The price on the listing is not the price of the purchase. In Dubai, a buyer should budget roughly seven to ten per cent above the agreed figure to cover the transfer, registration and service fees that complete a sale. Most are fixed by formula, which makes them straightforward to plan for once you know the parts.
The 4% transfer fee
The largest single cost is the Dubai Land Department transfer fee: 4% of the purchase price. In law it is shared between buyer and seller; in practice, the buyer almost always pays the full amount unless the contract states otherwise. On an AED 2 million home that is AED 80,000 — the number to reckon with first.
Registration and the title deed
The transfer completes at a registration trustee office, which charges AED 2,000 for properties under AED 500,000 and AED 4,000 for those above, plus 5% VAT. A separate administrative fee of AED 580 issues the new title deed. These are modest against the 4%, but they are not optional.
Agency and, if you finance, the mortgage
Brokerage is conventionally 2% of the price plus 5% VAT, paid by the buyer — though on off-plan purchases the developer often pays the agent directly, taking it off your side of the ledger. If you buy with a mortgage, the DLD registers it for 0.25% of the loan amount plus AED 290. A cash purchase avoids that line entirely.
The developer’s NOC, and what comes after
On a resale, the developer issues a no-objection certificate confirming service charges are clear before the transfer proceeds; the fee varies by developer. Once you own, the recurring cost is the annual service charge, which we cover separately in what owners actually pay — a running cost, not a transaction one, and worth keeping distinct in your budget.
Budget the whole number
None of these fees is a surprise, and none is negotiable in the way a price is. Set aside seven to ten per cent, treat it as part of the cost of ownership, and the completion holds no shocks. You can see the stock these figures apply to across our property search, from Business Bay outward.
The price gets the attention. The four per cent decides the budget.