What Happens After You Select a Property in Dubai?
A clear, friendly walkthrough of the steps after you choose a unit — MOU, deposit cheque, agent fees, NOC and final transfer.
1. Sign the Memorandum of Understanding (MOU)
After you agree on the price and unit, the seller (or agent) prepares the Memorandum of Understanding — the MOU. This document records the buyer, seller, unit details, agreed price, payment schedule, deposit amount, transfer date and any special conditions.
The MOU is the contract that sets expectations. Typical deposit: around 10% (subject to negotiation and project type). Always read the MOU carefully before you sign.
2. Deposit cheque — how it works
The deposit is commonly provided as a post-dated cheque or manager’s cheque. In most resale/secondary deals the cheque is kept in escrow (or held by the selling agent/trustee) and is only cashed if the buyer defaults.
3. Agent’s fee — timing and norms
Agent commissions in Dubai are typically agreed as a percentage of the sale price (commonly around 2% plus VAT on resale deals, though rates can vary). The MOU should state when and how the agent’s fee will be paid — usually at transfer or as per the agreement.
Ask for a receipt and the agent’s RERA license details (if applicable) to keep the process transparent.
4. Developer NOC and outstanding dues
Before the Dubai Land Department will transfer title, the developer must issue a No Objection Certificate (NOC). The NOC confirms there are no outstanding service charges, mortgages, or other blocks preventing transfer.
If the seller has an existing mortgage, the mortgage must be cleared or properly discharged before the NOC is issued.
5. Final transfer at the Dubai Land Department (DLD)
On the agreed transfer date you and the seller (or your representatives) meet at the DLD trustee office. Required documents usually include:
- Original passports/IDs of buyer and seller
- Signed MOU
- Developer’s NOC
- Manager’s cheques for the balance payment and fees
The buyer typically pays the 4% DLD transfer fee and any outstanding amounts. After verification and payment, the title deed is issued in the buyer’s name.
6. After transfer — quick checklist
- Confirm the title deed is issued and saved (digital copy and printed copy).
- Ensure service charges are prorated correctly between seller and buyer.
- Collect all transfer receipts, NOC copies and agent invoices.
- If renting, verify current tenancy terms or prepare the unit for vacancy/tenancy registration.
Common mistakes buyers make
- Signing an MOU without verifying the seller’s clearance of mortgages or unpaid dues.
- Handing over a deposit cheque without written confirmation of how and where it will be held.
- Overlooking default and cancellation clauses that can cost you more than expected.
- Assuming agent fee rules — always get the fee terms in writing.
| Step | Action |
|---|---|
| Sign MOU | Confirm unit details, price, deposit amount, payment schedule and transfer date. |
| Deposit cheque | Provide cheque, confirm escrow/holding arrangement and default penalties. |
| Agent’s fee | Agree fee %, payment timing and get invoice/receipt. |
| Obtain NOC | Seller arranges developer NOC proving no outstanding dues or restrictions. |
| Final transfer | Attend DLD trustee office with documents and cleared cheques; pay transfer fee; receive title deed. |
Final thoughts — keep it simple and secure
Picking the property is the exciting part; the post-selection process is where clarity and caution matter. Read the MOU, protect your deposit, verify the NOC, and confirm fees and timelines in writing. Do that and your path to ownership in Dubai will be straightforward.