Dubai property purchase fees explained
| Fee | Typical amount | Paid to |
|---|---|---|
| DLD transfer fee | 4% of price | Dubai Land Department |
| Title deed / admin | About AED 580 | Dubai Land Department |
| Registration trustee | AED 4,000 + VAT (AED 2,000 + VAT under AED 500k) | Trustee office |
| Agency commission | 2% + VAT | Real estate broker |
| Mortgage registration | 0.25% of loan + AED 290 | Dubai Land Department |
| Bank arrangement fee | Up to 1% of loan + VAT | Lender |
| Valuation | AED 2,500 – 3,500 + VAT | Bank-approved valuer |
Example: AED 2,000,000 cash purchase
- DLD fee 4% = AED 80,000
- Agency 2% + VAT = AED 42,000
- Trustee fee AED 4,000 + VAT = AED 4,200
- Admin/title deed ≈ AED 580
- Total ≈ AED 126,780 (6.34% of the price)
Costs after you buy
Owners also pay annual service charges to the building’s owners’ association (often AED 10–30 per sq ft for apartments), a Dubai Municipality housing fee through DEWA if they live there, home insurance, and maintenance. Factor these into your budget with the rent vs buy calculator or, for an investment, the rental yield calculator.
Fees reflect commonly published Dubai rates and can change. Confirm the final figures with your conveyancer, trustee office and bank.
Frequently asked questions
What is the DLD transfer fee in Dubai?
4% of the purchase price, paid to the Dubai Land Department at transfer, plus a small admin/title deed fee. By market convention the buyer pays it, though it can be negotiated.
How much are total buying costs in Dubai?
For a cash buyer using an agent, about 6.3–6.5% of the price. With a mortgage, add roughly 1.5–2% of the loan for registration, bank and valuation fees – often 7–8% of the price in total.
Do off-plan purchases have the same fees?
Off-plan buyers pay the 4% DLD fee (sometimes covered by developer promotions) and an Oqood registration fee instead of the trustee fee, and usually no agency commission when buying directly from the developer.
Is VAT charged on residential property?
Resale of residential property is exempt from VAT, but VAT at 5% applies to service fees such as agency commission, trustee fees, bank fees and valuations.
Last reviewed: October 2026