Buying a home in the UAE: the cash you need on the day
Updated
How much does it cost to buy property in Dubai?
Government fees alone are about 4.5% on top of the price: on a AED 1,000,000 home the Dubai Land Department's 4% transfer fee plus the trustee, title deed and map fees come to AED 44,740 cash, or AED 47,010 with an 80% mortgage (registration 0.25% of the loan). Agent commission, the bank's arrangement and valuation fees and moving in are not set by any government and come on top; with the calculator's example amounts below (agent 2%, bank fee 1% of the loan, valuation AED 3,000, all plus VAT), a AED 2,000,000 home with a mortgage costs about 7.6% of the price in total.
| Price | Cash buyer | With a mortgage | Cash buyer + agent 2% + VAT |
|---|---|---|---|
| AED 500,000 | AED 24,740 (4.95%) | AED 26,010 (5.20%) | AED 35,240 (7.05%) |
| AED 1,000,000 | AED 44,740 (4.47%) | AED 47,010 (4.70%) | AED 65,740 (6.57%) |
| AED 2,000,000 | AED 84,740 (4.24%) | AED 89,010 (4.45%) | AED 126,740 (6.34%) |
Included: 4% transfer fee, trustee office fee (AED 4,000 + VAT, or AED 2,000 + VAT below AED 500,000), title deed, map, knowledge and innovation fees; with a mortgage also 0.25% of the loan and a second title deed. The mortgage trustee fee (AED 4,000 + VAT) is waived when the mortgage is registered on the same day as the transfer. The last column adds an agent's commission of 2% plus 5% VAT, the calculator's example amount: no authority sets agents' fees. Not included: bank and valuation fees, the developer NOC (no official amount) and the refundable DEWA deposit.
Official rule: Dubai Land Department transfer fee: 4% of the price — officially 2% seller and 2% buyer, but sale contracts in Dubai usually make the buyer pay all 4%. (source, checked 2026-10-19)
Buying a AED 2,000,000 home in Dubai with a mortgage costs about AED 152,165 in fees and taxes (the closing costs) — 7.6% on top of the price — before the down payment. Most of it is due on transfer day. Choose the emirate: government fees come from each emirate's own published fee list, the rest are typical amounts you can change.
First home vs further homes
| Case | Min. down | Down payment | Total cash |
|---|
What you pay every month after you buy
| AED | Monthly | Yearly |
|---|
- Only the mortgage instalment follows exactly from your loan, as long as the rate stays the same (what happens after a fixed period: monthly mortgage calculator). Everything else is an estimate: service charges depend on your building (DLD Service Charge Index), the housing fee is an estimate too (the official 5% is for tenants' yearly rent; no government page we found confirms what owners pay, so the calculator assumes 5% of your home's rent), and insurance depends on your quotes. The housing fee comes monthly with the DEWA bill; service charges and insurance may be billed quarterly or yearly — the monthly figure spreads them evenly.
Not a valid document. Estimate for information only — not financial advice, not an offer of credit and not a bank document. Errors are possible. Only your bank's or finance company's official offer letter, contract and statements are binding.
The fees nobody mentions up front
- 4% to the Dubai Land Department. Officially half is the seller's, but almost every Dubai sale contract makes the buyer pay all of it.
- The trustee office that registers the transfer: AED 4,000 + VAT (AED 2,000 + VAT under AED 500,000), plus title deed, map and small "knowledge" and "innovation" fees.
- Mortgage registration: another 0.25% of the loan. If it is not registered on the same day as the transfer, a second trustee fee is charged.
- The bank: arrangement fee and valuation (typical amounts; your offer letter shows the real ones). If the valuation comes in below your price, the bank lends less — and you pay the gap.
- The agent: usually 2% + VAT. The developer: a NOC fee before a resale can be transferred.
- Moving in: a refundable DEWA deposit (AED 2,000 apartment / AED 4,000 villa) plus activation (AED 125 small meter / AED 300 large meter) and AED 30 in registration, knowledge and innovation fees.
- Every year: service charges, the municipality housing fee on your DEWA bill, and insurance.
The full picture, including first-time buyers and second homes, is in buying a home in Dubai: every cost.
Questions people ask
Are the buying fees the same in every emirate?
No — each emirate sets its own fees: Dubai 4% of the price, Abu Dhabi 2% of the contract value, Sharjah 2% for the buyer (plus 2% for buyers who are not UAE or GCC citizens), Ajman 2% or 3%, Ras Al Khaimah 2% for the buyer. Umm Al Quwain and Fujairah publish no rates. The Central Bank loan limits are the same everywhere.
How much are DLD fees when buying in Dubai?
In Dubai, 4% of the price as transfer fee, plus AED 250 title deed, AED 250 map, small knowledge and innovation fees, and the trustee office fee of AED 4,000 + VAT (AED 2,000 + VAT under AED 500,000). With a mortgage, add 0.25% of the loan for mortgage registration.
Who pays the 4% DLD fee, buyer or seller?
Officially 2% each, but most Dubai sale contracts make the buyer pay the full 4%. Check your contract.
How much down payment for a second home in Dubai?
At least 40% for expats and 35% for UAE nationals — for the second, third and every further home or investment property.
Are there fees after I move in?
Yes: service charges, the Dubai Municipality housing fee collected on the DEWA bill, and the insurance your bank requires. DEWA also takes a refundable deposit when you connect. The housing fee for owners is not confirmed on any government page; the calculator shows an estimate.
What is the 4% DLD fee in Dubai?
The Dubai Land Department's fee for registering the transfer of a property: 4% of the price — AED 40,000 on a AED 1,000,000 home. Officially it is split 2% seller, 2% buyer, but Dubai sale contracts usually make the buyer pay all of it; title deed, map and trustee fees come on top.
How much money is needed to buy a property in Dubai?
For a AED 1,000,000 first home as an expat with a mortgage: at least AED 200,000 down payment (20%) plus about AED 47,010 in government fees, before agent commission and the bank's fees. UAE nationals need at least 15% down; second homes 40% (expats) and off-plan 50%.
What is the property value if Dubai Land Department property registration fees is AED 40,000?
In Dubai, AED 1,000,000, if the AED 40,000 is the 4% transfer fee: 40,000 ÷ 4% = 1,000,000. The fixed title deed, map and trustee fees are charged on top of the 4%.