Buying property in Dubai is one of the most attractive investment choices for global investors and residents. Dubai offers a tax-friendly environment, world-class infrastructure, high rental yields, and strong capital appreciation. But before buying any property- whether off-plan, freehold, or resale, it is important to understand the Guide of taxes and fees for property in Dubai.
This blog explains every cost involved, including Dubai property taxes, Dubai real estate taxes, property purchase fees Dubai, Dubai property transfer fee, DLD fees Dubai, mortgage registration charges, service charges, hidden charges, and all the administrative fees you must be aware of. Consider this your Dubai property tax guide before making an investment.
Why Buyers Should Understand Dubai Property Fees
Although Dubai does not charge annual property tax, buyers still face various one-time charges, transfer fees, registration fees, and service charges. Understanding these helps you:
- Plan your budget
- Avoid hidden charges
- Compare property options wisely
- Ensure smooth ownership transfer
- Calculate the exact property buying cost in Dubai
Dubai Land Department (DLD) Fees – The Core Property Fee
The Dubai Land Department fees are the biggest component of Dubai property taxes. Though Dubai does not charge a typical annual tax, it charges a one-time 4% transfer fee.
DLD Transfer Fee Breakdown
| Fee Type | Details |
| DLD Transfer Fee | 4% of the property price |
| DLD Admin Fee | AED 580 |
| Trustee Office Fee | AED 2,000 – AED 4,000 |
This 4% transfer fee applies to:
- Ready properties
- Off-plan properties
- Secondary market (resale) properties
This fee is mandatory for all buyers and is part of the Dubai real estate charges.
Property Registration Fees in Dubai
After paying the DLD transfer fee, buyers must pay Dubai property registration fees.
Registration Fee Structure
| Property Price | Registration Fee |
| Below AED 500,000 | AED 2,000 |
| Above AED 500,000 | AED 4,000 |
These fees are paid at the Real Estate Trustee office and are included in the Dubai transaction fees.
Real Estate Agency Commission
When buying through a real estate agent, you must pay a commission.
Typical Agency Commission
- 2% of the property value + 5% VAT
This is a standard charge and part of the property purchase fees Dubai.
NOC Fees (No Objection Certificate)
For resale properties, developers issue an NOC to confirm:
- All payments are cleared
- No outstanding mortgage
- No violations
NOC Fee Range
AED 500 – AED 5,000
Developers like Emaar, Nakheel, Damac, and Dubai Properties charge different NOC amounts. Many buyers don’t expect this cost, so it is often counted among the hidden charges when buying property in Dubai.
Mortgage Registration Fee & Valuation Fee
If the buyer takes a loan, two fees apply:
A. Mortgage Registration Fee (DLD)
Charged on the mortgage amount:
0.25% of loan amount + AED 290 admin fee
B. Property Valuation Fee (Bank)
Banks conduct a valuation before approving a loan.
AED 2,500 – AED 3,500
These are categorized under mortgage registration fee Dubai and property valuation fee Dubai.
Admin Fees for Property Purchase Dubai
Administrative fees vary by trustee offices and developers.
| Admin Fee Type | Estimated Cost |
| Title Deed Issuance | AED 520 |
| Knowledge Fee | AED 10 |
| Innovation Fee | AED 10 |
| Document Courier Fee | AED 40–AED 80 |
| Trustee Admin Fee | AED 400 – AED 800 |
These are part of the admin fees for property purchase Dubai.
Service Charges (Annual Maintenance Fees)
Dubai does not charge annual property taxes, but homeowners must pay service charges, known as service charges RERA Dubai.
These maintain:
- Building common areas
- Pools and gyms
- Security and cleaning
- Landscaping
- Lobbies and parking
Average Service Charge Range
AED 10 – AED 35 per sq.ft per year
Example:
1,000 sq.ft apartment → AED 10,000 – AED 35,000 annually
This is included in annual property fees Dubai and Dubai property service charges.
