Off-plan means you buy a property before it is built. The developer takes a non-refundable reservation (Expression of Interest), then stages payments against construction milestones, and hands you a finished unit 18-36 months later.
The eight steps
- Expression of Interest (EOI). Small refundable deposit (AED 10,000-50,000) holds a specific unit. You get a few days to 72 hours to decide.
- Booking / down-payment. Usually 10-20% of the sale price. Non-refundable at this point. Signed reservation form.
- Sales & Purchase Agreement (SPA). Full contract. Contains payment plan, handover date, penalty clauses. Have a lawyer read it. Never skip.
- DLD registration. 4% Dubai Land Department fee + AED 3,000 admin. You pay this on top of the price. Register via Oqood (initial) then Title Deed (at handover).
- Construction milestones. Developer invoices you as works progress — usually 10% on foundation, 10% on structure, etc. Some plans push 40% post-handover.
- Snagging. Before handover, you (or a third party) inspect the unit against the SPA spec. Any defect must be fixed before you sign off.
- Handover. You sign the handover certificate, pay outstanding balance, and receive the keys. The Title Deed issues in your name.
- Own, rent, or flip. Your unit is now a resale asset. You can move in, list it on Ejari for long-term rental, or put it on the secondary market.
Things buyers get wrong
- Skipping the SPA review to save AED 3-5k in legal fees. The penalty clauses on 40% post-handover plans can cost you the unit if you miss a payment.
- Assuming handover dates hold. Dubai developers quote a date and usually deliver 3-9 months late. Budget for it.
- Underestimating closing costs. 4% DLD + 2% agent + AED 5-10k admin + furnishing + service charges. Stack another ~8% onto your sale price.
When off-plan beats ready
When you care about price appreciation from launch to handover (typical: 15-30% over the construction period), you want specific floor plans that don't exist in finished buildings, or you need a long payment plan to stretch your capital.
When ready beats off-plan
When you need rental income immediately, when the developer's track record is thin, or when construction risk feels too high for your timeline.
Explore browse current off-plan projects once you're ready to pick.
