The headline DLD transfer fee is 4%, but the true cost of registering a property is closer to 5–7% all-in. Buyers who only budget the 4% headline get a nasty surprise at the trustee office. Here's the complete breakdown.
The 4% DLD Transfer Fee
The largest single charge. 4% of the agreed purchase price, paid to Dubai Land Department on the day of transfer. Splittable in theory between buyer and seller, but in 99% of transactions the buyer pays the full 4%. There is no exemption for first-time buyers, residents, or any other category.
Trustee Office Fees
Transactions complete at a DLD-approved trustee office (or digitally via Dubai REST). The trustee charges:
- AED 4,000 + 5% VAT — for properties priced above AED 500K
- AED 2,000 + 5% VAT — for properties below AED 500K
This fee is non-negotiable and covers the trustee's role in verifying ID, witnessing transfer, and submitting paperwork to DLD.
Title Deed Issuance
AED 540 to issue the new title deed in the buyer's name. Tiny, but compulsory.
Mortgage Registration Fee (If Financed)
If you're using a mortgage, DLD charges 0.25% of the loan amount plus AED 290 to register the bank's lien against the property. For an AED 2M loan that's AED 5,290. The bank typically deducts this from the loan disbursement.
Agent Commission
Standard practice in Dubai is 2% of the purchase price plus 5% VAT, paid by the buyer to the buyer's agent. On the seller's side, the seller pays their agent the same. For an AED 2M property: 2% = AED 40,000 + AED 2,000 VAT = AED 42,000.
NOC Fee (Secondary Market Only)
The seller's developer issues a No Objection Certificate confirming no outstanding service charges. Fee varies by developer:
- Emaar: AED 5,250
- Damac: AED 5,000
- Sobha: AED 3,150
- Mid-tier developers: AED 500–2,000
The seller typically pays this, but practice varies — negotiate explicitly in Form F.
Off-Plan Specific Fees
If you're buying off-plan, you pay DLD's Oqood registration fee (4% of price, same as a finished property — the structure is the same, you're just registering a contract rather than a title). The developer often markets the project as "DLD fees waived" — read the contract; usually it means the *developer* absorbs the 4%, not that it's not charged.
The Total — Real Example
Buying a finished AED 2M apartment with a 50% mortgage:
- DLD transfer fee (4%): AED 80,000
- Trustee fee: AED 4,200
- Title deed: AED 540
- Mortgage registration (0.25% of AED 1M + 290): AED 2,790
- Agent commission (2% + VAT): AED 42,000
- NOC (mid-tier): AED 1,500
Total transaction cost: AED 131,030 — or 6.55% on top of the purchase price.
Many buyers budget only the 4% DLD fee and underestimate by ~AED 50,000 on a 2M deal. Treat 6.5% as the all-in cost on financed deals and 5.5% on cash deals.
What There Isn't
There is no annual property tax in the UAE. There is no stamp duty beyond the 4%. There is no capital-gains tax. The transaction cost is front-loaded, then your annual carrying cost is service charges and utilities only.