Dubai RERA Broker Licensing Practice Test
Comprehensive 150-Question Exam || 2026-2027 Standards ||
Verified Answers
SECTION 1: Dubai Real Estate Legal Framework & Key Laws
(40 Questions - Law No. 7/2006, Law No. 85/2006, Law No. 16/2007, Law No. 8/2007,
Law No. 26/2007, Law No. 27/2007, Law No. 13/2008, Law No. 14/2008, Decree No.
1/2009)
Q1: Under Law No. 7 of 2006 concerning Real Property Registration in the Emirate of
Dubai, which of the following statements regarding the registration of real property
rights is CORRECT?
A. Registration is optional for leasehold rights exceeding 10 years but mandatory for
shorter terms
B. Real property rights are only established upon registration in the Interim Register
C. Real property rights are not established and do not transfer unless registered in the
Real Property Register
D. Oral agreements for property transfer are valid if witnessed by two UAE nationals
Correct Answer: C
Rationale: Law No. 7 of 2006 (Land Registration Law) establishes the fundamental
principle that real property rights in Dubai are only established and transferred upon
registration in the Real Property Register maintained by DLD. Why C is correct: Article 4
,of Law No. 7/2006 explicitly states that real property rights are not established and do
not transfer except by registration. This is the cornerstone of Dubai's property
registration system. Why A is incorrect: Leasehold rights exceeding 10 years must be
registered (not optional), while shorter terms may be registered but are not mandatory.
Why B is incorrect: The Interim Register (established under Law No. 13/2008) is for
off-plan properties under construction; final rights are established in the Real Property
Register. Why D is incorrect: Dubai law requires written instruments for property
transfers; oral agreements are not valid regardless of witnesses. Memory aid: "No
registration = No protection" is the golden rule of Dubai property law.
Q2: A broker is reviewing the legal requirements for real estate brokerage activities in
Dubai. According to Law No. 85 of 2006 regarding the Regulation of Real Estate
Brokerage, which activity requires a RERA-issued license?
A. Acting as an intermediary for the rental of a residential villa for a one-year term
B. Providing property valuation advice to a family member without compensation
C. Managing a personal investment property portfolio without third-party involvement
D. Assisting a friend in finding a tenant for their apartment without charging a fee
Correct Answer: A
Rationale: Law No. 85 of 2006 (Real Estate Brokerage Regulation) mandates licensing
for all real estate brokerage activities conducted for compensation. Why A is correct:
Acting as an intermediary for property rental (even residential) for compensation
requires a RERA broker license under Article 3 of Law No. 85/2006. The law defines
brokerage broadly to include any mediation in real estate transactions. Why B is
incorrect: Providing advice without compensation to family members falls outside the
,commercial scope of the law. Why C is incorrect: Managing one's own properties is not
brokerage; the law regulates intermediation between third parties. Why D is incorrect:
While technically unlicensed activity, assisting without charging a fee removes the
commercial element that triggers licensing requirements—though best practice always
suggests using licensed professionals. Key distinction: The law applies to "brokerage
for compensation"—the compensation element is crucial.
Q3: Under Law No. 16 of 2007 establishing the Real Estate Regulatory Agency (RERA),
which of the following is NOT a primary function of RERA?
A. Regulating and supervising real estate development projects in Dubai
B. Issuing licenses to real estate brokers and developers
C. Adjudicating rental disputes between landlords and tenants
D. Establishing regulations for escrow account management
Correct Answer: C
Rationale: Law No. 16/2007 created RERA as the regulatory arm of DLD, but dispute
resolution was assigned to a separate entity. Why C is correct: RERA does NOT
adjudicate rental disputes—this function belongs to the Rental Dispute Settlement
Center (RDC), established under Decree No. 26 of 2013 (replacing the earlier Rent
Committee). This is a common confusion point. Why A is incorrect: Project regulation is
a core RERA function under Article 5 of Law No. 16/2007. Why B is incorrect: Licensing
brokers, developers, and other real estate professionals is RERA's primary mandate.
Why D is incorrect: RERA oversees escrow account regulations under Law No. 8 of
2007. Memory aid: RERA "REGULATES" but does not "ADJUDICATE"—think "R for
Regulatory, not Judicial."
, Q4: A developer is selling off-plan apartments in a new Dubai project. According to Law
No. 8 of 2007 concerning Escrow Accounts for Real Estate Development, what is the
MINIMUM percentage of the first payment that must be deposited into the project's
escrow account for soft costs?
A. 2% of the total project value
B. 5% of the total project value
C. 10% of the total project value
D. 20% of the total project value
Correct Answer: B
Rationale: Law No. 8 of 2007 (Escrow Account Law) establishes strict funding
requirements to protect off-plan buyers. Why B is correct: Article 5 of Law No. 8/2007
requires developers to deposit 5% of the total project value into the escrow account
before commencing sales activities. This 5% covers soft costs (design, permits,
marketing) before construction payments begin. Why A is incorrect: 2% is below the
statutory minimum and provides insufficient buyer protection. Why C is incorrect: While
10% is sometimes required for specific project types, the standard minimum is 5%. Why
D is incorrect: 20% is the typical down payment buyers pay to developers, not the
escrow deposit requirement. Practical application: Brokers must verify the escrow
account certificate (ECC) before marketing off-plan properties—this is a critical
compliance check.
