The Dubai International Financial Court (DIFC) has made big changes to its laws. These updates aim to make property deals smoother and clearer. They include a new mortgage fee and longer time to register off-plan properties. These changes show Dubai’s effort to be more flexible and welcoming to investors.
New Mortgage Registration Fee
A new mortgage fee of 0.25% of the mortgage value has been introduced. This fee is for registering mortgages. It’s meant to make mortgage deals more formal and follow global standards.
This change means mortgage costs will go up a bit. But it also makes the property market more structured. In many places, mortgage fees help keep financial deals clear and well-managed.
Extended Registration Period for Off-Plan Property
The DIFC has also made a big change for off-plan property sales. Now, you have 60 days to register sales instead of 30. This gives buyers and developers more time to handle the complex process of buying off-plan units.
This extra time is a big help for investors. It lets them take their time to agree on purchases and pay fees. This makes buying property easier and less stressful.
Key Amendments to the Application Law
The DIFC has also updated its Application Law. This change includes a new Article 8A. It makes the law clearer and more certain.
Article 8A says DIFC law comes from DIFC statutes and court decisions. It also mentions common law, including English law. The DIFC Courts can use these laws to make decisions.
This change shows DIFC’s commitment to English Common Law. It also lets the Courts use other international laws. This makes legal decisions stronger and more reliable.
The Impact on Investors and Property Buyers
These changes show DIFC’s goal to support business and protect investors. The mortgage fee makes deals more formal. The longer time for off-plan sales helps everyone involved.
Buyers now have a more predictable buying experience. The extra time for off-plan sales is especially helpful for international investors. It makes the process less stressful for them.
Strengthening Legal Certainty in DIFC
The updates to the Application Law, especially Article 8A, make the law clearer. They let DIFC Courts use international laws. This makes legal decisions more reliable and builds trust among investors.
This move boosts Dubai’s reputation as a forward-thinking financial center. It shows DIFC’s commitment to being a reliable place for business and investment.
Conclusion
Dubai is making big moves to improve its legal system. It’s doing this to help investors, property buyers, and businesses. The new mortgage registration fee and longer registration period for off-plan properties are just the start.
These updates aim to make Dubai a top choice for property investment. They bring more clarity and flexibility to the financial hub. If you’re investing in Dubai or work in DIFC, knowing about these changes is crucial.
