Comprehensive A-Z guide to Dubai property investment terminology. Understand every term before making investment decisions.
Showing 32 of 32 terms
United Arab Emirates Dirham - the official currency of Dubai. 1 USD ≈ 3.67 AED (pegged rate). All property transactions in Dubai are conducted in AED.
A detailed layout plan showing the exact boundaries and dimensions of a property unit, including balconies, parking spaces, and common areas. Essential for off-plan purchases.
A unique identification number issued by RERA to licensed real estate brokers in Dubai. Verify a broker's BRN on the Dubai REST app before any transaction.
A licensed real estate professional registered with RERA who facilitates property transactions between buyers and sellers. In Dubai, all brokers must hold a valid BRN (Broker Registration Number).
The increase in property value over time. Dubai properties have historically shown 5-15% annual appreciation in prime areas, though this varies by location and market conditions.
The projected date when an off-plan property will be ready for handover. Developers in Dubai typically provide a completion quarter (e.g., Q4 2025) rather than exact dates.
The government authority responsible for regulating and registering all real estate transactions in Dubai. DLD maintains the official property registry and issues title deeds.
Government transfer fees of 4% of the property value, paid to Dubai Land Department upon property registration. Split between buyer and seller as per agreement, typically 2% each.
Dubai's official online rental registration system. All tenancy contracts must be registered on Ejari to be legally valid. Required for utility connections, visa sponsorship, and legal protection.
A regulated bank account where off-plan property payments are held until construction milestones are met. RERA-mandated protection ensuring developer accountability and buyer security.
Memorandum of Understanding - the official RERA contract signed between buyer and seller, outlining terms of sale. Typically accompanied by a 10% deposit.
Property ownership type where foreign nationals can own 100% of the property and land indefinitely. Available in designated freehold areas like Dubai Marina, Downtown, and Palm Jumeirah.
UAE long-term residency visa (5 or 10 years) available to property investors. Requires minimum AED 2 million property investment (ready property, not off-plan).
Annual rental income as a percentage of property value, before deducting expenses. Dubai average is 5-8%, with some areas achieving 8-10% for studios and 1-beds.
The process of transferring an off-plan property from developer to buyer upon completion. Includes snagging inspection, final payment, and key collection.
A residency visa obtained through property investment in Dubai. Minimum investment of AED 750,000 for a 2-year visa, or AED 2 million for Golden Visa eligibility.
Property ownership for a fixed term (usually 99 years) in non-freehold areas. The land remains owned by the government or master developer.
Large-scale developers who create entire communities (e.g., Emaar, Nakheel, Dubai Properties). They develop infrastructure and sell plots to sub-developers.
Rental yield after deducting all expenses including service charges, maintenance, and management fees. Typically 1-2% lower than gross yield.
A clearance document from the developer confirming no outstanding payments or violations on a property. Required before any resale transaction.
Property purchased before or during construction, typically at lower prices than ready properties. Payment plans spread over construction period, with final payment at handover.
RERA's official system for registering off-plan property sales contracts. Provides legal protection for buyers and ensures developer compliance.
Structured payment schedule for off-plan properties, typically 60-80% during construction and 20-40% at handover. Some developers offer post-handover plans.
Extended payment arrangement where a portion of the property price is paid after handover, sometimes over 2-5 years. Attractive for investors seeking rental income to cover installments.
Dubai's real estate regulatory authority under DLD. RERA licenses brokers, regulates developers, and protects consumer rights in property transactions.
Total return from a property investment including rental yield and capital appreciation. Dubai ROI typically ranges from 8-15% annually in prime locations.
Annual fees paid by property owners for building maintenance, security, common area upkeep, and amenities. Ranges from AED 10-40 per sq ft depending on the development.
Pre-handover inspection to identify construction defects or unfinished work. Developers must address snagging items before final handover.
The final binding contract between developer and buyer for off-plan properties, detailing all terms, payment schedules, and specifications.
Official document issued by DLD proving property ownership. Digital title deeds are available through the Dubai REST app.
DLD-authorized offices that process property transfers and registrations. Final step in property transactions where ownership officially transfers.
A type of long-term lease (up to 99 years) giving the holder rights to use and benefit from a property without full ownership. Common in some older developments.
Freehold ownership gives foreign nationals 100% ownership of property and land indefinitely in designated areas. Leasehold is ownership for a fixed term (usually 99 years) where the land remains with the government.
DLD (Dubai Land Department) transfer fees are 4% of the property value, typically split 2% each between buyer and seller. Additional admin fees of approximately AED 580 apply.
An escrow account is a RERA-regulated bank account where off-plan payments are held. Funds are only released to developers upon completion of construction milestones, protecting buyer investments.
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