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Abdullah Alhammad, CEO of Real Estate General Authority
The Real Estate General Authority (REGA) said the new Real Estate Brokerage Law, approved by the Cabinet in June 2022, comes into force starting today, Jan. 18, Saudi Press Agency reported, citing CEO Abdullah Alhammad.
Real estate brokers have up to 180 days to adjust their status, until July 18, 2023, corresponding to Dhul Hijjah 30, 1444.
Alhammad also indicated that all licensing services will be available for free during the 180-day period, in line with REGA role to stimulate the real estate brokerage activities while empowering brokers to maintain operations and achieve credibility.
The real estate brokerage law aims to regulate brokers’ business and provide innovative and quality services for beneficiaries. The law will also affect the real estate sector, as it will raise the quality of real estate and brokers’ transactions, maintain the sustainability of assets, limit disputes, protect stakeholders’ rights and boost transparency in the sector.
Under the new law, real estate brokerage services are limited to brokers licensed by REGA. The real estate brokerage and transaction contracts shall be submitted online. In addition, the commission and advance payment should be set. Meanwhile, violators will be subject to penalties under the law.
The Saudi Cabinet approved on June 28, the Companies Law and Real Estate Brokerage Law, Argaam earlier reported.
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