When you buy in Dubai there are costs on top of the property price. Knowing them from the start avoids surprises and lets you work out your investment realistically.
The DLD registration fee
It is 4% of the purchase price. On a property of AED 1,500,000, that is AED 60,000. A fixed administrative fee is added. Amounts can be updated, so confirm the current ones before you finalise your numbers.
Off-plan registration
If you buy off-plan, registration is done in Oqood and has its own processing fees. Ask what they are on your project and whether the developer includes them or charges them separately.
Cost checklist to add up
- Property price.
- DLD registration fee (4%) and administrative fees.
- Oqood fees if off-plan.
- Developer admin fees, if any.
- Agency commission, if you are charged. On off-plan it is usually paid by the developer.
- If there is a mortgage: valuation, mortgage registration and bank charges.
After buying
Once you have the keys there are recurring costs: service charge, utilities, maintenance and insurance. If you plan to rent, work out the net yield with everything included. If any item is unclear, we will break it down for your specific case.
An example to add up. Price: 1,500,000. DLD fee: 60,000. Administrative and Oqood fees: as currently in force. First-year service charge: depends on your unit. Add it all on one sheet before you reserve. If you do not know something, ask and get the answer in writing.