A reputable source of profitable investment possibilities is Dubai’s real estate industry. Dubai is preferred by investors from all over the world for real estate investments. That being said, the government has imposed several laws and regulations, such as the Sales Purchase Agreement, to handle this growing inflow.
The SPA, also known as the original contract, is a document that both parties sign to confirm the sale of a property. The SPA protects the rights of both pirates and prevents any further inconvenience. The seller is in charge of having the SPA signed and registered with the Dubai Land Department (DLD) to make the transaction official.
Here, we have covered all of the specific steps required in registering an SPA with the DLD as well as other related procedures.
SPA REGISTRATION WITH DLD
A signed sales agreement (SPA) is evidence in court that you have purchased a property unit. It is therefore one of the most important pieces of documentation for both parties.
How to register SPA with DLD is further explained in the stages that follow.
SALES & PURCHASE AGREEMENT (SPA) REGISTRATION PROCEDURE WITH DLD
The process for registering for SPA with DLD is straightforward and only requires four steps to finish.
- In Step 1, choose “Initial Sale Registration Service” after logging into the Oqood Portal.
- Step 2: Choose “Property,” provide the necessary details, attach any necessary papers, and then choose “Payment Method.”
- Step 3. Submit the properly completed application.
- Step 4: An email confirmation will be issued to the customer.
Let’s move on to the paperwork needed for registration now that you are aware of all the processes involved in registering SPA with DLD.
DOCUMENTS NEEDED
DLD requests several sets of documentation from individuals as well as companies.
INDIVIDUALS
- SPA contract (Copy)
- Emirates ID/Passport (Copy)
INDIVIDUAL FOUNDATION COMPANIES
- Commercial Licence (Copy)
- Licence owner’s Emirates ID/Passport (Copy)
- Power of attorney (if required)
LIMITED LIABILITY COMPANIES
- Commercial Licence (Copy)
- Licence owner’s Emirates ID/Passport (Copy)
- Power of attorney (if required)
- Company’s articles of association and its appendices translated into Arabic (Copy)
- Shareholders’ certificate (Copy)
COMPANIES OPERATING OUTSIDE UAE
- Commercial Licence (Copy)
- Licence owner’s National ID/Passport (Copy)
- Power of attorney (if required)
- Company’s articles of incorporation and its appendices translated into Arabic (Copy)
- Certificate by Ministry of Foreign Affairs
- Shareholders’ certificate (Copy)
- In case of purchase, a No-Objection Letter from the free zone.
COMPANIES LOCATED IN GCC
- Commercial Licence (Copy)
- Licence owner’s National ID/Passport (Copy)
- Power of attorney (if required)
- Company’s articles of incorporation and its appendices translated into Arabic (Copy)
- Certificate by Ministry of Foreign Affairs
- Shareholders’ certificate (Copy)
WHAT DOES IT COST TO REGISTER A SPA WITH DLD?
Both buyers and sellers must pay the following fee to register SPA with DLD.
- The buyer will be charged 2% of the total sales amount.
- The seller will be charged 2% of the total sales amount.
- Knowledge costs on each value are AED 10
- AED 10 for each value’s innovation charge
- The developer will impose a self-registration fee of AED 1,000 for the initial sales.
TERMS AND CONDITIONS FOR SPA REGISTRATION
The conditions and regulations that must be met in order to register SPA are listed below.
- Both the buyer(s) and the developer(s) must sign the SPA.
- After the contract is signed, you have 90 days to register it.
- The guardian must sign the agreement and an official copy of their national identification card or passport must be attached if the buyer(s) are minors.
- A letter from the Federal Authority for Identity and Citizenship should be attached if the buyer is a decree holder.
- If the companies are not based in the United Arab Emirates, they must register with the Jebel Ali Free Zone Authority (JAFZa) or the Dubai Multi Commodities Centre Authority (DMCC).
All of the processes to register SPA with DLD are listed above. The rights of both buyers and sellers are protected by the first sales contract’s registration. So investing in Dubai real estate is risk-free and simple. Browse through these properties for sale in Dubai if you’re interested in taking advantage of real estate investment possibilities, and pick the best property unit to invest in.
