Buyer's
Guide

The most important thing to do when you start looking for a property to buy is get your budget set. If you are buying in cash make sure you have the money available to you here in the UAE for the time of transfer.

If you need a mortgage then you need to speak to a mortgage advisor and have them arrange Pre-Approval for you from the bank which tells you how much you can spend. Remember if you are getting a mortgage you will need a minimum deposit of 25%.

Once you’ve set your budget find a RERA qualified broker that you trust and get to work finding your ideal home or investment property. You will sign a Form B contract with your broker to represent you in the upcoming negotiations.

Once you’ve found a property you love and are ready to make an offer move quickly. Being ready to move quickly will put you in a stronger negotiating position so have your mortgage pre-approval ready and the 10% deposit you will need to secure the unit.

Once both parties are agreed on price, they will enter in to a legally binding agreement called an MOU (Memorandum of - Understanding), referred to by RERA as a Form F. This will be done via the Dubai Brokers App and at this stage you will be asked to produce a current dated cheque in the name of the seller as a 10% deposit and a PDC in the name of the brokers company for the commission. The MOU should include ALL elements of the contract you are entering into such as paid rent or service charges and the length of time allowed until transfer.

In most cases you will engage the services of a professional conveyancer to assist with the sales process. Good conveyancer will hold your hand every step of the way.

Prior to the purchase the seller will need to obtain an NOC from the developer who built the property which will ensure the property is free from any outstanding service charges.

If there is a mortgage on the property you are buying you will go through “blocking”. The seller will obtain a liability letter from their bank and you will come to the DLD to “block” the property with four cheques – one in the name of the seller’s bank for the outstanding mortgage, one in the name of the seller for the remainder of the purchase price , one in the name of the DLD for the transfer fees of 4% and last manager cheque in the name of the agency.

It's transfer day! You will meet down at the transfer office with your broker, conveyancer and the seller. Property purchases can only be made in cash or by managers cheques so chances are you will have your managers cheques ready. Remember you will also need a cheque for 4% of the value of the property for the DLD transfer fees and cash for the DLD office as administration fees. Once the transfer is complete the sale is registered with the DLD and you will receive your new Title Deed and all keys/access cards to your property.

Congratulations. You are now a homeowner! You will need to make sure all utilities are registered under your name. You better start planning the housewarming party.