Can you buy or rent property in the UAE without an estate agent?

Founders of DIY digital platform say it offers cost savings by doing away with broker commissions

New DIY platforms in the UAE allow users to bypass estate agents. Getty Images

Deepak Shetty wanted to list his one-bedroom townhouse in Dubai’s Jumeirah Village Triangle for sale, but he did not sign up with popular property portals as they do not accept listings from individual owners.

“I have worked with real estate agents in the past and at times the process tends to involve multiple parties and gets quite complicated,” says Mr Shetty, deputy general manager of sales and operations at a UAE supermarket chain.

“While agents add value with their insights, I’ve also had to deal with a lot of agents who lack experience and training, and I feel the 2 per cent commission is not completely justified.”

Most people's first contact with an estate agent in the UAE is usually with whoever has listed a property that attracts their interest on online portals.

Users are advised to only deal with agents or brokers registered with the Real Estate Regulatory Agency in Dubai. Registration is in the form of a number that can be looked up on the Dubai Land Department website. Dubai hosts 22,610 licensed property brokers.

However, Mr Shetty opted to sign up with Gllit, a commission-free property transaction platform that was launched in the UAE this year. It allows buyers and tenants to directly communicate with property owners, removing traditional commission fees. Sellers and landlords also do not pay commission or fees to register or add properties to the site.

“In May, I decided to list with Gllit to save on commission and listing fees,” says Mr Shetty. “Since the platform is new, I also signed up with a couple of real estate agents. I received a few queries through Gllit, which translated to a couple of viewings and an offer, but it was lower than my expectation and I declined it.”

Anil Sharma has also used the platform to search for villas for sale and rent. He prefers it to other property listing portals because it allows him to deal directly with owners and he does not have to pay commission.

“Apart from the commission fees, what I don’t like about other listing websites is that they don’t allow me to deal directly with the property owner as all conversations are managed by agents,” says Mr Sharma, who works in insurance.

“I believe cutting out the broker will streamline a real estate transaction. Agents do add value, but most of the information and analysis they provide is available online. I would rather save my money by not paying the commission and do the research myself.”

Gllit co-founders Arijit Sen and Smriti Tripathi say their company is not in competition with estate agents, but instead offers another option for consumers.

“A year ago, a buyer, seller, tenant or landlord did not have an option to go on their own,” Mr Sen says. “In an evolved market like the UAE, as a homeowner, one should be able to list their property and then sell on their own. That option did not exist.

“There are listing platforms, which allow an individual to take charge only at the very first step of their journey. After that, it's taken over by an agent or agency. This is where we come in. If a consumer wants to do a transaction alone, they need to have that choice. It’s about co-existence and catering to a segment that exists but has not been tapped.”

Besides having to deal with multiple agents, customers also struggle with dummy listings where they like a property only to be told by the agent that it is no longer available. “These are issues we are trying to address,” Ms Tripathi says. “Since there are no intermediaries, there is no chance of miscommunication.”

Users can sign up for free on Gllit and list a property. But the co-founders have a few monetisation models in mind for the future, including a nominal sign-up fee “to ensure serious traffic” and a listing charge.

In contrast, for a sale in the UAE, the 4 per cent commission is typically split equally between the seller and the buyer. For rental transactions, the tenant pays 5 per cent of the contract value as commission.

Gllit is in the process of signing up with developers to increase the number of listings. Its initial focus was the secondary market to obtain listings directly from homeowners. In the future, it will also add property management companies to cater to the rental market.

When they list a property, users are asked to provide a copy of their identity documents and upload the title deed. This data is cross-checked with the DLD records. The listing goes live only after the documents are verified.

“The current real estate journey is very fragmented, because you have to deal with multiple entities,” Mr Sen says. “It involves a listing platform, multiple real estate agents, conducting viewings, speaking to a mortgage specialist, searching for a mortgage aggregator portal or individual bank websites, and the final closure of the deal.

“On our platform, there are options for a user to directly call the homeowner, do a video call for virtual tours, a calendar to schedule viewings, chat, a virtual helpdesk and resource centre for documentation and paperwork requirements.

“We also have complementary tools like a mortgage calculator and a list of available home loans. Our mortgage consultant will examine the application form you submit and shortlist banks at no extra cost. As a value add, they will even add recommendations if a better product is available.”

Other services include legal, insurance and property consultancy. This comes at a certain cost, which is a fraction of the 2 per cent commission, according to Mr Sen.

The consultant can help with viewings, the final sale or drafting and checking the contract, he says. Reducing the number of conversations and parties involved in a transaction immediately translates to greater transparency and lesser fragmentation, he adds.

Mr Sen also highlights that the UAE’s younger demographic are comfortable using digital channels to complete a transaction. In 2023, 64 per cent of property buyers in Dubai were aged between 26 and 45, a 15 per cent increase compared to 2019, he says, quoting DLD data.

There is also a huge segment of the population that is price sensitive. For example, someone on a budget between Dh500,000 ($136,147) and Dh3 million will make a significant saving on commissions that they can put to great use, Mr Sen adds.

However, Zarah Evans, co-owner and managing partner of Exclusive Links Real Estate Brokers, says the value a property broker brings to the table cannot be overlooked. One significant limitation of online platforms could be a lack of local market knowledge, she says.

“Traditional local estate agents often have a deeper understanding of the area, which can be invaluable in setting the right asking price and marketing the property effectively,” says Ms Evans.

“Real estate transactions are not just about buying or selling property. They involve in-depth knowledge of market trends, legal requirements and negotiation tactics that only experienced agents can provide. This expertise ensures smoother transactions and helps clients avoid potential pitfalls. Skipping a broker could lead to mistakes in pricing, legal oversights, or even longer selling times.”

Meanwhile, John Lyons, managing director of Espace Real Estate, says brokers provide access to on-market and off-market properties, ensuring buyers explore all options and make informed decisions. This is something that platforms alone cannot offer, he claims.

“The primary value brokers bring to property transactions, which DIY platforms can’t replace, lies in their expertise, market access, and professional management,” Mr Lyons says.

“Buyers and sellers often go through a process of price discovery, where brokers play a critical role as impartial guides, helping both parties reach a fair agreement. Without this, direct negotiations can become challenging due to differing opinions on value, often leading to conflict or frustration.”

Additionally, Mr Lyons says that brokers manage the time-consuming aspects of a transaction, from scheduling multiple viewings to identifying serious buyers and sellers. This streamlines the process and avoids inefficiencies, which can otherwise increase with non-qualified parties involved, he adds.