.

Our commitment is to facilitate a seamless transition to these updated procedures and to support you in navigating these changes effectively. Stay informed and prepared to ensure that all transactions are conducted in accordance with the latest regulations.

Conclusion

At Fam Conveyancing, we prioritize your legal awareness and compliance. Staying informed and adhering to these new requirements will help ensure smooth and legally sound transactions. For further assistance or clarification on this matter, please contact our team at fam Conveyancing.

Contact Information:

Phone: 00971588229107

Email: [email protected]

[email protected]

www.famconveyancing.com

Learn More About Our Services



Leave a Comment

Leave a comment

Subscribe to fäm Properties

Subscribe to fäm Properties

Subscribe to stay up to date with the latest market news.

Featured Posts

  • Tenant’s Rights: Can a Landlord Increase Your Rent in Dubai?


    62k
  • The Hidden Cost of Buying a Property in Dubai


    60k
  • Title Deed Verification in Dubai: Ensuring Property Ownership Authenticity


    46k
  • Mega-Projects: These 11 Man-made Islands In Dubai Will Surely Blow Your Mind


    43k
  • Top 10 Best Places to Live in Dubai


    40k