How buying property in Dubai actually works

Most guides to buying in Dubai stop at "sign the MOU and pay 4%". That leaves out the parts that decide whether your purchase completes on time, or at all. Here is the whole sequence for a ready property bought from an owner, with what each stage costs and where it goes wrong.

Two things decide how it will go, and both are settled before you view anything. Is the property ready or off-plan? A ready property is bought from an owner and the seven stages below apply. Off-plan is bought from the developer, follows a payment schedule into escrow, and skips two of these stages entirely. Are you financing? A mortgage adds a valuation, and the valuation is where more Dubai transactions collapse than at any other point.

1. Agree terms and sign Form F

Form F is RERA's standard contract of sale. Everything before it is conversation.

Form F, the Memorandum of Understanding, is the standard contract published by RERA for a sale between two parties. It sets the price, the deposit, the target transfer date and who carries which cost.

Behind it sit Forms A, B and I, which register the agency relationships: the seller with their agent, the buyer with theirs, and the two agents with each other. If an agent cannot show you a Form A for the property, they are not instructed to sell it.

Read the completion date clause carefully. It is the clause that decides what happens when the seller's bank is slow, and it is the clause most often left at a default that suits neither party.

Who signs: Buyer, seller, and both agents
Cost: No fee for the form itself
Typical timing: Same day, once terms are agreed

Where it stalls. Sellers who have not asked their bank for a settlement figure. If the mortgage outstanding is higher than they think, the sale can be underwater at the agreed price and everything stops.

2. Place the 10% deposit

A security cheque, not a payment. Who holds it matters more than most buyers realise.

The buyer provides a manager's cheque for 10% of the price. It is security against the buyer walking away, not an instalment, and it should not reach the seller's account before transfer.

Convention is that the seller's agent holds it. Establish in writing what triggers its release and what triggers its return, because Form F alone does not always spell this out.

If either side defaults, the deposit is the agreed remedy. That cuts both ways: it is also roughly what you can expect if the seller changes their mind.

Who signs: Buyer issues; seller's agent holds
Cost: 10% of the price, held rather than spent
Typical timing: At or immediately after Form F

Where it stalls. Ambiguity about who holds the cheque and on what condition it is released. Settle this before handing it over, not after.

3. Mortgage pre-approval, then valuation

Pre-approval comes before Form F. The valuation that follows is where deals most often collapse.

Get pre-approval before you sign anything. It tells you your real budget and it makes your offer credible.

Once you are under contract, the bank instructs its own valuation. The bank lends against that valuation, not against the price you agreed.

If the valuation lands below the agreed price, the shortfall is yours to fund in cash on top of your deposit. On a property agreed at AED 3,000,000 valued at AED 2,850,000, you find the AED 150,000 difference yourself, or you renegotiate, or you walk.

Loan-to-value caps differ for residents and non-residents, and by whether it is your first purchase. Confirm your specific cap with the lender rather than relying on a published figure.

Who signs: Buyer and lender
Cost: Valuation typically AED 2,500–3,500; arrangement fee around 1% of the loan
Typical timing: Pre-approval 3–7 days; valuation 3–5 days after instruction

Where it stalls. The valuation shortfall. It is the single most common reason a Dubai transaction falls apart, and it surfaces only after you are committed.

4. The seller clears their mortgage

The longest and least predictable stage. Bank timelines are outside everyone's control.

A property cannot transfer with a charge on it. If the seller has a mortgage, it must be settled and the bank must release the title deed first.

In practice the buyer often funds the settlement directly to the seller's bank before transfer, against a liability letter stating the exact figure and its expiry date. That letter is time-limited, which is why delays here cascade.

Where the buyer is also financing, the two banks have to coordinate. Build slack into the Form F completion date for this.

Who signs: Seller and their bank; buyer funds the settlement
Cost: Early-settlement charge, typically capped at 1% of the outstanding balance
Typical timing: 5–10 working days, sometimes longer

Where it stalls. Bank processing times, and liability letters that expire before the transfer is booked. Neither agent can accelerate a bank.

5. Obtain the developer's NOC

The developer confirms service charges are clear. Arrears become visible here and nowhere earlier.

The No Objection Certificate is the developer's confirmation that nothing is outstanding on the unit and that they do not object to the transfer.

The application usually needs the title deed, both parties' identification, Form F and the settlement of any service charge arrears.

Service charges are billed per square foot and vary widely between buildings. Ask for the current rate and the last two years of statements before you reach this stage. Not because the NOC will fail, but because the ongoing cost is a real part of what you are buying.

Who signs: Seller applies; developer issues
Cost: AED 500–5,000 depending on the developer
Typical timing: 3–10 working days

Where it stalls. Unpaid service charges. They must be cleared before the NOC is issued, and the amount is often larger than the seller has admitted.

6. Transfer at the DLD trustee office

Both parties attend in person or by power of attorney. About an hour, if the paperwork is right.

Transfer happens at a Dubai Land Department registration trustee office, which is a private office licensed to process registrations on DLD's behalf rather than a government counter.

The buyer brings manager's cheques for the balance, made out as the trustee directs. The DLD transfer fee and trustee fee are paid here.

You do not need to be in the country. A properly notarised and attested power of attorney lets a representative sign for you, but it must be drafted for this purpose specifically. A general POA is often rejected.

Who signs: Buyer and seller, in person or by POA
Cost: 4% DLD transfer fee, plus trustee fee of roughly AED 4,000 including VAT
Typical timing: One appointment, about an hour

Where it stalls. Cheques drawn incorrectly, an expired liability letter, or a POA that does not specifically authorise property transfer.

7. Title deed issued

Issued electronically, usually the same day. You are the registered owner.

The title deed is issued in your name, normally within hours of the transfer appointment. It is a digital record, so there is no paper certificate to safeguard.

Handover of keys and access is arranged separately with the seller or the building management. Register for the utilities and, if you intend to let the property, for Ejari.

Keep the title deed, the Form F and the transfer receipt together. You will need them for a future sale, for a mortgage, and for a Golden Visa application if the value qualifies.

Who signs: Issued by DLD to the buyer
Cost: Title deed issuance AED 580 for apartments and offices
Typical timing: Same day in most cases

Where it stalls. Rarely anything. If the transfer completed, this is administrative.

What it costs to transfer

Budget 6.5% to 7% of the purchase price in total if you are paying cash, and 7.5% to 9% if you are financing. The 4% transfer fee is the part everyone knows about; the rest is what surprises people.

Item	Typical amount	Usually paid by
DLD transfer fee	4% of the price	Buyer. Nominally split 2% each, but market practice is that the buyer pays all of it.
Registration trustee fee	≈ AED 4,000 + 5% VAT	Buyer. Lower for properties under AED 500,000.
Title deed issuance	AED 580	Buyer. Apartments and offices. AED 430 for land; AED 40 for an off-plan Oqood registration.
Agency commission	2% + 5% VAT	Buyer. Customary rather than fixed. It is negotiable.
Developer NOC	AED 500–5,000	Seller. Varies by developer. Who pays is negotiable and should be written into Form F.
Mortgage registration	0.25% of the loan + AED 290	Buyer. Only if you are financing.
Bank valuation	AED 2,500–3,500	Buyer. Only if you are financing.

Source: Dubai Land Department published fee schedules, as of January 2026. Fees change, so confirm current figures with the Dubai Land Department before you budget.