A striking render and a persuasive sales agent aren't due diligence. Eight checks to run before you sign for an off-plan unit in Dubai.
A striking render and a persuasive sales agent aren't due diligence. Off-plan buying in Dubai is more structured and buyer-protected than in many markets, but the protections only work if you actually use them. Below is a step-by-step checklist to run through before you sign anything.
What to check, in brief:
- the project and developer's DLD/RERA registration and escrow account
- the developer's track record on past projects
- the payment plan against construction milestones
- freehold status of the specific building
- the transfer fee and total acquisition cost
- the service-charge estimate for the community
- Oqood and title-deed registration
- the handover inspection
1. Confirm DLD/RERA registration and the escrow account
Every legitimate off-plan project must be registered with the Dubai Land Department and RERA, with buyer funds held in a project-specific escrow account. Ask for the project's registration details and confirm them independently rather than taking a brochure's word for it — your agent or lawyer can check this against DLD's own records.
2. Check the developer's delivery history
Look at the developer's completed projects, not just the one being sold to you: how many were delivered on the stated date, how they communicated about delays when they happened, and whether there's a pattern of disputes. A long, unremarkable history of on-time handovers is the strongest signal available.
3. Review the payment plan against construction milestones
Compare the payment schedule in the Sale and Purchase Agreement (SPA) against the actual construction milestones it's tied to, and note clearly how much — if any — is due after handover. A plan that looks cheap upfront can mean a larger post-handover obligation than you expect.
4. Confirm freehold status
Foreign buyers can only hold full ownership within Dubai's designated freehold areas. Confirm the specific building sits inside one before you pay a deposit — this should be a simple, verifiable fact, not something taken on trust.
5. Understand the fees
The DLD transfer/registration fee is 4% of the price, plus registration and admin charges of roughly AED 4,780 for properties above AED 500,000. Including agency and other costs, total acquisition costs commonly run 6–8% of the purchase price — budget for the full figure, not just the headline price.
6. Check the service-charge estimate
Ask for the actual current service-charge rate for the specific building or community, not a citywide average, and run your own cost and yield math against it rather than the number in a sales presentation.
7. Follow the registration steps
Off-plan purchases are typically registered initially through an interim (Oqood) registration, then converted to a full DLD title deed once the unit is completed and handed over. Confirm each step is actually completed, not just promised.
8. Inspect before final acceptance
Before signing off on handover, inspect the finished unit against the specification in your contract and note any defects (snagging) in writing, with a clear timeline for the developer to fix them, before you accept the keys and connect utilities.
FAQ
How do I verify a project is legitimate? Confirm its DLD/RERA registration and escrow account independently, not from the brochure alone. What fees should I budget beyond the price? The 4% DLD transfer fee plus registration charges, plus agency fees — total acquisition costs commonly run 6–8% of the price. Can I buy any building as a foreigner? Only inside Dubai's designated freehold areas — confirm the specific project qualifies. What happens if handover is delayed? Escrow protects your money from misuse, not the calendar; your recourse for delays runs through RERA or the courts, so check the developer's track record upfront. Should I inspect the unit before accepting it? Yes — document any defects in writing before final handover and keys.
How we help
We verify a project's registration and the developer's delivery history before recommending it, check that a building is freehold-eligible, and walk through the payment plan and fees with you line by line. Informational only, not legal or investment advice — rules, fees and market conditions change, and we confirm the current details before you commit.