In most cases, the acquisition of the real estate market of the Emirate and registration of necessary documents on property is quite simple. Emirate authorities are interested in fast and simple processing transactions to facilitate the purchase or rental process of any type of the property. The parties to the transaction is required only once to pay a fee. The process of buying property in Dubai includes a number of steps, which we will discuss now.
Steps on buying Dubai property
- A potential buyer selects the property. It is very important to be sure that the developer or real estate agent has a license granting them the right to sell real estate property to foreign, or local nationals.
- The next step is the registration of the transaction of the purchase and sale of property. From the 1st of May 2014 on the territory of the Dubai standardized form of contract has been approved. Dubai Land Department (DLD) has created this form for the settlement of relations between the parties of the transaction and to avoid incorrect reading of the contract. The new form greatly accelerates the process of registration of the property.
A contract (Form A) can be downloaded on the state portal E-mart. In order to complete this form, individuals only need a document certifying the identity (passport) and legal entities needs to provide a certificate on registration, constituent documents, the decision of the Board of Directors about the acquisition of the property and documents of the Trustee company.
- First, both parties will draw up a preliminary contract outlining the major provisions of the transaction, such as: price, terms, property description, etc. Then the future owner needs to make a Deposit, the value of which is 10% of the total cost of the acquired property.
- Once transaction took place and the contract started having formal legal force, it must be registered at the Dubai Land Department. In the UAE, upon registration Department, all fees should be paid, which is (in Dubai) 4% of the project cost.
- After the registration of property transfer to the buyer, Certificate of ownership, as in the case of registration of the constructed object of real estate, the buyer receives a pre-registration of property rights. The conclusion of the preliminary agreement to actual purchase of the property (before the transaction) usually takes no more than 14 working days.
It is well known that 90% of wealthy people becomes so through owning real estate. Contact Universal Prime Real Estate if you are interested in investing in Dubai real estate market.