Opening a real estate agency in Algeria: approval, conditions and steps

To open a real estate agency in Algeria, you need a real estate agent approval and trade register registration. Since 2019, the wali issues the approval for five years, on an application filed with the wilaya's housing directorate. The conditions come from Executive Decree No. 09-18 of 20 January 2009, amended several times. Among them: a diploma, Algerian nationality with residence in Algeria, a guarantee deposited with a bank, liability insurance and suitable commercial premises.

Content checked on

In short

Issued by
The wali, after the wilaya board's opinion
Where to apply
The wilaya's housing directorate
Validity
5 years, renewal tied to annual reports
Bank guarantee
150,000 DA for an agency, 100,000 DA for a broker
Minimum age
25
Wali's answer
Within 2 months of the application
Contents
2009 executive decree regulating the real estate agent profession
09-18
approval validity since Executive Decree No. 19-242 of 2019
5 years
bank guarantee for a real estate agency (order of 12 July 2009)
150,000 DA
time the wali has to answer the application
2 months

Three real estate agent professions

Decree No. 09-18 uses the term "real estate agent" for three different professions (art. 4). Each has its own diploma requirement and guarantee amount.

  • Real estate agency: it looks for clients to sell, rent or exchange the properties entrusted to it, promotes them and carries out the steps that come before the contract on its clients' behalf.
  • Real estate broker: it puts one person in touch with another for a purchase, sale, rental or exchange.
  • Property manager: it lets premises, collects rents and service charges, maintains the premises and has works carried out.

The mandate between the agent and the client must be in writing and set out each party's rights and duties (art. 35).

What the texts say

Conditions to meet

  • Be at least 25 years old (Decree No. 09-18, art. 8).
  • Hold Algerian nationality and live in Algeria. For a company: be incorporated under Algerian law, with all the capital held by Algerians living in Algeria (art. 5 bis).
  • Hold a higher education diploma in law, commerce, economics, accounting, real estate or a technical field for a real estate agency or property manager; for a broker, a higher technician diploma in commerce, accounting, real estate or a technical field (art. 8, as worded in 2011).
  • Offer guarantees of good character, not be barred from practising after a conviction, and not have gone through court-ordered liquidation.
  • Make a permanent guarantee deposit with a bank, covering your commitments to clients.
  • Take out professional civil liability insurance.
  • Have commercial premises suited to the profession, of an appropriate size and equipped with means of communication (art. 9).
ProfessionGuarantee
Real estate agency150,000 DA
Property manager150,000 DA
Real estate broker100,000 DA
Guarantee by profession (interministerial order of 12 July 2009)

The guarantee is deposited with a bank or an approved financial institution. You hand in the bank's certificate once the approval board has accepted your file. You can recover it no earlier than two years after a recorded end of business, on a certificate from the housing administration (order, art. 4, 5 and 7).

The approval file

You file the application with the wilaya's housing directorate, which gives you an acknowledgement of receipt (Decree No. 09-18, art. 10, as worded in 2019).

7 documents0 / 7

After the board's favourable opinion, you show proof of the premises (art. 9, as worded in 2011) and the bank document for the guarantee (2009 order, art. 5).

Approval before or after the trade register?

Decree No. 09-18 requires both the approval and trade register registration (art. 6). Since 2018, Law No. 04-08 allows registration without presenting the approval, unless a law says otherwise, but the business cannot start without the approval. For a company, the approval file includes the articles and the legal notice of formation, so the company exists before you apply. As a sole trader, ask the CNRC (trade register centre) office when it registers the activity.

The steps

  1. 1

    Check the conditions

    Diploma, nationality and residence, age, commercial premises and the guarantee amount.

  2. 2

    Reserve the company name

    For a company, request the name certificate from the CNRC.

  3. 3

    Form the company

    Articles with a notary, registration and legal notice of formation: the approval file asks for them.

  4. 4

    File the approval application

    At the wilaya's housing directorate, against an acknowledgement of receipt.

  5. 5

    Inquiry and board review

    The security services give their opinion within a month; the wilaya board reviews the file.

  6. 6

    Complete the file

    After the favourable opinion: proof of premises and the bank certificate for the guarantee.

  7. 7

    Receive the approval and card

    After paying the tax: entry in the wilaya register of real estate agents and the professional card from the wali.

  8. 8

    Start within 6 months

    Then tax, NIS (statistical number) and CASNOS (self-employed social security) if not done yet.

Refusal and appeal

The wali answers within two months of receiving the application, and any refusal must state its reasons (art. 13). The approval is refused if the conditions are not met, if the inquiry is unfavourable or if the applicant has already had an approval permanently withdrawn (art. 12). You have one month from notification to send a written appeal to the wali, with new information; the wali decides within the following month (art. 14).

Approval validity and obligations

The approval lasts five years and covers the whole country. Renewal requires your annual activity report to have been sent each year (art. 16 and 30). It is personal, revocable and non-transferable, and cannot be rented out (art. 15).

