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Ministry of Housing Launches Real Estate Brokerage Establishment Registration Portal and Announces "Ejar" Program Joining Requirements

Sunday, 5 February 2017

The Ministry of Housing announced opening registration for real estate brokerage establishments and determining the requirements that must be met for an establishment to complete registration in the Electronic Network for Rental Services. The Ministry, represented by the "Ejar" program, has approved four requirements for real estate brokerage establishments to join the "Ejar" program. The first requirement is that the real estate broker must be of Saudi nationality, and the brokerage establishment must hold a valid commercial registration that includes the activities of "management and rental of owned or leased residential properties" and "management and rental of owned or leased non-residential properties."  The requirements also include that the establishment’s headquarters address must be registered with the national address service provided by Saudi Post, and that the training course for qualifying real estate brokers must be completed before beginning the rental contract conclusion process.
Engineer Mohammed Al-Bati, General Supervisor of Rental Sector Regulation, explained that the phase of registering, qualifying, and accrediting real estate brokerage establishments in the Electronic Network for Rental Services is the first step to prepare brokerage establishments for concluding residential rental contracts electronically during the first quarter of 2017. This is in implementation of the Council of Ministers’ decision dated 22/9/1437 AH, which requires licensed real estate brokers to register all residential and commercial unit rental contracts electronically through the Electronic Network for Rental Services.

In a press statement, he said:  "Electronic registration provides real estate brokerage establishments in the Ejar program with a number of advantages that brokers can obtain. The most important of these is organizing the real estate brokerage profession, as the Ejar program does not accept any contract except through registered brokers. The electronic platform also provides real estate brokers with advanced tools to verify the accuracy of tenant and lessor data, as well as the lessor’s ownership documentation for the real estate unit. This leads to reducing potential disputes. The network also provides a number of services, including electronic payment of rent, periodic notifications of financial transactions, and important alerts. The Ejar program will also provide each real estate broker with a dedicated database through which they can save and retrieve all contracts concluded through them electronically, eliminating the need to store paper documents, in addition to several other advantages."
Al-Bati stated that this phase represents a first step toward implementing and fully applying the "Ejar" program, seeking to reach the stage of contract documentation and preserving the rights of all parties involved in rental transactions, as well as establishing a well-organized rental sector in the Kingdom.

In a related context, Engineer Al-Bati announced dedicating the unified number 920005226 to receive all inquiries related to the "Ejar" program, in addition to launching the program’s electronic website through the link www.ejar.sa, where all information and details about the program are available.
It is noted that the "Ejar" program seeks to be the main engine for developing and increasing trust in the rental sector, improving its investment environment, and achieving a greater balance between supply and demand, ensuring the sector’s sustainability, growth, and organization. It also aims to document contracts and preserve the rights of all parties involved in rental transactions, as well as draft standardized rental contracts that meet the needs of beneficiaries and approve them as enforceable instruments. This is supported by qualifying and licensing real estate brokerage establishments and setting regulatory and oversight policies and procedures for their work, contributing to reducing rental-related litigation, improving sector performance, and increasing its contribution to GDP.