Buyers Guide

Step-by-Step Guide to Buying Real Estate in Dubai

Buying property in Dubai can be one of the most rewarding investment decisions you make, offering strong returns, zero property taxes, and long-term capital appreciation. However, navigating the process requires clear steps to ensure a seamless purchase.

Here is Smart Bricks’ clear, actionable guide to buying real estate in Dubai:

1. Determine Your Budget

Start by understanding what you can comfortably afford:

• Transaction Costs: Include a 4% Dubai Land Department (DLD) transfer fee and a 2% agency fee in your budget calculations.

• Mortgages: If financing, expect a minimum 25% down payment for expatriates, plus bank fees. Typical mortgage rates in Dubai range from 3-4% depending on the term and lender.

• Smart Bricks can help you analyse investment scenarios to determine your optimal budget and potential ROI.

  
  

2. Get Pre-Approved (If Financing)

Obtaining mortgage pre-approval:

• Confirms your budget with a lender.

• Strengthens your position when making offers.

• Results in a pre-approval letter typically valid for 60 days, speeding up the transaction once you find the right property.
  
  
  

3. Partner with a Trusted Real Estate Advisor

Work with an experienced, RERA-certified advisor who:

• Understands your investment goals, preferred locations, and budget.

• Uses data to shortlist high-yield properties aligned with your objectives.

• Saves you time by filtering out unsuitable options.

At Smart Bricks, our team combines AI-driven analysis and market expertise to identify properties with the highest growth and income potential.

4. Start Viewing Properties

Once your criteria are clear, your advisor will:

• Recommend properties and communities that align with your investment goals.

• Arrange and accompany you on viewings, highlighting investment benefits, community insights, and potential rental yields.

• Guide you in comparing options for informed decision-making.

5. Make an Offer

When you find the right property:

• Submit your offer in writing, accompanied by a 10% deposit cheque (undated) held by the broker.

• Provide copies of your passport and Emirates ID.

• A well-structured, clear offer increases your chances of acceptance.

  
  

6. Sign the Memorandum of Understanding (MOU)

Once the offer is accepted:

• Your advisor will draft the MOU (Form F), outlining sale terms, timelines, and responsibilities.

• Both buyer and seller will sign the MOU, and the 10% deposit cheque will be handed over to the broker as security until transfer.

  
  

7. Sales Progression and Mortgage Process

If financing:

• The bank will conduct a valuation of the property.

• You will receive a Final Offer Letter (FOL) upon valuation approval, confirming mortgage terms.

• If the seller has an existing mortgage, it must be cleared before the No Objection Certificate (NOC) is issued. This can take 2-3 weeks, so the seller should request a mortgage settlement statement immediately after MOU signing.

• Expect 6-10 weeks for mortgage and progression steps, depending on the banks involved.

  
  

8. Apply for the No Objection Certificate (NOC)

The NOC confirms the developer has no objections to the sale, ensuring:

• All outstanding service charges are cleared.

• Any modifications to the property meet the developer’s guidelines.

• The developer may inspect the property before issuing the NOC.

Fees: AED 500-5,000, depending on the developer, payable at application. Some developers may require a refundable deposit from the buyer, refunded upon presenting the new title deed. Processing typically takes up to 5 working days.

9. Transfer Ownership at the Dubai Land Department

After receiving the NOC:

• All parties meet at the Dubai Land Department (DLD) for transfer.

• Payment is made via manager’s cheques:

  • The purchase price to the seller.

  • 4% transfer fee to the DLD.

  • DLD admin fee (up to AED 4,000).

• A new title deed is issued in your name, officially transferring ownership.

• Any overpaid service charges will be settled on a pro-rata basis between buyer and seller.

  
  

Why Smart Bricks?

Smart Bricks helps investors navigate this process with:

• AI-powered property selection to secure high-return assets.

• Guidance through every transaction step, ensuring compliance and efficiency.

• Expert market insights to align your property investment with your wealth-building strategy.