Property Portals Raise Prices For All Listings By 30–40%.
Sources report that some of the top real estate listing websites have raised their rates or plan to do so soon. The power of portals has increased because of recent modifications to Dubai’s property advertising regulations. The number of brokers and agencies permitted to represent and list any given property has been restricted by directives issued last week by the DLD. As of October, there can only be e agents involved in any one transaction for any such listing.
Permits that must be obtained in advance from the Land Department must be listed on these listings. The modifications will effectively end the practice of having more than three agents market a single property. All listings must be taken down as soon as possible after being sold.
An estate agent claimed that the Dubai government was increasing transparency in the advertising and sale of real estate. “Requiring prior permission and capping the agents per property” is one of the changes.”
Quick Rate Raise
For every rental property listing on top portals, advertising costs have increased from Dh60 to Dh300-Dh400. This suggests that once the new regulations set forth by the Dubai Land department go into effect, the number of ads will significantly decline. The removal of duplicate or fraudulent listings is another requirement for portals. Broker renegotiating terms with the portal: “Portals will still give bulk discounts.” Users of these portals will gain from greater accuracy and the chance to more accurately assess market trends at the floor level.
Following this, it was anticipated that real estate portals would increase the cost of their advertising. Multiple brokers did this because the new rules would have reduced the number of listings. The difference would have needed to be made up by portals increasing their per-listing fees. Brokers, however, thought that would happen only by the following month.
Khan stated, with portals, we are currently negotiating to offer some flexibility. They did so earlier to enable us to continue serving our clients and luring capital into the real estate sector. These increases would reduce our margins because the lead conversion rate is already quite low. We anticipate a successful compromise.