But exception may be granted by the (emirate's) ruler to
own property through the inheritance transition in accordance with Shariah
declaration, legitimate or waiver of the owner to a relative of the first
degree as prescribed by executive regulations of the legislation, according to
the new law.
According to the law issued by Sharjah Ruler Sultan bin
Mohammed Al-Qasimi, the Department of Real Estate Registration and its branch
offices in the emirate are only institutions tasked with registration of
contracts, papers and documents relating to the property deals in the emirate.
"They will maintain real estate records and
recording of dispositions, preparing printed contracts that require the
provisions of this law and other related matters," the law said.
"The transfer of property ownership will not be
legal unless bill of ownership is valid and registered in accordance with the
provisions of the law," the law added.
All real estate transactions, which were effected legally
before this law comes into force, are legally valid, clarified the new law.
There were rumors that Sharjah — like its neighbors Abu
Dhabi, Dubai, Ajman and Ras Al-Khaimah — may allow non-UAE nationals to own
property in the emirate. Other two emirates — Umm Al-Qaiwain and Fujairah —
have select freehold sites where foreigners can own property.
Earlier this month, a report by the property consultancy
CB Richard Ellis (CBRE) said that granting freehold property rights to non-UAE
nationals could help the northern Emirates shake off a housing slump that has
seen rents fall sharply in the recent past.
While Sharjah has suffered the steepest decline, with
rents for a three-bedroom apartment falling more than 50 per cent over the past
two years, apartment rents in Ajman, Umm Al-Qaiwain, Ras Al-Khaimah and
Fujairah have dropped by between 15 and 50 per cent during the same period.
Residential lease rents fell in the first half largely
due to "prevailing low demand levels and an ever-growing supply of stock
ready for occupation", it said.
"Real estate offerings in the Northern Emirates
continue to feel a strong influence from the Dubai market, with the
availability of significantly reduced rates and better infrastructure enough to
convince occupiers to relocate back to Dubai," CBRE said.
