Dubai is a city that plays in a league of its own in the real estate world. Dynamic, international and well regulated, the real estate market offers numerous opportunities for investors. But anyone who wants to invest in Dubai real estate is quickly confronted with terms that are not common elsewhere. The Dubai real estate encyclopedia is your compact guide that explains all important technical terms relating to buying real estate, rental contracts and investments in Dubai in a comprehensible way. This allows you to confidently conduct discussions with developers, brokers, banks and authorities and make well-founded decisions.
Contract for the transfer of an off-plan purchase right from the first buyer to the second buyer before completion (assignment via the developer). Requires developer approval (NOC), settlement of all due payments and payment of applicable fees.
Supplement to an already signed SPA that legally records changes to specifications, payment schedule, deadlines or special conditions. Signed by both parties and becomes part of the main contract.
Broker commission in the purchase or sale process. In Dubai, it is usually 2 percent from the buyer and 2 percent from the seller in the secondary market, though the exact amount can be negotiated individually. For off-plan properties, the buyer does not pay commission, as it is covered by the developer. The commission agreement must be documented in writing and verifiable at the time of property transfer.
RERA registration numbers for brokers (BRN) and brokerage firms (ORN), used to verify licensing and company affiliation. Must be displayed in listings, forms and at appointments.
Legally required identity and source of funds verification to prevent money laundering. Applies to buyers, sellers and beneficial owners during banking, developer, broker, trustee and DLD processes.
Transfer of an active off-plan purchase contract to a new buyer before handover. Usually requires a developer NOC, clearance of service charges and, if applicable, Oqood transfer.
Largest real estate listing portals in the UAE. Provide price and demand indicators but do not replace professional valuation or legal due diligence.
Completed property available for immediate use or rental, traded on the secondary market.
Short-term reservation of a unit with the developer, including an initial payment and deadline for SPA signing. The payment is credited toward the purchase price.
Contract between property owner and broker covering commission, responsibilities and possible exclusivity. Often complements Form A and regulates cooperation terms.
Official confirmation of building completion. Required for handover, utility connections and occupation approval.
Increase in the value of a property over time, influenced by location, developer quality, infrastructure and market cycle. A core factor for buy-and-hold and off-plan strategies.
Land registry note that temporarily blocks a transfer (e.g. in case of dispute, mortgage or pending sale). Must be resolved before transfer of ownership.
Indicates that district cooling costs are already included in the rent or service charges. Reduces ongoing expenses for the tenant or owner.
Annual operating costs of the owners’ association for maintenance, building management, security and insurance. Charged per square foot and applicable even when the property is vacant.
Scheduled completion date of a unit or project. Serves as a reference for payment plans, handover timelines and contractual milestones.
Payment plan in which installments are linked to specific construction milestones. Reduces buyer risk compared to purely time-based plans.
Deposit or administrative step required to register or transfer a district cooling account when moving in or out. Handled separately from electricity and water (DEWA).
Centralized cooling suppliers (e.g. Empower, Emicool, Tabreed) providing air conditioning for buildings. Billing is done directly or through the Owners Association.
Commercial license issued by Dubai Economy & Tourism, relevant when buying through a company or for commercial leasing. Defines allowed business activities and company information.
Mandatory 10-year warranty covering the building’s structural integrity. Non-structural elements are usually covered under shorter warranty periods.
Electricity and water supplier in Dubai. Registration typically requires Ejari (rental contract) or Title Deed (ownership) and a refundable deposit.
Property developer responsible for planning, construction quality, escrow compliance, handover management and issuing NOCs. Track record and financial strength are critical for timeline and quality reliability.
Administrative fee charged by the developer for processes such as assignment, handover coordination or document handling. Amount varies by project.
Fee charged by the developer for issuing a No Objection Certificate (NOC) enabling transfer or assignment. Usually paid before the trustee appointment.
Independent common law courts located in Dubai International Financial Centre. Parties can choose DIFC jurisdiction contractually.
