Buying off-plan in Dubai
How payment plans work, where your money is held, what you register with the Dubai Land Department, and what to check before you reserve.
Read the guide
Is off-plan a good investment in Dubai?
What works in its favour, what works against it, what the last year of sales shows, and who it suits.
What the last year of sales shows
In the 12 months to Q2 2026, 131,186 of Dubai's 172,721 residential sales were off-plan, by our analysis of the Dubai Land Department's open transaction data. The median off-plan apartment sold for AED 1,349,160, or AED 1,839 per sq ft; the median ready apartment for AED 1,108,990, or AED 1,407 per sq ft.
Medians reflect the mix of homes sold, and new homes differ from older ones in size, specification and location, so compare like with like. Dubai off-plan investment properties has the figures for each area we cover.
What works in its favour
- Staged payments. You reserve with a booking payment, 5% to 20% of the price on the projects we track, and pay the rest over construction and at or after handover.
- A new home. You buy into buildings and districts still being built, to the developer's published specification.
- Escrow protection. Under Dubai Law No. 8 of 2007, your payments go into the project's escrow account and can be used only to build it.
- A registered purchase. The sale is registered on DLD's Oqood system before a title deed exists.
What works against it
- No rent until handover. The home earns nothing while it is being built.
- Limited borrowing. Under the Central Bank of the UAE's limits a bank may lend up to 50% of an off-plan home's price, against up to 80% on an expatriate's first ready home worth up to AED 5 million.
- Delays. The sale agreement sets the completion date and what happens if it slips; read it before you sign.
- Falling behind. Under Law No. 13 of 2008, as amended by Law No. 19 of 2020, a developer may terminate after a 30-day notice through DLD and keep up to 40% of the unit's value on a project more than 60% complete, or 25% below that.
- Leaving early. A resale before handover must be entered in the interim register, and developers set their own conditions for a resale NOC.
Who it suits
| Suits you if | Think twice if |
|---|---|
| You can fund every stage from savings or planned income | You would need to borrow more than half the price before completion |
| You can wait until handover for rent or a sale | You need rental income, or your money back, soon |
| You want a new home in a district still being built | You want to see and inspect exactly what you are buying |
The numbers to run before you buy
- The cash to reserve.The booking payment plus the 4% Oqood fee and AED 20.
- The total before handover.Every instalment the plan asks for before completion.
- The handover payment.How you will pay it, and whether a bank will lend on the project.
- The rent, net.A year's likely rent minus the service charge, letting costs and empty months, divided by the price.
- The price per sq ft.Against ready homes nearby, on Dubai property prices.
- The way out.The developer's resale conditions before handover, and who will buy or rent the home after it.
AED
- Highest price you can reserve
- AED 714,000
- Booking payment
- AED 71,400
- DLD Oqood fee (4% + AED 20)
- AED 28,580
- Still to pay over the plan
- AED 642,600
An estimate. Developers may add an administration fee of their own; ask for every amount due at booking in writing. Projects that fit this budget
Questions buyers ask
Is off-plan cheaper than ready property in Dubai?
Not as a rule. In the 12 months to Q2 2026, the median off-plan apartment sold for AED 1,349,160 and the median ready apartment for AED 1,108,990, by our analysis of DLD transaction data. The homes differ, so compare similar ones in the same area.
What are the risks of buying off-plan in Dubai?
Completion can slip, the home earns no rent until handover, a bank lends at most 50% of an off-plan home's price, falling behind on payments can cost up to 40% of the unit's value, and selling early depends on the developer's conditions.
Can I make money selling off-plan before handover?
Some buyers do, but nothing guarantees it. The resale must be entered in DLD's interim register, and the developer's conditions for a resale NOC apply, so read them before you reserve. Selling off-plan before handover sets out the fees and steps.
When does an off-plan property start earning rent?
From handover, once you have the keys and, for an annual tenancy, register it on Ejari. The projects we track hand over from late 2026 to 2031.
Is my money safe if the developer fails?
Off-plan payments go into the project's escrow account under Dubai Law No. 8 of 2007, which can be used only to build that project. If a project never starts, or RERA cancels it, buyers' payments must be refunded.
Sources
- Data.Dubai: Dubai Land Department real estate transactions (our analysis)
- Dubai Legislation Portal: Law No. 8 of 2007 on escrow accounts
- Dubai Land Department: registering the initial (off-plan) sale
- Central Bank of the UAE: Resolution 31/2/2020 amending the mortgage regulations
- Dubai Legislation Portal: Law No. 13 of 2008 on the interim property register
- Dubai Legislation Portal: Law No. 19 of 2020 amending Law No. 13 of 2008
Keep reading
Off-plan or ready: how to choose in Dubai
How the two compare on payments, fees, mortgages, protection and moving in, using the rules that apply to each.
Read the guide