Dubai’s real estate industry has expanded and evolved dramatically during the last few years. Having said that, the business provides novel ways to help both consumers and sellers. Off-plan property is one such innovation that caught both parties’ interest. Off-plan refers to any property that is booked based on a blueprint while under development. Buyers benefit from the fact that the sum is paid in installments. Furthermore, purchasers have the option of selling off-plan properties before taking possession at their leisure.
Let’s go through the procedure and laws of selling off-plan property in Dubai in depth.
HOW TO SELL AN OFF-PLAN PROPERTY
The following is a step-by-step guide to reselling an off-plan property in Dubai. However, before beginning the selling procedure, double-check the terms and conditions indicated in the contract by the developer.
You are ready to sell the off-plan property once you have paid the limited amount and met all of the developer’s criteria.
OBTAIN A NO-OBJECTION CERTIFICATE
The first step in reselling the property is to get the developer’s No-Objection Certificate (NOC). This service is charged, and the cost is usually borne by the new buyer. After receiving the NOC, the next step is to go to the trustee’s office.
RECEIVE CHEQUE
You will be given a cheque for the amount you paid to the developer at the trustee’s office. The property transfer and registration cost must also be paid to the Dubai Land Department (DLD) by new buyers.
SIGN THE AGREEMENT WITH THE NEW OWNER.
The buyer becomes the new owner of the property once the procedure is completed. Some developers also need the new and old owners to sign a contract in order to protect their rights.
SELLING AN OFF-PLAN PROPERTY BEFORE COMPLETION
Property owners in Dubai are required to follow specific terms and criteria specified by developers, as well as the legal processes enforced by the government, in order to sell off-plan property.
Buyers may usually sell off-plan property in Dubai after paying 30% to 40% of the total price. This percentage varies depending on the project and developer. As a result, if you intend to sell your house, you should check the proportion. Furthermore, both the seller and the buyer may be required to comply with the terms of the developer’s contract.
THE COSTS OF RESELLING AN OFF-PLAN PROPERTY
If you want to buy an off-plan property, keep the following costs in mind.
- Registration Fee: The registration fee accounts for a significant amount of the total cost of acquiring an off-plan home. Buyers must pay the Dubai Land Department (DLD) 4% of the total property cost as a registration fee.
- Transfer charge: For properties valued less than AED 500,000, buyers must pay a transfer charge of AED 3,500. For homes worth more than AED 500,000, the transfer charge is AED 5,000.
- NOC Fees: The developer’s NOC certificate will cost roughly AED 5000. In most cases, purchasers are required to pay this charge.
If you use an agent to sell or buy a home, the agent’s fees are included in the above-mentioned cost. Having said that, using an agent in the process can help you in a variety of ways.
THE BENEFITS OF RESELLING OFF-PLAN PROPERTY
Dubai real estate is recognized for its high return on investment, whether you buy an apartment or property for sale in Dubai. Similarly, owning an off-plan property will give you with the several benefits listed below.
- Flexible Payments: The first and greatest advantage of off-plan property is the ability to pay in installments. The majority of developers agree to divide the whole sum into monthly payments based on the buyer’s budget. Examine the following regularly available off-plan payment options in Dubai that buyers can choose from.
- Various Options: Because Dubai is one of the greatest real estate locations, a broad range of properties are constantly available for purchase. This allows buyers to select their preferred house from among the numerous possibilities offered.
- Guaranteed Return on Investment (ROI): The starting cost of off-plan property is lower, and it rises gradually as the project progresses. In addition, developers provide additional discounts for early bookings. As a result, financial returns and ROI are virtually guaranteed in such ventures.