Dubai’s land registry and real estate authority responsible for registration, transfers of ownership and market regulation. Operates platforms such as REST, Ejari and Mollak.
Standard 4 percent transfer fee for change of ownership, plus minor administration charges. Paid on Trustee Day during transfer.
Official online platform for Title Deeds, Oqood, Ejari, payments and ownership verification. Enables digital processing of property transactions.
Official valuation issued by DLD, used for visa applications, finance purposes or dispute cases. Based on property characteristics and market data.
Warranty period for non-structural defects after handover. Snagging issues should be documented and reported within the DLP timeframe.
Initial payment made at the start of a purchase. In off-plan purchases: the first milestone payment. In secondary transactions: agreed in the MOU. Part of the payment plan.
Training institution of Dubai Land Department, responsible for RERA exams and broker certifications. Mandatory for obtaining a broker license.
Authority responsible for licensing holiday homes and regulating short-term rentals. Collects tourism fees and monitors compliance.
General civil courts outside the DIFC jurisdiction. Apply UAE civil law unless DIFC jurisdiction is contractually selected.
Digital verification code/QR proving property ownership within the REST app. Commonly required for online procedures and visa applications.
Mandatory registration of tenancy contracts; required for DEWA activation, visa applications and RDSC rental dispute cases. Ensures legal enforceability of rental agreements.
Mortgage with a variable interest rate linked to the Emirates Interbank Offered Rate (EIBOR) plus bank margin. Fluctuates with interest rate changes and may be cheaper or more expensive than fixed-rate mortgages.
Non-binding reservation before the official project launch made through a payment used to secure a unit. The EOI is refundable if the buyer later chooses not to proceed. If the purchase goes ahead, the amount is fully deducted from the purchase price.
Project-specific escrow account for off-plan payments, regulated by RERA. Developer access is only granted after verified construction progress. A central buyer protection mechanism in Dubai.
Interior customization or finishing works that require approval from the Owners Association or Community Management. Unauthorized changes may lead to refusal of NOC or handover.
RERA listing agreement between property owner and broker, authorizing the marketing of a property. Defines price range, duration and commission terms.
RERA buyer representation form between buyer and broker. Specifies search criteria, responsibilities and commission entitlement.
Memorandum of Understanding used in secondary market transactions. Specifies purchase price, timeline, earnest money and conditions. Forms the contractual basis for transfer at the trustee office.
Letter of commitment in which a party confirms specific obligations before transfer, such as payments or bank clearances. Common part of sales progression.
Full ownership of land and property in designated freehold zones, also available to foreign buyers. Officially documented by Title Deed.
Indicates whether a property is fully furnished or not. "Serviced" units include hotel-style services and management. Relevant for rental strategy and target group.
Gross Floor Area (GFA), Built-Up Area (BUA) and Net Sellable Area (NSA); define gross, usable and sellable areas of a property. Important for price comparisons (price per square foot) and contract review.
Long-term residency visas based on real estate investment in the UAE. Minimum property value of AED 2,000,000 for the Golden Visa and AED 750,000 for the Investor Visa (Property Visa). Allow family sponsorship and long-term residency without losing visa status during extended travel.
Transfer of keys and ownership rights after final payments, property inspection and settlement of pending fees. Includes snagging, documentation and meter readings.
Official handover report confirming property condition, key delivery and meter readings. Serves as the legal basis for any post-handover rectification.
Fees related to moving in, including move-in permit, Owners Association setup and utility deposits. Must be paid before or during handover.
License issued by DTCM for short-term rentals to tourists. Community rules and reporting obligations must be followed in addition to licensing requirements.
Sharia-compliant leasing model in which the bank owns the property, the buyer leases it and gradually acquires ownership. Instead of interest, payments are structured as rent with a final purchase element.
Proof of building insurance issued by the Owners Association. Optional additional policies for contents or landlord insurance may be added. Often required for handover or mortgage approval.
Full or partial exemption from DLD transfer fees offered by developers as an incentive. Must be documented in the sales agreement and may be time-limited or restricted to a specific number of units.
