x Abu Dhabi, UAESunday 23 July 2017

Property execs in Abu Dhabi give rental register the thumbs up

Property agencies are applauding the Abu Dhabi government's new rental authority.

Property executives in Abu Dhabi are applauding the government's new system to register rental properties in the capital.

"Anything that gives more protection to both landlord and the tenant is a good thing," said Jane Irvine, director of business development for LLJ Property.

The new platform, dubbed Tawtheeq, announced this week, will create a database of all residential, commercial and industrial properties for rent. The public will be able to search by unit type, price and location.

The programme, which is similar to the Ejari system launched last year in Dubai, will provide standardised contracts and require landlords to file rental agreements online.

"It will provide transparency in the market," said Renan Bordeaux, managing director of PropertyFinder.ae, a local portal.

The site will offer consumers the ability to search for available rental listings, which could draw consumers away from portals like Propertyfinder. But Mr Bordeaux said the system will add information to the market.

"I don't see it as direct competition," Mr Bordeaux said. "I think it is more of a governmental tool to help regulate the market."

Tawtheeq will allow both users and the Government to monitor rental prices and generate data on trends in the market.

"I support any regulation that increases transparency and protects the rights of landlords

and tenants," said Kosta Giannopoulos, head of property management for Better Homes.

"However, care must be taken to ensure that regulations can be practically implemented and do not have a negative impact on the ability of landlords and tenants to transact."

Property management companies and property owners will be required to pay Dh1,000 per property and Dh5 per unit to register to use the system. And they will be required to pay between Dh50 and Dh100 to register, renew or modify contracts.