“Amlak” summarizes what the spokesperson of the General Real Estate Authority said about the real estate brokerage system

Prepared by: Abdullah Al-Salih

• Real Estate Brokerage System
entered the compliance phase at the beginning of the current Hijri year.
• The system raised the quality of real estate transactions, contributed to the sustainability of real estate assets, reduced real estate disputes, and preserved the rights of dealers.
• “Val Real Estate License” is the official document that authorizes individuals and establishments to practice real estate brokerage activities and services covered by the real estate brokerage system.
• Real estate brokerage is practiced exclusively by those licensed by the General Real Estate Authority.

Training Courses

• SRA has made it possible to register for training courses through the Saudi Real Estate Institute, the academic arm, through a new path that includes recorded courses and online tests, in order to increase the capacity of the three training courses required to obtain the (VAL Real Estate Brokerage and Marketing License).
• After passing the exam for the three courses, the certificate will be issued immediately and based on it, the license will be issued or renewed by the General Real Estate Authority after fulfilling its statutory requirements.
In the coming period, recorded training courses will be made available for other real estate activities as a third training track to be added to the in-person and live training courses.

Violations of the Real Estate Brokerage Law

• Failure to comply with the mandatory forms and contracts for real estate services and activities.
• Failure to deposit or register the concluded brokerage contracts or real estate transactions that take place in the electronic platform.
• Not enabling those charged with oversight, inspection and control to perform their work, or obstructing them from carrying out their tasks.
• Disclosure by the broker of the secrets of the transactions mediated.
• An act or omission that would harm the interests of those dealing with the broker, or contradict the provisions of the law.
• Failure to inform the Authority of any amendment or change related to the practice of the activity.
• Failure to hand over the amount of the security deposit to the Authority or its authorized person.
• The real estate broker retains the deposit as a guarantee of his right.
• The broker receives any amount from the contracting parties in favor of any of them in excess of the amount he requires to perform his work.
• The mediator disposes of the amounts received from the contracting parties other than for the purposes for which they were intended.
• Failure to comply with the controls for the receipt of payments by the contracted parties.
• Failure to exercise due diligence to verify the validity of information obtained from the property owner or utility owner.
• Failure to disclose the information obtained from the property owner or utility owner when showing the property.
• Providing misleading information or concealing material information regarding the property that is the subject of the real estate brokerage or real estate service.

Control and compliance tracks for the real estate brokerage system:

• The Authority's field monitoring teams.
• The track of monitoring campaigns with the relevant authorities.
• Electronic monitoring track that targets electronic channels and real estate platforms.
• Response to reports submitted through the Authority's platform.

CRA Platform Services

• Verify the real estate broker's license.
• Verify the advertising license to ensure its reliability.
• Verify all the data of the advertised property.
• Pay the security deposit made through the Ejar platform.

Real Estate Platforms

• Real estate platforms" adherence to licensing means increasing the reliability of the platform and the ads published through it.
• A licensed platform can only accept an advertisement licensed by the Authority, documented and fulfilling all information and data related to the property.
• Platforms are required to provide customer service channels and guide them in the correct procedures to protect them from manipulation and fraud and deal with their complaints.

Advantages of the real estate brokerage system

• The system will result in the standardization of all brokerage contracts and link them within a unified system that includes standardizing payment channels, maintaining security and managing sales and rental contractual relationships.
• The system requires brokers to document contracts through the platform, which will contribute to protecting the rights of the contracting parties and the governance of contractual procedures between them, including financial transactions between the parties.