Escrow management - RERA Rules and Compliance for Banks ,Property Developer and Investors in UAE

1 May 2014 |Dubai | UAE

Escrow Account Law

A Law to Regulate Developers and to Protect Purchasers Payments in Off-Plan Transactions Law No. (8) of 2007 concerning Guarantee Accounts of Real Estate Developments in the Emirate of Dubai was issued by His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Ruler of Dubai, on 6th May 2007. The Law came into effect upon its publication in the Official Gazette on 28th June 2007.

The law was issued in order to control of the real estate market in Dubai and to regulate the construction and selling of properties off-plan to guarantee the rights of buyers.

The escrow account is the bank’s account of the project in which amounts collected from buyers of off-plan properties are deposited or amount by project’s financers.

The escrow account aim is to regulate the functioning of the construction process of units sold off-plan, thus safeguarding the rights of investors.

The law applies to all developers in Dubai without any exception who sell properties off-plan in Dubai, and in return they receive payments from the buyers or financers.

With the launch of expo 2020 and upcoming projects coming up in UAE, the banks are becoming aggressive to open escrow accounts for property developers and investors.
Ascent Property management has been built with business users in mind designed by seasoned banking professionals in Middle east who understand different usage & scenarios and requirements at the ground level and maintains compliance with Real Estate Regulatory Authority mandates.

Ascent Promart is end-to-end Project and Property lifecycle management is complete customizable solution and incorporates entire life cycle support for property based finances management with automatic transitioning to corresponding phases.

Since property financing involves large number of Stakeholders this solution supports definitions to incorporate and manage different levels of stakeholders like Master Stakeholders, developers, builders, contractors, buildings and end unit byers etc.

Ascent Promat not only provides comprehensive big-picture overview to manage all the set of stakeholders and cash flows, but also is capable of maintaining all the end units and entities at a granular level

This solution comes with end-to-end property management features with support for all types of cash flows like leasing, rentals, free hold etc., and incorporates multiple stakeholders like Management , maintenance personnel, contractors.

Ascent Promart has three modules for complete property life cycle management as listed below.
1) Escrow Management Module
2) Property Management Module
3) Property Financing Module

To know more about Al Etihad Credit Bureau software solutions please connect with us on info@ascentmiddleeast.com

Media Contact:

Ms .Marci Carlos
Email : info@ascentmiddleeast.com | call - +971.4.3695306
Ascent Technology Consulting| POBOX 450576. DUBAI, United Arab Emirates.