Ministries preparing for launch of Ejar program

Ministries preparing for launch of Ejar program
Updated 23 July 2016
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Ministries preparing for launch of Ejar program

Ministries preparing for launch of Ejar program

JEDDAH: The Ministries of Housing, Labor and Social Development, and Interior are working on completion of regulations related to the Ejar program in preparation for its activation.
The head of the program, Engineer Mohammed Al-Bati, said the program and its standard contract will be announced soon, as well as the requirements for joining the program, the launch date, and the effective date of implementation. A mechanism for support for citizens unable to pay housing rents will also be announced, he said, noting that the program is one of the strategic initiatives that the ministry is currently working on to restructure and organize the housing sector in the Kingdom.
Ejar ensures all parties in the rental process are protected, including the lessor, the lessee and the broker through issuance of a binding electronic contract. If any of the terms of the contract are breached, necessary legal action will be taken as per the regulations.
The program is also linked to the Sama and Sadad systems, allowing for payment of dues, as well as providing various payment options including monthly, quarterly, or annual payment instalments. Subscribers can also link their electricity bills until completion of the contract period, while contracts are completed via approved real estate offices.
The program also aims to reduce the volume of issues and cases at the Ministry of Justice related to leases through creation of a strong legal framework, as well as support the national economy through creation of appropriate mechanisms to regulate the residential and commercial rental market.
The Council of Ministers has approved a number of regulations and controls that include requiring licensed real estate brokers to register all housing and commercial unit rent contracts electronically, as well as implementing a program to guarantee support for citizens who are unable to meet housing rent payments.