Confirmation from the landlord, developer or community management that leasing the property is permitted. Required in some projects and regulated communities.
Letter issued by the bank confirming the outstanding settlement amount or clearance of a mortgage. Mandatory for selling or transferring ownership of mortgaged properties.
Official geocoded address number assigned to every building and land plot in Dubai. Used for precise location identification and government services.
Bank-guaranteed cheque commonly used for property transactions at the trustee office. Provides secure payment for purchase price and related fees on transfer day.
Primary developer of large-scale communities such as Emaar, Nakheel or Meraas. Responsible for the master plan, infrastructure and community standards.
Company formation document required when purchasing through an LLC, free zone entity or SPV. Defines ownership structure, business activities and signing authority.
Dubai Land Department system for managing Owners Association budgets, service charges, payments and transparency. Allows owners to view financial statements and official documents.
Maximum Loan-to-Value ratio permitted by banks, expressed as a percentage of property value or purchase price. Determines how much equity is required from the buyer.
Fee charged by the bank when a mortgage is paid off early. Either a percentage-based fee or capped amount. Should be considered when refinancing or selling.
No Objection Certificate from the bank confirming the mortgage can be cleared and the property sold. States the settlement amount and validity period. Required for transfer.
Preliminary approval from the bank confirming loan eligibility and indicative interest rates. Increases negotiation security and speeds up transaction processing. Valid for a limited time.
Document issued by the bank confirming full repayment and cancellation of the mortgage. Recorded with the Dubai Land Department to clear the Title Deed.
Sharia-compliant financing model where the bank purchases the property and sells it to the buyer at a fixed marked-up price. No interest is charged, only profit margin.
Sharia-compliant partnership financing model in which the bank and buyer co-own the property. The buyer gradually purchases the bank’s share while paying rent on the remaining share.
Proportionally calculated rent or service charges for partial-year occupancy or transfer. Ensures fair allocation of running costs and income between parties.
Confirmation from the developer that no outstanding liabilities exist and the property may be transferred. Requires settlement of service charges and compliance with regulations.
Formal notice issued according to tenancy law and contract terms to terminate a lease (e.g. personal use or sale). Required for legally valid eviction.
Digital wallet platform used to pay Dubai Land Department fees for registrations and transfers. Widely used for trustee transactions and DLD services.
Owners Association and its professional management entity. Responsible for community budgeting, facility management, insurance and enforcement of community rules.
Unit still under construction, sold directly by the developer after RERA registration and escrow setup. Typically offers lower entry prices and structured payment plans.
Investment strategy where an off-plan unit is purchased early and resold before handover to realize profit. Dependent on market demand, developer rules (minimum payment threshold) and market timing.
Provisional ownership registration issued by Dubai Land Department for off-plan purchases. Required for assignment, bank financing and Title Deed issuance later.
Cancellation or reassignment of an Oqood registration to a new buyer. Processed by the developer and requires NOC and applicable fees.
Total transaction costs when buying property, such as DLD fee, trustee fee, developer NOC fee, broker commission, Oqood fee (off-plan) and handover/setup charges. Must be considered when calculating returns and liquidity.
Structure of purchase price installments (e.g. 70/30, 60/40, construction-linked or time-linked). Impacts capital commitment, financial risk and demand.
Notarized authorization allowing legal representation during purchase or sale. Must be attested/translated for use in Dubai, sometimes via UAE embassy legalization.
Payment plan where a portion of the purchase price is paid after handover over 1–5 years. Improves affordability but can lead to higher base prices.
Standard metric used in Dubai to compare property value across projects based on price per square foot. Requires attention to area definitions (BUA vs NSA).
Management of rental, tenant relations, maintenance, billing and financial reporting on behalf of the owner. Aims to maximize occupancy, return and asset value.
Dispute resolution authority of the Dubai Land Department for rental conflicts. Valid Ejari registration is usually required to file a case.