  • Start within 6 months of the approval, or face suspension or withdrawal, except in a case of force majeure (art. 32).
  • Keep a register of all your transactions, numbered and initialled by the wilaya's housing directorate, for at least ten years (art. 28).
  • Display your fee scale where clients can read it (art. 28).
  • Carry your professional card at all times and keep a complaints register available to clients (art. 29).
  • Send the wilaya's housing directorate a detailed annual report with figures on your business (art. 30).
  • Respect professional confidentiality (art. 33).
TransactionFee
Sale of a property worth 1,000,000 DA3%
Sale of a property worth 5,000,000 DA or less2%
Sale of a property worth more than 5,000,000 DA1%
RentalOne month's rent per year of the lease
Agency and broker fees set by Decree No. 09-18 (art. 34)

The property manager sets the fee in an agreement listing the services provided (art. 34).

Penalties

The wali can withdraw the approval temporarily, for up to six months, for unjustified failure to honour written commitments to clients or for breaking the profession's rules. The wali withdraws it permanently for serious, repeated breaches, if the approval conditions are no longer met, or if a suspension or end of business is neither justified nor reported within twelve months (art. 37). After a conviction for tax fraud or exchange control offences, or a court-ordered liquidation, the agent must stop all activity and the approval is withdrawn automatically (art. 38). Any false statement is punished under the criminal code (art. 39).

Carrying on a regulated activity without the required approval is punished by a fine of 50,000 to 500,000 DA; the court also orders the premises closed, then removal from the trade register if the situation is not put right within three months (Law No. 04-08, art. 40).

Three ways to get it done

Do it yourself with this guide, have your setup forms filled in, or hand us the whole file.

  1. 1I do it myself

    The free guide

    Everything you need is on this page: documents, deadlines, a filled-in example.

  2. 2We fill them in for you

    Setup form filling

    We fill in your business setup forms, for one price. You submit them yourself.

    • Beneficial owner declaration
    • Trade register, legal person
    • G n°8
    • NIS application

    5,000 DAthe 4 setup forms of a company

    Get it filled in
  3. 3We handle everything

    Full support

    We follow every setup step: 50,000 DA for a sole trader, 60,000 DA for a company, 10,000 DA less if your address is with Neuron.

    From 40,000 DA

    Start my setup

Company setup support

Name reservation, articles, trade register, NIF, NIS, CASNOS: we follow the file with you.

  • Sole trader: 50,000 DA, company: 60,000 DA
  • 10,000 DA less if your registered address is with Neuron, even from abroad
  • From abroad: 70,000 or 80,000 DA

From 40,000 DA

Frequently asked questions

Who issues the real estate agent approval in Algeria?

The wali, since Executive Decree No. 19-242 of 8 September 2019. You file the application with the wilaya's housing directorate; a wilaya board gives its opinion and the wali answers within two months.

What diploma do I need to open a real estate agency?

A higher education diploma in law, commerce, economics, accounting, real estate or a technical field. For brokerage, a higher technician diploma in commerce, accounting, real estate or a technical field is enough (Decree No. 09-18, art. 8).

How much is the guarantee?

150,000 DA for a real estate agency or property manager, 100,000 DA for a broker, deposited with a bank (interministerial order of 12 July 2009). The money stays yours: it secures your commitments and can be recovered no earlier than two years after you stop trading.

How long is the approval valid?

Five years, across the whole country. Renewal requires the annual activity report to have been sent each year to the wilaya's housing directorate.

Can a foreigner open a real estate agency in Algeria?

No. Since 2010, the profession is reserved for Algerian nationals living in Algeria and for companies under Algerian law whose entire capital belongs to Algerians living in Algeria (art. 5 bis).

Can I domicile my real estate agency?

Not to operate it. The decree requires commercial premises suited to the profession, of an appropriate size and equipped with means of communication. A domiciliation contract does not meet this condition.

Can Neuron help me?

Neuron handles company formation: 50,000 DA for a sole trader, 60,000 DA for a company, official fees excluded (70,000 or 80,000 DA from abroad). Neuron can also fill in your setup forms (5,000 DA for a company, 2,000 DA for a sole trader), which you file yourself. For the approval file, price on WhatsApp. The wali issues the approval itself.

Official sources

  1. [1]Executive Decree No. 09-18 of 20 January 2009 regulating the real estate agent profession, Official Journal No. 6 of 25 January 2009
  2. [2]Executive Decree No. 09-322 of 8 October 2009 and interministerial order of 12 July 2009 (guarantee), Official Journal No. 59 of 14 October 2009
  3. [3]Executive Decree No. 10-154 of 17 June 2010, Official Journal No. 39 of 23 June 2010
  4. [4]Executive Decree No. 11-296 of 18 August 2011, Official Journal No. 48 of 24 August 2011
  5. [5]Executive Decree No. 19-242 of 8 September 2019, Official Journal No. 55 of 15 September 2019
  6. [6]Law No. 04-08 of 14 August 2004 on the conditions for carrying on commercial activities (art. 40), Official Journal No. 52 of 18 August 2004
  7. [7]Law No. 18-08 of 10 June 2018 amending Law No. 04-08 (art. 25), Official Journal No. 35 of 13 June 2018

Written and checked by the Neuron Cowork team, Dely Brahim. Checked on .

Our editorial policy
Send this page on WhatsApp(to yourself or a partner)

This is general information, checked on the date shown. Rules change: if in doubt, the official text cited prevails.

Read next

Shall we talk on WhatsApp?

Describe your situation in a few lines. We reply Sunday to Thursday, 9am to 5pm (Algiers time).