Property Developers – What you need to know

Property Developers

The most significant impact Law 27 (2017) will have on property developers (master developers and sub-developers) is in the areas of:

  • Licencing Requirements
  • Sales Process with Buyers
  • Enforcement of Escrow Accounts

Property Developer Licensing Options

If you are a property developer (master developer or sub developer) involved in selling off-plan real estate units to the public, you must register with RERA and get a Developer License.

Property developers in Bahrain must have a Developer License before proceeding with any off-plan sales project or advertising units for sale off-plan.

Visit our Customer Help Center for the detailed  RERA Guide for Developers.




Anti-Money Laundering

Real Estate Professionals are required to comply with Law No 4 of 2001 concerning the Prohibition of Money Laundering. The Ministry of Industry, Commerce and Tourism has published Guidelines and Forms relating to AML:

Escrow Accounts

Buying a property off plans can be a risky endeavor. Buyers cannot see the unit they are purchasing nor can they visit the property. Escrow accounts provide a level of protection to buyers.

More Details

RERA for Developers at a Glance

YOU NEED A LICENSE TO OPERATE AND SELL PROPERTY

Every property developer needs to have a series of licenses to operate in Bahrain. Licenses include Developer Licence, Development Project licenses and Advertising licenses.

NEW SALES PROCESS FOR BUYERS

To help drive consumer protection, buyers will now be allocate a seven-day period to make a final decision on a unit purchase in an off-plan development.

ESCROW ACCOUNTS

These will continue to be mandatory and RERA approved escrow managers authorised by the Central Bank of Bahrain will now take a more active role in escrow account management.

SURVEY AND LAND REGISTRATION BUREAU (SLRB)

RERA will liaise with SLRB on behalf of applicants for new development projects regarding title deed, sales register and journal notifications.

APPLICATION IS STRAIGHTFORWARD

Apply online or in person at RERA for licences. Fees will apply and applications are reviewed and renewed annually. The application process takes five days.

LICENSING REQUIREMENTS

These vary depending on type of license and whether application is for an individual or a corporate entity. The most basic requirements demand proof of professional capability, financial viability and good character. It is important to have documentation ready before application.