Calculate what you can afford, including the 2% agency fee and the 4% DLD transfer fee. If you plan to mortgage, you’ll need at least a 20% down payment. Also, factor in mortgage interest rates, typically around 3-4%, depending on the bank and the loan term. To set these calculations and budget things, your agent can help you with this.
2: Get Pre-Approved for a Loan
Pre-approval is necessary as approval from banks confirms your budget details and also strengthens your buying position. The bank analyzes your application and gives you a letter or any email stating the approved loan amount which is valid for 60 days.
3: Find a Trustworthy Real Estate Agent
To understand your budget needs and requirements you need a trustworthy and experienced agent. Who will help you provide all the necessary details which helps you find the right property quickly.
4: Start Viewing Properties
As a property consultant, your agent will highlight the communities and properties that fit your budget and needs. Make appointments to look at a number of choices until you find the perfect match.
5: Make an Offer
You need to submit your offer in writing with a 10% deposit cheque in order to get approved. However, along this you need to attach the copies of the passport and Emirates ID of all parties on the title deed.
6: Sign the Memorandum of Understanding (MOU)
Your agent will draft an MOU for you, which is a Memorandum of Understanding and is also called a Form F. The MOU document will be reviewed by you and later both parties will sign the agreement along with handling the 10% deposit in cash or cheque.
7: Sales Progression Process
If you’re using a mortgage, the bank must appraise the property. Here is a guide to settling a mortgage for property transactions.
Bank Appraisal: If you’re using a mortgage, make sure the bank appraises the property.
Final Mortgage Offer: Obtain the final mortgage offer letter from your lender.
Seller’s Mortgage: The No Objection Certificate application can't be made until the seller has paid off any outstanding mortgage.
Mortgage Settlement Statement: Get the mortgage settlement statement as soon as possible by requesting the seller for one.
Processing Time: Be aware that the settlement process can take 6-10 weeks, so plan accordingly.
8: Apply for the No Objection Certificate (NOC)
All parties meet at the developer’s office to apply for the NOC, here are some guidelines to applying for a no objection certificate (NOC) at the developer office.
Gather all necessary documents and information: Ensure you have all relevant property documents, personal identification, and proof of payment for any outstanding service charges.
Visit the developer’s office: All parties involved should be present to start the application process.
Submit the NOC application: Complete the application form which is provided by the developer.
Pay the required fee:The NOC fee ranges from AED 500 to AED 5,000. Make sure to pay the fee as per the developer’s requirements.
Ensure compliance with guidelines:Confirm that all service charges are paid and any changes made to the property comply with the developer’s guidelines.
Wait for processing: The issuance of the NOC can take up to 5 working days.
9: Transfer of Ownership
Once the NOC is issued, visit the Dubai Land Department to transfer ownership. Pay the purchase price with a manager’s cheque to the seller, the 4% transfer fee, and an admin fee (up to AED 4,000). After completing formalities, the buyer receives the new title deed and settles any overpaid service charges with the seller.