In Dubai, annual rent is paid in advance by cheque, typically in 1 to 4 installments. Fewer cheques often result in better rental terms. The number of cheques is defined in the tenancy contract.
Regulatory authority for Dubai’s real estate market. Oversees licensing, escrow accounts, compliance, rental regulations and market transparency.
Personal identification card issued to licensed brokers and linked to their BRN number. Must be shown during property viewings or official appointments.
Official reference index and online tool that determines permitted rental increases upon contract renewal. Provides legal guidance for both landlords and tenants.
Temporary security payment made when renting or purchasing a property to reserve a unit. Terms for refund and application of the deposit must be agreed in writing.
Legally binding off-plan sales contract that defines price, payment plan, handover date, warranties and legal consequences. Forms the basis for Oqood registration and Title Deed issuance.
Operational process from MOU/Form F to Title Transfer. Includes NOC issuance, payments, bank clearances and trustee appointment. Requires strict coordination and documentation.
Market for completed properties traded between private sellers and buyers. Transactions are completed via the trustee office and do not involve Oqood.
Deposit paid by the tenant to the landlord, as well as deposits for utility or community services. Refunded after move-out and final inspection.
Confirmation issued by the Owners Association that all service charges have been settled. Required before the developer issues an NOC.
RERA database showing annual service charge rates per community. Useful for investment calculations and budgeting.
Technical inspection of a property to identify defects prior to or during handover. Defects must be documented and corrected by the developer. Ideally performed by a professional inspector.
Additional community fee imposed by the Owners Association to finance major repairs or improvements. Charged temporarily and proportionally based on unit size.
Corporate structure (LLC or free zone entity) used to hold property ownership for liability protection, structuring or inheritance purposes. Requirements vary by jurisdiction.
Annual rental agreement outlining rent amount, security deposit, cheque schedule and contractual terms. Required for Ejari registration and legal enforcement of tenancy rights.
Official ownership certificate issued by the Dubai Land Department. Digitally verifiable and required for selling, mortgaging or applying for property-related visas.
Official transfer of property ownership at the trustee office using manager’s cheques and payment of fees. After registration, the buyer becomes the legal owner.
Verification of ownership status, existing mortgages, caveats or encumbrances before purchase. Minimizes legal and financial risks during transactions.
Allocation system used during new project launches. Buyers receive a token or allocation number that determines their priority in unit selection. Early allocation often provides access to better units, layouts and prices, especially during VIP or pre-launch phases.
Mandatory permit number issued by Dubai Land Department for property marketing. Must appear in all advertisements and listings to ensure legal compliance.
Transfer office licensed by Dubai Land Department. Coordinates payment settlement, documentation and ownership registration on Trustee Day. Issues the Title Deed after completion.
Confirmation that no outstanding utility or district cooling payments are due. Required before handover or property transfer.
Internal market value assessment conducted by banks to determine loan eligibility and maximum Loan-to-Value (LTV). The assessed value may differ from the purchase price.
Approved change to design, layout or specifications during the construction phase. Can impact price, timeline and warranty terms.
Residency eligibility based on property ownership value and compliance with UAE immigration regulations. For example, property investments of AED 2 million qualify for a 10-year Golden Visa, often including family sponsorship and flexible residency terms.
Annual rental income in relation to property purchase price. Key performance indicator for property investment evaluation and market comparison.
The real estate market in Dubai offers great opportunities for investors, buyers and sellers. But the key to success lies in understanding the real estate sector, its processes, documents and technical terms. This real estate lexicon is designed to help you understand the language of the market and confidently navigate the most important terms related to buying, selling, tenancy contracts and investment.
If you want to save time, reduce risk and avoid tedious research, we at Real Estate Blondies are happy to support you personally. With deep market knowledge, exclusive access to the best projects and a clear strategy tailored to your goals, we guide you step by step toward a successful real estate investment in Dubai.
Schedule your non-binding initial consultation with us now and lay the foundation for your real estate investment in Dubai — with security, knowledge and a strong partner at your side.
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