Gulf News, 30 June 2025: Abu Dhabi has tightened its regulations on real estate brokerage services as part of a broader update to the emirate’s property market rules.

The amendments introduced by Abu Dhabi Law No. 2/2025 have changed the law governing the real estate sector in Abu Dhabi, under Abu Dhabi Law No. 3/2015 Concerning the Regulation of the Real Estate Sector in the Emirate of Abu Dhabi.

These new regulations, are aimed at increasing transparency and accountability, and were announced by the Department of Municipalities and Transport earlier this month.

The updated regulations redefine real estate activities to include sales, purchase, registration, evaluation, management, and operational aspects of real estate.

New regulatory bodies have been introduced, and operational procedures which will impact developers, brokers, financial institutions, owners, and tenants have been introduced.

The ‘Owners’ Union’ has been changed into the ‘Owners’ Committee’ and has new roles and responsibilities. Specific penalties have been introduced for unauthorised practice of real estate activities, and there are strict administrative fines.

The regulations require homeowner committees to be established for new freehold projects. These committees, will be governed by the Department’s decisions, and will have advisory and oversight roles, with specialised management companies handling operational management.

Obligations on escrow account management have also been revised to ensure transparent transactions and safeguard buyer’s interests.

Key decisions included restructuring the administrative oversight by authorising the Department to impose administrative penalties for violations, reflecting improved compliance standards within the sector. Developers now face altered guidelines, notably stricter registration and marketing requirements for off-plan sales, and enhanced escrow account protocols. There have also been changes affected service fee collection procedures, developers will have to comply with.

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