Ajman regulartory body proposed new visa rules.
By Parag Deulgaonkar on Sunday, October 11, 2009
Federal committees dealing with the property visa regulations have
been urged not to use property values, fixed incomes and compulsory
exit from the country as criteria for granting or renewing six-month
residency visas.
The call came from Ajman Real Estate Regulatory Agency (Arra) in a
five-point submission, Emirates Business can reveal.
The move follows an announcement in May of a resolution allowing owners
of property in the UAE to stay in the country for up to six months at
a time with a multi-visit entry visa.
The permit has to be renewed according to a set of specific requirements
and conditions. It includes owners having to leave the country after
six months before returning and renewing.
In addition, the value of the unit should not be less than Dh1 million,
the unit should be fit to accommodate the owner and the family and the
owner should have a fixed income of not less than Dh10,000 or its equivalent
in foreign currency, whether inside or outside the country.
If these terms are not met the permit will be void, the notification
added.
The Ajman agency is not calling for three-year visas, but says it should
be possible to renew visas every six months for up to three years without
the need to leave the country. The property owner would have to submit
the documents required for renewal and pay the fees every six months.
The agency said in its submission: “Your department has the right
to cancel the visa if the applicant has not got the right to renew it.”
On the property value issue, Arra said: “The value of property
in the Northern Emirates does not exceed half of the value of property
in other emirates, and this will lead to only serving some investors.
“You must be aware that the property price changes according to
supply and demand, which is related to several factors. There are no
clear criteria for this change. And this leads to the absence of a fixed
mechanism to assess the real value of any property. Such a change can
lead to other problems.”
In addition, the law has not clarified the rights of those owning more
than one real estate unit, where the total value of the units exceeds
the set minimum limit of Dh1m. And in cases where a property is owned
jointly by more than one person, Arra suggests that the investor be
allowed to apply for a visa if the other owners are first-degree relatives.
Rather than saying the property should be suitable for residence, the
agency suggests the number of visas issued should be linked to the type
of unit and the location. The owner of a studio should receive three
visas (father, mother and one child), a one-bed unit four visas (father,
mother and two children), a two-bed unit six visas (four children) and
a three-bed unit eight visas (six children).
“We suggest the decision also covers maids sponsored by the owner.
Infants should be exempted.”
Regarding the requirement for a fixed income of not less than Dh10,000,
Arra said: “This might cause various problems and will open the
door for companies operating outside the country to give salary certificates
with no reliable references. From our experience in the real estate
market, most investors are businessmen with no fixed income.”
Ajman property boost following metro extension proposals
WEBWIRE - Monday, Aug 21, 2008
Proposals to extend the Dubai Metro to neighbouring Ajman are currently
being discussed. The plans, still in the early stages, would be welcome
news for investors who own properties in Ajman.
According to the proposal, the metro will pass through Emirates Road
to Al Corniche in Ajman. From there it will go to Al Zawra and then
onto new investment areas currently under development.
Sheikh Rashid bin Humaid Al Nuaimi, Chairman of Ajman Municipality
and Planning Department has stressed that the proposal is only in discussion
stage and many considerations still have to be made before anything
is finalised.
Investors looking to buy Ajman property will be following the discussions
with interest, as any extension announcement is certain to push up the
value of off-plan properties in Ajman.
Infrastructure plays a crucial role in any developing area and if these
proposals to extend the Dubai Metro to Ajman come to fruition, then
existing investors will certainly reap the benefits as prices for off-plan
properties in Ajman will rocket
Prices of [property in Ajman are currently a third of what they are
in Dubai, and with industry experts already predicting an increase in
Ajman property prices of up to 100% within the 12 months, any definite
announcement of a Metro extension for Ajman will certainly fuel further
growth.
Construction of the Dubai Metro system is well underway with the first
line (Red Line) due to open in September 2009 and the entire system
scheduled to be fully operational by 2012. British-based international
services company Serco, who also run the DLR in London, will operate
and maintain services, including trains, tracks, stations and associated
facilities in a contract said to be worth £500m over 12 years.
Up to 600,000 passenger journeys per day are forecast by the Dubai
RTA, with extensive park-and-ride facilities to encourage car users
on to the trains. The first of 87 five-car metro trains, built by Kinkisharyo,
of Japan, was delivered in March and has already been tested up to 92
kmh (57 mph).
The Red Line will immediately achieve another Dubai 'first' - becoming
the largest, driverless automated metro system in the world.
