Buying off-plan — a property still under construction — is how much of Dubai invests, thanks to lower entry prices, flexible payment plans and strong appreciation potential. This is the step-by-step process for 2026, with the RERA protections that safeguard your money and the risks to watch for.
The step-by-step process
- Define your goal and budgetDecide whether you want personal use, rental income or resale before handover. Off-plan suits appreciation and payment-plan buyers; budget the 4% DLD fee and cash flow across the plan.
- Choose the developer and projectPrioritise developers with strong delivery records. Compare 3–5 projects on location, price per square foot, payment plan, handover date and amenities.
- Verify RERA registration and the escrow accountEvery legitimate off-plan project must be RERA-registered with an escrow account. Your payments must flow into escrow — not directly to the developer. This is your core protection against default.
- Reserve your unitPay a booking fee (typically 5–10% of the price) and select your unit; the developer issues a reservation form or Expression of Interest.
- Sign the SPASign the Sale and Purchase Agreement, usually within about 30 days. Have a lawyer review handover dates, specifications, penalties and developer obligations before you sign.
- Register with the DLD (Oqood)The purchase is recorded on the DLD’s Oqood system — the interim off-plan registration — with the 4% DLD fee and an Oqood fee of around AED 1,000+.
- Pay according to the payment planFollow the schedule (for example 60/40 or 1% monthly), tied to construction milestones. Keep every receipt; late payments carry penalties.
- Snag and take handoverOn completion, inspect the unit and submit a snagging list of defects for the developer to fix before you accept keys and the completion certificate. A 6–12 month grace period beyond the stated handover is common.
- Register your title deedAfter handover and final payment, the property is registered and the DLD issues your title deed, converting the Oqood registration into full ownership.
What off-plan costs (2026)
| Item | Cost |
|---|---|
| Booking deposit | 5–10% of price |
| DLD registration | 4% of price |
| Oqood registration | ~AED 1,000+ |
| Agency commission (if any) | 2% + VAT |
| DLD admin | AED 580 |
| Property / income / capital-gains tax | None |
Your biggest protection is the RERA escrow account — confirm it exists before paying anything, and never pay a developer directly outside escrow. Have the SPA legally reviewed. The main risks are construction delay (a 6–12 month grace period is normal; beyond that, the SPA’s penalty clauses apply) and buying into an unregistered project. Off-plan mortgages are capped at 50% LTV, so plan your cash flow across the payment plan.
Buying off-plan in Dubai — FAQs
- Is buying off-plan in Dubai safe?
- It is well-regulated: every legitimate project must be RERA-registered with an escrow account, so payments are released to the developer only as construction progresses. The keys are buying a registered project and having the SPA reviewed.
- What are an escrow account and Oqood?
- The escrow account holds your payments until construction milestones are met, protecting you from developer default. Oqood is the DLD’s interim system that records your off-plan purchase before the title deed is issued.
- How do off-plan payment plans work?
- Common structures are 60/40 (60% during construction, 40% on handover), 70/30, or 1% monthly plans, tied to construction milestones. Some developers also offer post-handover plans.
- What happens if the project is delayed?
- A grace period of roughly 6–12 months beyond the stated handover is standard. Beyond that, the SPA’s penalty and remedy clauses apply — another reason to have it reviewed before signing.
- Can I get a mortgage on off-plan property?
- Yes, but off-plan mortgages are capped at 50% LTV, so you fund at least half yourself, usually alongside the developer’s payment plan.
Considering off-plan?
Cresco tracks every developer and release, and checks the escrow and SPA before you commit. Tell us your budget and goal and we’ll shortlist safe, high-potential launches.
This guide is general information on Dubai property procedures as of 5 August 2026 and is not legal or financial advice. Rules, fees and figures can change and individual circumstances differ — confirm specifics with the Dubai Land Department, your bank, or a qualified professional before acting.