Off-Plan Property Fees in Dubai
Off-plan buyers must pay additional charges such as:
| Off-Plan Fee Type | Amount |
| Oqood Registration Fee | AED 5,250 |
| DLD Transfer Fee | 4% |
| Registration Fee | AED 2,000–4,000 |
| Mortgage Registration Fee | If applicable |
These are counted as Dubai off-plan property fees.
Fees for Foreign Buyers in Dubai
- Foreign investors do not pay additional taxes.
- Dubai treats foreign and local buyers equally.
Fees Applicable to Foreign Buyers
- 4% DLD fee
- Registration fee
- Agency commission
- Service charges
- Mortgage fees (if financed)
- NOC fee for resale properties
These make up the fees for foreign buyers in Dubai.
Freehold Property Charges
Properties in freehold communities come with:
- Master community fees
- Higher service charges (if luxury project)
- Premium NOC fees
These are part of Dubai freehold property charges.
Resale Property Fees in Dubai
When buying a resale unit, the following charges apply:
- 4% DLD transfer fee
- AED 2,000–4,000 registration fee
- NOC fee
- Agency commission
- Service charge clearance
These fall under resale property fees Dubai.
Upfront Cost of Buying Property in Dubai (Complete Table)
Below is a full breakdown of all upfront costs:
| Cost Type | Amount |
| DLD Transfer Fee | 4% |
| Registration Fee | AED 2,000–4,000 |
| Agency Commission | 2% + VAT |
| NOC Fee | AED 500–5,000 |
| Mortgage Registration | 0.25% of loan amount |
| Valuation Fee | AED 2,500–3,500 |
| Admin Fees | AED 500–2,000 |
| Oqood (Off-plan) | AED 5,250 |
These collectively form the upfront cost of buying property in Dubai and the total cost of buying real estate in Dubai.
Hidden Charges When Buying Property in Dubai
Some charges are not visible in the advertised price but must be considered:
Hidden Fees Include:
- Bank valuation fee
- Trustee office fee
- Service charge deposits
- DEWA connection deposits
- Move-in permit fee
- Chiller deposits (in some areas)
These are typically known as hidden charges when buying property in Dubai.
Full Cost Summary: Property Buying Cost in Dubai
When adding all fees together, buyers must account for 6% to 8% additional cost of the property price.
Example for AED 1,000,000 property:
- DLD Fee: AED 40,000
- Registration: AED 4,000
- Commission: AED 20,000
- NOC: AED 1,500
- Admin: AED 1,000
Total Upfront Fees ≈ AED 66,500 (without mortgage)
This is the complete property buying cost in Dubai.
Conclusion
Dubai continues to attract investors because of its no annual property tax policy, transparent laws, strong rental returns, and lifestyle benefits. But to make the right investment, buyers must clearly understand all Dubai property taxes, Dubai real estate taxes, Dubai property transfer fees, DLD fees Dubai, Dubai property service charges, mortgage fees, NOC fees, and more. For guidance on choosing the ideal location, check out our best Dubai areas for Indians to find neighborhoods that match your investment goals.
This Guide of taxes and fees for property in Dubai helps you calculate your exact budget and avoid unexpected expenses. Whether you are buying off-plan, ready, freehold, or resale property, having clarity on all charges ensures a smooth and smart investment decision.
If you are exploring investment opportunities, you can also check premium residential projects such as Venera Residences, Evergreens Residences, Hyde Residences, and Parkland Residences. For luxury villa living, explore Saadiyat Lagoons ,one of Abu Dhabi’s most prestigious communities.
To browse more curated and verified properties, visit Lykans Realty’s residential listings and discover options that match your lifestyle and investment goals.
Faq
- Do I have to pay annual property tax in Dubai?
No, Dubai does not charge annual property tax on residential properties.
- What is the DLD transfer fee?
It is a one-time 4% fee paid to the Dubai Land Department when buying a property.
- Are there hidden charges when buying a property in Dubai?
Yes, such as NOC fees, valuation fees, trustee fees, and service charge deposits.
- How much are Dubai property service charges?
Service charges range from AED 10 to AED 35 per sq.ft per year.
- Do foreigners pay extra fees when buying Dubai property?
No, foreign buyers pay the same fees as UAE residents.
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