How to Become a Real Estate Agent in Dubai

Real estate agents have the keys to some of the most competitive markets out there. Check this out:

• Over the past year, industrial warehouse rents in Dubai have increased by more than 5%;
• The first half of 2024 saw a huge increase in rental activity in Dubai. Rental registrations increased by 38.4% compared to the same period last year;
• Dubai's residential sector experienced a 21.3% year-on-year increase;

UAE real estate sector is now on top of the game. It's showing some serious strength and positive economic signs, compared to the struggles that markets in Europe and the US are facing.

The UAE is a great place if you want to advance your real estate career.

A real estate agent is like a guide who helps people find, buy, or rent homes and commercial properties. So, let's say someone want to get a new apartment. Instead of searching for ads, calling the owners, and visiting places yourself, they could delegate it to a real estate agent.

• Research: A real estate agent knows all the good deals on the market. They'll find some options that best suit the client.
• Meeting preparation: An agent will set up a viewing of the best options with the property owner.
• Paperwork: Closing a real estate deal is a complicated process. An agent can help a client to ensure that everything is in order and the deal is safe.
• Negotiations: If people want to buy something cheaper or sell their more expensive, an agent can help you negotiate with the other party.

There are several must-have skills to be a successful agent:

• Communication skills: Connecting with people from different cultures, backgrounds, and mindsets is crucial, especially in Dubai;
• Market knowledge: Deep market expertise will provide benefits and enhance reputation;
• Legislation knowledge: Deeply understand real estate laws and can properly execute documents.
• Sales skills: Ability to convince, show off real estate in the best light, and negotiate effectively.

Costs for licensing typically include:

• RERA Course Fee: from AED 3,000.
• License Fee: AED 5,000 annually.
• Other Costs: Health insurance, residency visa, and professional indemnity insurance.

In Dubai, real estate agents usually earn a commission, which is a percentage of the final sale price of the property or the rental value.

The standard rate is between 2% and 3% of the property’s sale value and 5-10% for commercial properties. Also, there's an extra 5% VAT on top of the commission fee.

For example, if a property was sold for AED 1 million, the commission could be around AED 20,000 — 30.000 + 5% VAT.

Dubai's market is huge, and agents get a lot of benefits from it:

• High earning potential;
• Work in a dynamic and growing industry;
• Global client base;
• Access to luxury properties;
• Tax-Free Income

Sure, there are some cons. Dubai's market is super lucrative, it's also super competitive. You have to work long hours and be committed. The high standard of living might mean you need to adapt to a whole new lifestyle quickly as an agent.

Keeping records and paperwork in order is key to closing property deals. It will help you settle accounts with clients safely and pay taxes on time, otherwise you could run into serious problems and fines. We talked about this in our guide to Corporate Taxes in the UAE — check it out before you start.

Real estate is a fast-paced business, with multiple projects going on at the same time. There's a lot to keep track of to make sure everything runs smoothly. So you need a service that's flexible and can adapt to your needs. You also want a service that keeps up with the latest accounting changes. And you want it to save you time and hassle.