Abu Dhabi finds new laws to attract property buyers

Abu Dhabi, the capital of the United Arab Emirates is a city well designed by world’s best architectures. This emirate is known as the center of business and government in the UAE. The emirate basically sustains oil driven economy and it constitutes around 86.7 percent of the nation’s total land area. A well planned and structured city with marvelous infrastructures has recently started gaining priority in real estate. Although, it has been slow to join Dubai property boom, but with the new property ownership laws coming up the targets can be achieved well. Abu Dhabi has already launched several new projects. It includes the $14.7 billion Al Raha Beach and similarly various other huge projects.

Abu Dhabi has now started to position itself on the international stage in terms of real estate market thus, its looking forward of being developed as a world class tourist destination and even  great destination for business travelers and property investors as well. According to a survey, there is a huge resemblance between the early stages of Dubai property market and the current scenario of Abu Dhabi real estate. Even the property prices in this emirate are almost on the same level as in Dubai. Just like Dubai’s real estate, the property market of Abu Dhabi is likely to grow to a great extent in the coming future. It is being said that Abu Dhabi will soon take over Dubai as far as property market is concerned.

Now-a-days, Abu Dhabi Govt is busy in working out new laws in order to attract property investors. Due to the current real estate market scenario not many investors are investing in property market, however, the officials and developers are making an extra effort to lure investors by figuring out some new property laws. The government’s priority is not only to attract investors in property market; however, they want investors to invest in all sectors especially, which are related to the modern technology and the sector that involves liquidity. The recently organized international property show in Abu Dhabi made a huge difference as various developers, banks, financial institutions and other associated property sector players showcased their latest projects.

In the current state of affairs the major focus is on the new Govt laws, which the govt of Abu Dhabi is formulating. These laws being worked on include huge incentives for those who will invest. A tendency is being followed there at this point in time, which is to reduce dependency on labour intensive sectors. The non oil resources are to be consolidated and thus, an active and stable economic growth has to be achieved. The private sector is to be given a big role to contribute in economic development. The new property law being introduced by Abu Dhabi regulates the right to own and transfer real estate for the expats. The expatriates are now allowed to invest on a long term surface ownership of about 99 years. The nationals are allowed to buy or sell properties in early march this year. Many established property markets are once again marching towards saturation, thus new emerging trends are to be listed on top of the charts.

Abu Dhabi’s department of Municipal Affairs had already drafted a number of new laws and regulations and has been sent for approval to the Executive Council. The proposed legislation covers an escrow law, a strata law and a mortgage law. A draft law has been proposed to regulate the property market as well as the land transactions in this emirate. By revising the property laws and real estate sector in Abu Dhabi, several gaps have been discovered in laws related to the real estate sector. In addition, some laws and regulations do not match the ground realities. As per the saying of the industry experts real estate sector is positioned on top of the charts as far as the UAE stock market is concerned.