Q: Hello, Recently, I am in contact with a real estate broker for a 2 BHK apartment. He showed me an apartment and he said there is an agency fee of 5% and a broker fee of 2500. I did not agree with it. He did ask for my documents which I have given but then I thought of reaching the landlord. The apartment display the real estate management company number of this building. I called them and they said they didn't appoint any broker nor did they retain. So, I booked the flat directly with the property management since they insisted to book through. Now, the broker is claiming that he needs his fee, if not, he will follow a legal approach. It's a small amount but the whole process to secure this apartment is done by myself, why should I pay? Is there any rule as show fee?

Q: Recently I found an agent who managed to sell my property in Dubai and is now demanding a 2% seller’s agent fee. Am I obliged to pay such amount? 

Q: Hi, I am going to buy an apartment in Dubai. If I am going directly from the seller's broker, shall we both (seller and buyer) pay 2% each to this broker? And also it asks for a convenience fee of 5000 Dhs, what is it? Thanks

Q: A commission agreement between broker and seller was drafted and signed by the two parties in Dubai. The agreement states that the seller shall pay the broker a certain amount of commission after the sale transaction is done. How can the broker guarantee his right 100% in case the seller doesn’t pay? Shall the broker register the agreement with the notary public or the Ministry of Economy? Please take note that the location is Dubai.

Q: I am not a real estate agent. I just happened to match a sale of property deal between two licensed agents, one is the seller's agent and the other is the buyer's agent. I wanted to know if legally I can get paid referral or finder's fees if the property is sold. If yes, I need help drafting the agreement between all 3 parties.

س: السلام عليكم، أحتاج إلى استفسار مشكورين. أعمل في شركة مقاولات بصفة مدير تسويق وتم الاتفاق على عمولة ١% على المشاريع التي أقوم بتوقيعها ولكن لم يتم ذكرها في عقد العمل. كنت أحصل على مبالغ تحت الحساب من حساب العمولة وعملت لمدة ٧ سنوات في الشركة. هل يحق لي المطالبة بكامل العمولة المتبقية مع وجود رسائل بيني وبين مالك الشركة بالمبالغ المدفوعة تحت الحساب من بند العمولة؟

س: لو لم يتضمن عقد العمل صراحة عمولة للموظف، فهل يسقط حق الموظف فيها؟ كنت أحصل على عمولة ولكنها ليست مذكورة في العقد. الآن بعد إنهاء عقدي رفضت الشركة إعطائي العمولة بحجة أنها ليست في العقد. ماذا أفعل لأحصل على حقي؟ هل توجد مادة بالقانون تحميني؟ وما هي؟

Q: I am writing to seek your legal expertise and advice on a pressing issue concerning a property sale transaction that my brokerage company has facilitated. Here are the details: Our brokerage company represented the seller in a property sale where the property was sold with an existing rental agreement in place. As per the terms of the agreement, the rental balance was supposed to be given to the buyer, who is now the new owner of the property. In this transaction, our company is entitled to a 40% commission, and the buyer's brokerage company is entitled to 60%. However, the buyer's brokerage company, which has complete control over the buyer's funds, has transferred the entire 100% commission to their own account. They are currently withholding this commission, stating that they will release it once the rental balance is paid to the buyer. Unfortunately, we have lost contact with the buyer, as he has blocked the seller's agent, making it impossible for us to fulfill this condition.

Q: Real Estate Agency without proper contract & HR system. I have been working as a certified real estate broker for a real estate agency in Dubai. The company consistently failed to provide a proper contract, and they kept hiring and firing HR managers. We sign a contract with an HR manager and the next one comes in, as a result, the company manager claims that because the contract was signed by the previous HR, it is no longer valid. The manager never signs any contract. I have been closing a few deals in the company and now I’m suspecting that they won’t pay since they can come up with another excuse. How can we legally pursue this matter and secure our pending commissions?

Q: Guys, I have a question. A realtor brought a client, and the deal went through, but we didn’t sign a form for the realtor’s commission payment. I wasn’t satisfied with the realtor’s work because he took the other side’s position and tried to persuade me to sell for a lower price. From my side, there was only indirect confirmation via email that the commission would be paid. Can a court force me to pay the commission?

Did you know that 225 establishments were fined approximately AED 77 million for flouting AML regulations? About, 50 entities’ operations and licenses were put on suspension in 2023-Q3 for failing to register in the goAML system. That’s alarming! Out of the said numbers, many were real estate brokerage firms.

This Bylaw regulates the Real Estate Brokers Register in the Emirate of Dubai. No person may engage in real estate brokerage activities in Dubai unless he is licensed by the competent entities and entered in the register, which is maintained by Dubai Land Department.

By virtue of this Law, a public corporation named the “Real Estate Regulatory Agency” is established in the Emirate of Dubai. It is affiliated to Dubai Land Department. The objective of RERA is to regulate the real estate sector in the Emirate.