Dubai’s property brokers who are looking to make a quick deal have been warned against cold-calling potential clients as property prices in the city surge.
The Real Estate Regulatory Agency (Rera) of the Dubai Land Department yesterday issued an official letter to all of the city’s registered real estate brokers, reminding them that direct telemarketing violates its rules.
Rera’s Real Estate Inspection division said it had been inundated with complaints from homeowners in recent months as property prices in Dubai continue to rise steadily.
The warning comes as the property broker Asteco reported that average apartment prices in Dubai rose 42 per cent over the 12 months to the end of September and villa prices rose 26 per cent.
“Rera has made contact with all real estate offices in Dubai asking them to refrain from such annoying tactics as direct telemarketing, as they do not provide any benefits for the sector,” said Yousef Al Hashmi, the senior director of Rera’s licensing department.
Rera told brokers that anyone not adhering to the rules faced fines under its 2006 regulation 85.
According to Asteco data, apartment prices climbed the fastest in Discovery Gardens, where they now stand 75 per cent higher than the previous year at Dh700 per square foot.
Prices at Jumeirah Lakes Towers increased 46 per cent over the same period at Dh950 per sq ft.
However, the glitzy area around Burj Khalifa, Downtown Dubai, remains the most expensive in the city, with prices averaging Dh1,700 per sq ft.
Jumeirah Village was the neighbourhood that recorded the biggest increase in villa prices, with prices per sq ft doubling over the year to Dh750. It was followed by Jumeirah Islands, where prices per sq ft rose 30 per cent to Dh1,300, and The Springs, where they rose 25 per cent to Dh1,000.
Palm Jumeirah remained the most expensive location for villas: prices stood at Dh2,000 per sq ft – almost double that of any other freehold area of Dubai.
However, Asteco said despite the rapid increases, property prices in Dubai remained on average 42 per cent below their September 2008 peak levels and looked set to remain below them for the foreseeable future.
It said apartments in Jumeirah Beach Residences remained 32 per cent below their peak, while flats in The Greens are 33 per cent lower.