Total Cost of Buying Property in Dubai

## The Complete Cost Breakdown **Dubai Land Department (DLD) Transfer Fee — 4%** The DLD charges 4% of the agreed purchase price on every property transfer. This is the single largest transaction cost. On AED 2M that is AED 80,000. The fee is split equally between buyer and seller by convention, though legally it falls to the buyer unless the contract states otherwise. **Agent Commission — 2%** Standard buyer agent commission in Dubai is 2% of purchase price, paid to the buyer's broker at transfer. Sellers also typically pay 2% to their agent separately. On AED 2M the buyer pays AED 40,000. **DLD Admin Fee — AED 4,200** A fixed administrative fee charged by the DLD on top of the 4% transfer fee. Covers registration, title deed issuance, and trustee office charges. **Mortgage Registration Fee — 0.25% (if financing)** If you take a mortgage, the bank charges a mortgage registration fee of 0.25% of the loan value to the DLD. On a AED 1.5M loan that is AED 3,750. Most banks also charge a processing fee of AED 2,500–5,000. **NOC Fee — AED 500–5,000** The seller's developer charges a No Objection Certificate fee confirming no outstanding service charges. Paid by the seller but negotiable in price negotiations. **Total Cost Summary** | Cost | Amount (AED 2M purchase) | |---|---| | DLD transfer fee 4% | AED 80,000 | | Agent commission 2% | AED 40,000 | | DLD admin fee | AED 4,200 | | Mortgage registration 0.25% | AED 3,750 (if financed) | | Total | ~AED 128,000 (6.4%) | ## Abu Dhabi Comparison Abu Dhabi charges 2% ADM registration fee (half Dubai's rate) plus 2% agent commission. Total transaction costs in Abu Dhabi are typically 4–5% versus 6–8% in Dubai — a material difference on larger purchases. ## DRE Advisory Note Always negotiate whether the DLD fee is shared. In a buyer's market, sellers often absorb a portion. On off-plan purchases bought directly from developers, the DLD 4% is typically included in the developer's package — confirm before signing.