Q5: Under Law No. 26 of 2007 as amended by Law No. 33 of 2008 (Regulating the
Relationship between Landlords and Tenants in the Emirate of Dubai), a landlord wishes
Comprehensive 150-Question Exam || 2026-2027 Standards ||
Verified Answers
SECTION 1: Dubai Real Estate Legal Framework & Key Laws
(40 Questions - Law No. 7/2006, Law No. 85/2006, Law No. 16/2007, Law No. 8/2007,
Law No. 26/2007, Law No. 27/2007, Law No. 13/2008, Law No. 14/2008, Decree No.
1/2009)
Q1: Under Law No. 7 of 2006 concerning Real Property Registration in the Emirate of
Dubai, which of the following statements regarding the registration of real property
rights is CORRECT?
A. Registration is optional for leasehold rights exceeding 10 years but mandatory for
shorter terms
B. Real property rights are only established upon registration in the Interim Register
C. Real property rights are not established and do not transfer unless registered in the
Real Property Register
D. Oral agreements for property transfer are valid if witnessed by two UAE nationals
Correct Answer: C
Rationale: Law No. 7 of 2006 (Land Registration Law) establishes the fundamental
principle that real property rights in Dubai are only established and transferred upon
registration in the Real Property Register maintained by DLD. Why C is correct: Article 4
,of Law No. 7/2006 explicitly states that real property rights are not established and do
not transfer except by registration. This is the cornerstone of Dubai's property
registration system. Why A is incorrect: Leasehold rights exceeding 10 years must be
registered (not optional), while shorter terms may be registered but are not mandatory.
Why B is incorrect: The Interim Register (established under Law No. 13/2008) is for
off-plan properties under construction; final rights are established in the Real Property
Register. Why D is incorrect: Dubai law requires written instruments for property
transfers; oral agreements are not valid regardless of witnesses. Memory aid: "No
registration = No protection" is the golden rule of Dubai property law.
Q2: A broker is reviewing the legal requirements for real estate brokerage activities in
Dubai. According to Law No. 85 of 2006 regarding the Regulation of Real Estate
Brokerage, which activity requires a RERA-issued license?
A. Acting as an intermediary for the rental of a residential villa for a one-year term
B. Providing property valuation advice to a family member without compensation
C. Managing a personal investment property portfolio without third-party involvement
D. Assisting a friend in finding a tenant for their apartment without charging a fee
Correct Answer: A
Rationale: Law No. 85 of 2006 (Real Estate Brokerage Regulation) mandates licensing
for all real estate brokerage activities conducted for compensation. Why A is correct:
Acting as an intermediary for property rental (even residential) for compensation
requires a RERA broker license under Article 3 of Law No. 85/2006. The law defines
brokerage broadly to include any mediation in real estate transactions. Why B is
incorrect: Providing advice without compensation to family members falls outside the
,commercial scope of the law. Why C is incorrect: Managing one's own properties is not
brokerage; the law regulates intermediation between third parties. Why D is incorrect:
While technically unlicensed activity, assisting without charging a fee removes the
commercial element that triggers licensing requirements—though best practice always
suggests using licensed professionals. Key distinction: The law applies to "brokerage
for compensation"—the compensation element is crucial.
Q3: Under Law No. 16 of 2007 establishing the Real Estate Regulatory Agency (RERA),
which of the following is NOT a primary function of RERA?
A. Regulating and supervising real estate development projects in Dubai
B. Issuing licenses to real estate brokers and developers
C. Adjudicating rental disputes between landlords and tenants
D. Establishing regulations for escrow account management
Correct Answer: C
Rationale: Law No. 16/2007 created RERA as the regulatory arm of DLD, but dispute
resolution was assigned to a separate entity. Why C is correct: RERA does NOT
adjudicate rental disputes—this function belongs to the Rental Dispute Settlement
Center (RDC), established under Decree No. 26 of 2013 (replacing the earlier Rent
Committee). This is a common confusion point. Why A is incorrect: Project regulation is
a core RERA function under Article 5 of Law No. 16/2007. Why B is incorrect: Licensing
brokers, developers, and other real estate professionals is RERA's primary mandate.
Why D is incorrect: RERA oversees escrow account regulations under Law No. 8 of
2007. Memory aid: RERA "REGULATES" but does not "ADJUDICATE"—think "R for
Regulatory, not Judicial."
, Q4: A developer is selling off-plan apartments in a new Dubai project. According to Law
No. 8 of 2007 concerning Escrow Accounts for Real Estate Development, what is the
MINIMUM percentage of the first payment that must be deposited into the project's
escrow account for soft costs?
A. 2% of the total project value
B. 5% of the total project value
C. 10% of the total project value
D. 20% of the total project value
Correct Answer: B
Rationale: Law No. 8 of 2007 (Escrow Account Law) establishes strict funding
requirements to protect off-plan buyers. Why B is correct: Article 5 of Law No. 8/2007
requires developers to deposit 5% of the total project value into the escrow account
before commencing sales activities. This 5% covers soft costs (design, permits,
marketing) before construction payments begin. Why A is incorrect: 2% is below the
statutory minimum and provides insufficient buyer protection. Why C is incorrect: While
10% is sometimes required for specific project types, the standard minimum is 5%. Why
D is incorrect: 20% is the typical down payment buyers pay to developers, not the
escrow deposit requirement. Practical application: Brokers must verify the escrow
account certificate (ECC) before marketing off-plan properties—this is a critical
compliance check.
Q5: Under Law No. 26 of 2007 as amended by Law No. 33 of 2008 (Regulating the
Relationship between Landlords and Tenants in the Emirate of Dubai), a landlord wishes
