Step-by-Step Property Buying Process in Dubai 2025

The Complete Guide to the Property Buying Process in Dubai

Buying property in Dubai is an exciting journey, but it can also feel overwhelming for first-time buyers and seasoned investors alike. From initial interest to final title registration, understanding each step of the property buying process ensures smoother transactions, legal protection, and financial clarity. This guide will walk you through every stage, helping you make informed decisions with confidence.

Expression of Interest (EOI)

The property buying process usually begins with an Expression of Interest, commonly known as EOI. This step allows potential buyers to show interest in a property before it is officially launched.

Paying an EOI fee demonstrates your genuine intent to purchase and gives you priority in selecting units on launch day. Typically, developers refund the EOI if you decide to cancel, usually within 2–6 weeks. However, it’s essential to confirm the refund policy with the developer before submitting the fee.

Benefits of EOI

Priority in unit allocation on launch day
Early insight into project details and payment plans
Potential access to pre-launch discounts

EOI Amount and Required Documents

EOI amounts vary depending on the property type and developer. For regular units, fees usually range from AED 5,000 to 50,000, while luxury units may require higher deposits. Some developers even deduct the EOI from the down payment once you proceed with the purchase.

Required Documents

Passport copy
Visa copy (if applicable)
Email and phone number
Proof of address and source of funds for KYC/AML purposes

Submitting a higher EOI or early application can improve your chances of getting preferred units.

Unit Allocation

Once your EOI is accepted, the next step is unit allocation. This step involves confirming unit details and proceeding with the reservation.

Key Considerations

Check floor plans, net and gross area
Review floor level, parking options, and unit view
Understand delivery condition (fitted, furnished, or appliances included)
Confirm service charges, timeline, and payment plan details

Careful review during this stage ensures that the unit matches your expectations and long-term investment goals.

Developer Prerequisites

Before reservation, developers require completion of several prerequisites, including full KYC verification, proof of funds, and compliance with regulatory requirements. Providing accurate documentation at this stage prevents delays later in the buying process.

Down Payment and DLD Fees

Once the unit is allocated, buyers are required to make a down payment, typically 20% of the property price, which is deposited into a project escrow account.

Dubai Land Department (DLD) Fees

Standard DLD registration fee is 4% of the property value
Some developers offer promotions to waive or rebate this fee

Paying the down payment into an escrow account protects your funds and ensures compliance with Dubai’s property regulations.

Escrow Account

Dubai regulations mandate that developers use escrow accounts to secure buyer funds until construction milestones are met.

Key Points

Funds are released based on certified construction progress
Protects buyers from project delays or financial mismanagement
Offers transparency in payment tracking

Escrow accounts provide peace of mind for buyers investing in off-plan properties.

Installment Plans

Developers offer flexible installment plans to match buyers’ cash flow and reduce financial strain. Popular options include:

20/80: 20% upfront, 80% on completion
30/70, 40/60, 50/50, or 10/90 (post-handover)

Choosing the right installment plan depends on your budget, financial strategy, and risk tolerance.

Additional Fees

Beyond the down payment and DLD fees, buyers may incur additional charges such as administrative, trustee, or innovation fees. Developers typically disclose these costs upfront, ensuring transparency and helping you plan your budget accurately.

Financing

If you require a mortgage, stage-based financing is common for off-plan properties.

Financing Highlights

Drawdowns are aligned with construction milestones
Loan-to-Value (LTV) ratios for off-plan properties are usually lower
Early financial planning ensures smoother approvals and disbursement

Proper alignment between your financing plan and the developer’s payment schedule prevents delays and penalties.

Booking and Sales Purchase Agreement (SPA)

Once financing and payments are in order, buyers proceed to booking and sign the Sales Purchase Agreement (SPA).

SPA Key Components

Unit details and total price
Applicable discounts and offers
Payment schedule and penalties for delays
Target handover date and inclusions
Oqood registration, utilities, and administrative fees
Escrow account details and signing deadlines

Reading the SPA thoroughly ensures clarity on legal obligations and helps prevent misunderstandings.

Oqood Registration

After signing the SPA, the developer registers the property with the Dubai Land Department through Oqood, typically within 45 days.

Importance of Oqood

Confirms the official registration of the off-plan sale
Protects the buyer’s rights until final title deed issuance
Enables tracking of project and payment progress via the DLD portal

Reselling Before Handover (Assignment)

Many investors choose to resell off-plan units before handover, known as assignment.

Key Requirements

Usually requires at least 30–40% of the purchase price paid
No Objection Certificate (NOC) from the developer is mandatory
DLD fees (4%) and brokerage fees (~2%) apply
Trustee manages assignment payments and ensures legal compliance

Assignments can provide flexibility for investors but require careful attention to documentation and developer policies.

Checklist: Required Documents and Notes

Personal Documents

Passport and visa copies
Proof of address, email, and phone number

Corporate Documents (if applicable)

Company license
Articles of Association (AoA)
Shareholder certificates

Additional Considerations

Escrow account name must match the project details
Budget for DLD, admin, and title issuance fees
Payment plan alignment to avoid delays
Check if DLD fee waiver affects other charges

A checklist ensures all documents and payments are in order, reducing the risk of delays or disputes during the property buying process.

Final Thoughts

Buying property in Dubai requires careful planning, due diligence, and a clear understanding of each step. From expressing interest to completing Oqood registration and considering assignment options, buyers must pay attention to financial planning, legal compliance, and developer requirements.

A structured approach not only protects your investment but also maximizes opportunities for long-term returns. Whether purchasing a primary off-plan property or investing in a secondary market unit, knowing the property buying process in detail is the key to a successful transaction.

By following this step-by-step guide, buyers can confidently navigate the Dubai real estate market, ensuring a smooth, secure, and rewarding property investment journey.

Do Follow Estate Magazine on Instagram