Last updated: October 23, 2026
The price on the brochure is the number everyone remembers. It is not the number you end up paying.
Between booking and handover, a handful of smaller costs show up. Some come from the Dubai Land Department. Some come from the developer. Some come from your bank. And a few depend on habit, not law. If you only budget for the headline price, those costs arrive as surprises.
This guide walks through every cost in the order you meet it, and it tells you who sets each one. It also flags where guides disagree, so you know what to ask before you sign.
The short answer
Beyond the purchase price, expect a DLD registration charge (DLD lists 2% from you and 2% from the seller, though many contracts put the full 4% on the buyer), a few small fixed fees, possible developer charges, mortgage fees if you borrow, and handover costs such as service charges, a utility deposit and a title deed fee. Guides quote totals from about 5% to well over 10%, which is too wide to trust. Build your own number from your contract.
Who sets each fee?
This one idea clears up most of the confusion.
- The Dubai Land Department sets registration percentages, fixed registration fees and mortgage registration fees.
- Your developer sets admin charges, handover charges, resale approval fees and any incentive such as a fee waiver.
- RERA approves the annual service charge budget for a building.
- Your bank sets arrangement, valuation and insurance costs.
- Market habit decides who pays the registration split and the agent’s commission.
When a guide gives you one number, ask which of these five it comes from.
Stage 1: Before you book
Your reservation or booking amount is normally part of the purchase price, not an extra cost. Ask three things in writing: is it refundable, what happens to it if you pull out, and does any part of it cover an admin fee that will not be credited to your price.
If you plan to pay an expression of interest deposit before launch, read our EOI guide first.
Stage 2: When you sign, the registration costs
This is where the biggest cost sits, and where most guides get vague.
The 4% question
DLD’s page for registering an initial off-plan sale lists the fee as 2% of the sale value from the seller and 2% from the purchaser. Many guides then describe the full 4% as the buyer’s cost in practice. Both statements can be true: DLD lists the split, and a contract can ask the buyer to carry all of it.
So do not assume. Ask what your SPA says.
On a AED 1,200,000 unit, the difference is real:
- Your 2% share is AED 24,000.
- The full 4% is AED 48,000.
The fixed fees
DLD’s page also lists AED 10 for the knowledge fee, AED 10 for the innovation fee and a AED 1,000 developer self-registration fee. You will see other admin figures in other guides, such as AED 40, AED 580 or AED 1,500 to 6,000. Treat anything above DLD’s listed amounts as a developer charge. Ask to see the line in your contract.
How the fee is paid, and what you should get
DLD says the fee can be paid through the Noqodi wallet or deducted from the escrow account. The sale must be registered in the provisional register, known as Oqood, within 90 days of signing. The output is a provisional registration e-certificate.
So after you pay, ask for two things: a receipt for the fee, and the e-certificate. If you paid and no certificate arrives, a Dubai law firm article notes that DLD has urged developers to start paying registration fees within 60 days of the buyer paying, and that a buyer may have remedies if registration does not happen. Speak to a UAE licensed lawyer if you are in that position.
The waiver check
Some developers advertise that they will cover the DLD fee. Before you count it as a saving, ask:
- Does it cover your 2% share, or the full 4%?
- Does it cover the fixed fees too?
- Is it written into the SPA or only in a brochure?
- Does it change the unit price?
Agent commission
Several guides say the developer usually pays the agent on off-plan launches. Others say a buyer who uses an advising agency may pay about 2%. Ask before you sign, and get the answer in writing.
Stage 3: During construction
Your instalments are part of the price, so they are not extra. The extra costs here come from financing and advice. If you want to compare plan types, see our payment plans guide.
If you borrow
Banks set their own rules for off-plan loans, so speak to your lender early. DLD’s mortgage registration page lists:
- 0.25% of the mortgage value
- A service partner fee of AED 4,000 plus VAT for an ordinary mortgage
- A service partner fee of AED 5,000 plus VAT for a provisional (Oqood) mortgage
- AED 10 each for knowledge and innovation fees
DLD also lists an electronic no objection certificate from the developer as a required document for mortgages on provisional sale properties.
On a AED 600,000 loan registered while the unit is still under Oqood, the DLD side comes to AED 1,500 plus AED 5,250 (AED 5,000 plus VAT), which is AED 6,750.
Banks add their own costs. Guides commonly report an arrangement fee of up to about 1% of the loan and a valuation fee of roughly AED 2,500 to 3,500. These vary by bank, so ask for the full offer. With those figures, mortgage setup on that loan lands around AED 15,000 to 16,500 before VAT on bank fees.
Advice and transfers
Budget for a lawyer to read the SPA, and ask your bank about transfer fees and exchange margins if you send money from abroad.
Stage 4: At handover, the second wave
The final instalment is part of the price. These are the extras that arrive alongside it.
Service charges
Service charges pay for the upkeep of shared areas such as lifts, pools and security. RERA approves the budget for each building. You can check the figure yourself on DLD’s Service Charge Index. Search by title deed details, or choose the project, usage and year. The result shows the charge, the dates it covers and the managing company. DLD notes that the figure does not include arrears.
The sum is simple: unit area multiplied by the rate per square foot. For an illustration, a 900 square foot unit at AED 15 per square foot would cost AED 13,500 a year. That rate is an example, not a quote, so check the real one before you buy. Guides often report that the first year is due at or before handover.
Title deed
Guides commonly list a title deed fee of about AED 250 plus small fees, though some say the registration you paid at Oqood converts without a second percentage charge. Ask your developer exactly what is charged at handover. If you chose a post-handover plan, also ask when the title deed will be issued, because some plans hold it until the last instalment.
