Hamdan bin Mohammed issues bylaw on Mohammed bin Rashid Housing Establishment Law

ABU DHABI: Dubai Crown Prince and Chairman of Dubai Executive Council, H.H. Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, has issued the Executive Council Resolution No (5) of 2014 on Law No (4) of 2011 regarding the Mohammed bin Rashid Housing Establishment. The Resolution prescribes the services offered by the establishment, the fees applicable on each service, the terms and conditions applied and the regulations applicable.

Article (2) of the resolution prescribes the services provided by the establishment. The grants services include grant for buying a land, grant for buying a house and grant for maintenance, addition or replacement. The loan services include loan for building a house, loan for buying a house and loan for maintaining, expanding or replacing a house.

Additionally, the Board of the Mohammed bin Rashid Housing Establishment may add any new service that the Board deems suitable. The Board may review the fees for any housing related service with respect to the economic circumstances in the Emirate of Dubai, cost of building, houses prices and cost of maintenance; accordingly, the Board will submit its recommendations to the Executive Council for approval.

Article (10) of the Resolution states that the Establishment, and prior to its approval on the grant or loan, should prepare a social study report on the applicant and a technical report on the property that determine the required repairs, the attached cost and the completion period.

The technical report should also define the property’s need for maintenance, expansion, partial replacement or complete replacement. Accordingly, the Establishment approves the grant or the loan, and defines the value of each pursuant to the rules and regulation approved by the Board.

According to the Resolution, the applicant whom obtained approval to receive housing services from the Board of Mohammed bin Rashid Housing Establishment must sign the required contracts and obligations and submit the required document within the specified period. The Establishment may suspend the application until the applicant satisfies all the requirements.

The Resolution also detailed the beneficiaries’ obligations and explained the procedures applied to release the loans to the beneficiaries and collect the installments from them. Additionally, the resolution prescribed the procedures to withhold the housing services from the applicant, if applicable. The Resolution is active from the date of issuance and shall be published in the Official Gazette.

SOURCE: WAM