No Marketing of Foreign Real Estate without Official Permission
MCI has issued a decree approving the granting of Real Estate Developers licenses for selling raw lands on the map, in order to fulfill the requirements needed for the practice of early sales activity of the real estate units in the Kingdom, which the Committee of the sale on the map in the Ministry holds the supervision on its implementation and the development of related rules and regulations.
The Ministry announced that the Committee of the sale on the map has adopted adding two items to the license regulation for granting the license to the Real Estate Developers who are interested in the practice of early sales activity of the Real Estate Units in the Kingdom, where the first item stipulates: In the event that the project is the development of raw land to be sold on the map selling system, the Secretariat will carry out the assessment of the land by three real estate assessors for the adoption of the least price.
The second item stipulates: in the event that the project is the development of raw land to be sold on the map selling system, a bank guarantee of 20% of the real estate assessment should be provided, then the guarantee would be liquefied and transferred in case of approving the issuance of the license .
Meanwhile, the Ministry confirmed that it is prohibited to offer any real estate units for sale on the map outside the Kingdom, as well as making advertisement or marketing such units through the media, or exhibitions without getting an official license from the Committee, calling on all companies and institutions to comply with the provisions and controls of the foreign real estate marketing inside the Kingdom.
It is noteworthy that the early sale of real estate units on the map is one of the ways to own a real estate property, which allows the buyer to get the real estate unit at a lower cost, as well as it allows the real estate developer to obtain the necessary fund through the payments of the buyers.
MCI, represented by the committee of selling real estate units on the map, is working on re-examining and developing all procedures and regulations related to the projects of selling on the map according to its competences in cooperation with the relevant authorities, as part of its commitment and interest that these procedures and regulations must be supportive and stimulating to all kinds of the real estate development projects, such as residential, commercial, industrial, tourism and others.