Anyone can buy, in the right areas
Dubai has no restriction on foreign ownership in designated freehold areas, and no residency requirement to purchase. You do not need to live here, and you do not need a local partner.
Freehold covers most of what people are looking at: Downtown, Dubai Marina, Palm Jumeirah, Business Bay, Dubai Hills Estate, Jumeirah Village Circle, Dubai South and many more. Outside those zones, ownership is leasehold, typically for a fixed term of up to 99 years.
The practical check is simple. Before you fall in love with a unit, confirm the community is freehold. We do that as a matter of course before a property reaches your shortlist.
The costs on top of the price
The headline price is not what leaves your account. Budget roughly 6 to 8 percent above the purchase price for a cash deal, and a little more with a mortgage.
The largest single item is the Dubai Land Department transfer fee at 4 percent. It is not negotiable and it is not waivable, whatever anyone tells you.
| Cost | Typical amount | Paid to |
|---|---|---|
| DLD transfer fee | 4% of purchase price | Dubai Land Department |
| Agency commission | 2% plus VAT | Your broker |
| Registration trustee fee | AED 2,000 to 4,000 plus VAT | Registration trustee |
| Title deed issuance | AED 250 to 580 | Dubai Land Department |
| NOC from developer | AED 500 to 5,000 | The developer |
| Mortgage registration | 0.25% of loan plus AED 290 | Dubai Land Department |
| Valuation, if financing | AED 2,500 to 3,500 | Your bank |
How a purchase runs
A ready property, bought in cash, can complete in two to four weeks. Add a mortgage and it is closer to six to eight. Off plan is different: you sign, then pay to a schedule until handover.
- 01
Agree terms and sign the Form F
The Form F, also called the MOU, is the contract of sale. It sets the price, the deposit and the deadline for completion. You pay a deposit of 10 percent, usually held by the registration trustee rather than the seller.
- 02
Seller applies for the NOC
The developer issues a no objection certificate confirming service charges are settled and there is nothing outstanding on the unit. This is the stage that most often slips, because it depends on the developer, not on you.
- 03
Mortgage, if you are financing
Final offer letter, valuation and the bank issuing a liability letter if the seller has an existing mortgage to discharge. Start this before the Form F, not after.
- 04
Transfer at the trustee office
Both parties attend, manager cheques change hands, the DLD fee is paid, and the title deed is issued in your name the same day.
Off plan, and the question worth asking
Off plan buys you a lower entry price and a payment plan spread over years. It costs you certainty. You are buying a drawing and a date.
Payments go into an escrow account regulated by the DLD, released to the developer against verified construction progress. That protects your money from misuse. It does not protect you from a project running late, and many do.
The question we ask every off plan buyer: if this handed over two years after the date on the brochure, would the investment still make sense? If the answer is no, the plan is too tight.
What to verify before you commit
Ask for the title deed and check the seller named on it is the person selling. Ask for the service charge history, because a low price sometimes reflects a high annual charge. Check the DLD permit number on the advert, which is required by law and tells you the listing is registered.
For off plan, check the project is registered with the DLD, that an escrow account exists, and what percentage of construction is complete. All of it is a matter of public record.