Utilities
Guides commonly report a DEWA deposit of about AED 2,000 for apartments and AED 4,000 for villas. Check the current amount with DEWA. If your building uses district cooling, ask about a deposit and connection charge too.
Snagging
A professional inspection before you accept the unit is commonly reported at about AED 800 to 2,500. It is optional, but problems found before handover are the developer’s to fix.
Developer handover charges
Ask for a written handover statement a few weeks ahead, listing every charge, so nothing appears on the day.
Stage 5: After you own it
These are running costs, not purchase costs, but they decide your real return: the yearly service charge, insurance, maintenance, furnishing if you rent it out, and property management fees if you live abroad. A high service charge can cut your net rental yield noticeably, so check the index before you compare yields.
Stage 6: If you sell before handover
Selling an off-plan unit is called an assignment, and it has its own costs. Check these before you count on a quick exit.
- DLD’s FAQ says resale needs the developer’s no objection certificate.
- Many developers require a minimum share of the price to be paid first, often reported as 30% to 40%.
- NOC fees are commonly reported from about AED 500 to AED 5,250, and some developers charge a percentage assignment fee, around 2% of the original price in some reports.
- The incoming buyer also pays registration costs on the transfer, which affects the price they can offer.
These figures are developer set, not DLD set. Ask your developer for its resale terms before you sign the SPA.
A worked example: AED 1,200,000 off-plan apartment, cash purchase
This is an illustration, not a quote. It uses DLD’s listed fees and clearly labelled assumptions.
At signing
- Your registration share: AED 24,000 at 2%, or AED 48,000 if the contract puts the full 4% on you
- DLD fixed fees listed: AED 1,020 (AED 1,000 plus AED 10 plus AED 10)
- Agent commission: AED 0 if the developer pays, confirmed in writing
At handover
- First year service charge: AED 13,500 (assumed 900 sq ft at AED 15)
- DEWA deposit: about AED 2,000
- Title deed: about AED 250
- Snagging inspection: AED 800 to 2,500
Total extra cost: about AED 41,570 at the low end and AED 67,270 at the high end, which is roughly 3.5% to 5.6% of the price.
If you also borrow AED 600,000, add about AED 15,000 to 16,500 for mortgage setup.
This leaves out furnishing, property management, ongoing service charges after year one and resale costs. Your number will differ.
Build your own cost sheet
Write these lines down for any project you are considering:
- Purchase price
- Your share of the registration fee
- DLD fixed fees
- Developer admin or handover charges
- Agent commission, if any
- Mortgage and bank fees, if any
- First year service charge from the Service Charge Index
- Utility deposits and title deed fee
- Any waiver or incentive, deducted only if written in the SPA
Add them up, then divide by the price to see the true percentage.
A message you can copy and send
“Hello, I am considering a unit in your project. Before I reserve, please confirm in writing: who pays the DLD registration fee and in what split; the exact fixed and admin fees I will be charged at signing; whether any registration fee waiver applies and what it covers; whether I pay any agent commission; how and when I will receive the Oqood provisional registration certificate; the expected first year service charge and when it is due; what handover charges and utility deposits apply; whether the title deed is issued at handover; and your resale conditions, including the minimum amount paid and any NOC or assignment fees.”
Mistakes to avoid
- Comparing projects by price alone. Two units with the same price can cost thousands apart once fees and service charges are added.
- Assuming a waiver covers everything. Check what it includes and where it is written.
- Trusting one percentage. A single “7%” rule hides which fees apply to you.
- Ignoring the service charge. It repeats every year and shapes your net return.
- Skipping resale terms. An exit you cannot use is not an exit.
FAQs
How much extra does it cost to buy off-plan in Dubai?
It depends on your contract. The main items are the registration charge, fixed fees, any developer charges, financing costs if you borrow, and handover costs. In the example above, a cash buyer of a AED 1,200,000 unit pays roughly 3.5% to 5.6% on top.
Is the DLD fee 4% for the buyer?
DLD’s off-plan registration page lists 2% from the buyer and 2% from the seller. Many contracts and guides put the full 4% on the buyer, so check your SPA.
Do I pay agent commission on off-plan?
Often the developer pays on new launches, but not always. Ask in writing.
Do I pay service charges during construction?
Service charges relate to completed, managed buildings, so they usually start around handover. Confirm the date in your SPA and check the amount on DLD’s Service Charge Index.
Do I pay the registration fee again at handover?
Guides say the percentage you paid at Oqood is not charged again, though a small title deed fee applies. Confirm this with your developer.
What does a mortgage add?
DLD charges 0.25% of the loan plus a service partner fee, and your bank adds arrangement and valuation costs. Ask the bank for the full offer.
What costs apply if I sell before handover?
You need the developer’s no objection certificate and must meet its minimum payment rule. NOC and assignment fees are set by the developer.
Are the fees the same in other emirates?
No. Other emirates have their own regulators and fee schedules, so check the local authority’s official pages.
The takeaway
The brochure price is the start of your budget, not the end. Ask who sets each fee, get every charge in writing, check the service charge on DLD’s index, and add it all up before you commit. A clear number now beats a surprise at handover.
This guide is general information, not financial or legal advice. Fees and procedures change, so check the current DLD service pages and your own contract before you pay.
Official sources
- DLD: Request to register the initial sale
- DLD: Mortgage registration application
- DLD: Service Charge Index
- DLD: Frequently Asked Questions
