We can tell those wondering how to sell property in Dubai that it’s not a complex process. The real estate regulations of the United Arab Emirates (UAE) are straightforward, making it easy for foreigners to sell their houses or apartments in Dubai. However, there are still several things to consider before putting your home for sale.
What you need to know about selling property in Dubai
Dubai’s real estate market is regulated by the Real Estate Regulatory Agency (RERA) and the Dubai Land Department (DLD). Before starting your property sales journey, it’s essential to familiarize yourself with the regulations and procedures set by these authorities. It’s important to know that foreigners can sell property in Dubai, just as they can buy Dubai property. There is no capital gains tax to be paid when you sell a house or apartment in Dubai, but there are a few fees you might have to pay to the government.
Step 1: Find a good real estate agent to sell property in Dubai
Working with a good real estate agent is the first and most crucial step. Even though foreigners can sell property in Dubai without an agent, getting assistance from a real estate agent is still smart. Ensure that the agent is registered with RERA, as all RERA-approved agents adhere to the rules and regulations outlined by the DLD, ensuring their professionalism and trustworthiness.
When choosing an agent, consider their expertise in your property’s area and track record. A good connection with your agent is also essential, as you’ll need to communicate your concerns and seek their advice throughout the Dubai property sales process.
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Step 2: Fill in FORM A
Once you’ve chosen a real estate agent, you must sign an agreement with them using FORM A. This form mandates the marketing and brokering of your property to the real estate agent, comparable with a power of attorney to sell property in Dubai. It includes property details, agent commission, service charges, payment schedules, mortgage status, and listing details. Once FORM A is signed, it’s submitted to the DLD’s Trakheesi system for approval.
Step 3: List your property
The real estate agent will ensure your property is listed on several real estate broker platforms. You can also list the property on several listing platforms, such as our property platform. Listing your property involves providing detailed information, such as its location, size, amenities, and unique selling points. This information is used to market the property to potential buyers.
Step 4: Advertise your property sale
Effective advertising is crucial if you want to sell Dubai property fast, as it will attract potential buyers. Usually, your real estate agent will handle this by listing your property on online portals, advertising in local newspapers, and using social media platforms.
Step 5: Negotiate and close the deal
You enter the negotiation phase once potential buyers show interest. Let your real estate agent do the negotiations, as they are experts in this and can ensure you get the best deal possible. After agreeing on the terms, you move to the contract-signing stage.
Step 6: Signing FORM F
FORM F, the Memorandum of Understanding (MOU), is the sales contract between the buyer and seller. This agreement contains all terms, such as the price, property details, and selling costs. Both parties must sign this legally binding contract.
Step 7: Getting NOC
You’ll need a No Objection Certificate (NOC) from the property developer before finalizing the property sale. This certificate confirms that you have no outstanding debts or liabilities with the developer.
Step 8: Transfer property ownership at the Dubai Land Department
The final step of selling property in Dubai involves transferring ownership at the DLD. All parties be must present, including the seller, buyer, and real estate agent. The buyer pays the remaining purchase amount, and the seller will pay the transfer fees. A new Title Deed will be issued in the buyer’s name.
When is it a good time to sell property in Dubai?
The best time to sell property in Dubai depends on various factors, including market trends, the property condition, and your financial situation. It’s advisable to work and consult with a real estate agent in Dubai and monitor the market closely.
Fees and taxes for selling property in Dubai
When you want to sell property in Dubai, it’s essential to consider the following fees and taxes:
- Real estate agency fees: The agency fee for real estate agents in Dubai is usually 2% of the property’s sale price. It’s important to mention the cost in FORM A.
- NOC fees: The fee to obtain the NOC at the Dubai Land Department usually ranges between AED 500 ($135) to AED 5,000 ($1,350).
- Dubai Land Department fees: This fee, known as transfer fee or transfer tax, is set at 4% of the property’s sale price.
- Registration fees: This fee usually is entirely paid by the buyer or divided between the buyer and seller. The height of the cost depends on the property’s sale price:
- AED 2,000 ($540) if the transaction value is less than AED 500,000 ($135,000) and;
- AED 4,000 ($1,080) if the transaction value is more than AED 500,000 ($135,000).
Buy and sell property in Dubai with Own Property Abroad
Do you want to sell property in Dubai? Own Property Abroad can assist you and ensure a seamless and hassle-free property journey. Thanks to our extensive knowledge and local experience in the Dubai property market, we can help with legal requirements, finding suitable properties, negotiating the best deals, and conducting due diligence.
At Own Property Abroad, we simplify selling property in Dubai for foreigners. Our team of experts ensures a seamless experience. Kindly drop your details below or email us at email@example.com. Let’s start working on your property success story today!
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Frequently Asked Questions (FAQs)
Can I sell property in Dubai without a real estate agent?
Yes, you can sell your property in Dubai without a real estate agent. However, navigating the selling process independently requires a thorough understanding of the Dubai Land Department’s regulations and procedures. Many choose to use agents for their expertise and market connections.
Is it easy to sell property in Dubai?
The right preparation and knowledge can make it easy to sell property in Dubai. The city’s dynamic real estate market attracts global investors. The selling process can be efficient by ensuring your property is well-presented and priced correctly and by understanding the local regulations.
Do I pay tax for selling property in Dubai?
Dubai does not impose capital gains tax on individuals who sell property in Dubai. However, there are transaction fees involved in the selling process. It’s always recommended to consult with a local expert or legal advisor to understand all financial implications.
How to sell mortgaged property in Dubai?
To sell a mortgaged property in Dubai, you must obtain a liability letter from your bank detailing the outstanding mortgage amount. Once you have a buyer, the buyer’s bank will settle the mortgage on your behalf, and the remaining funds will be transferred to you. It’s essential to coordinate with both banks to ensure a smooth transaction.