The rapidly growing real estate market of the most populated emirate of the UAE has become a major investment hub for national and international property investors. The luxurious off-plan property in Dubai, including Emirates Hills, Jumeirah Islands, Jumeirah Bay Island, etc., attract affluent buyers and investors from around the world.
Other than these luxurious properties, the off-plan properties for sale in Dubai have seized the attention of modern buyers and investors. The flexible payment plans and relatively lower prices of an off-plan property appeal to investors and buyers to buy it before its construction is completed.
If you own an off-plan property in Dubai and wish to sell it, then this article is for you. This article will feature the essential considerations and crucial factors that will help you successfully sell your property in Dubai.
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Selling Off-Plan Property Before Completion:
An off-plan property is a property for sale in Dubai that is purchased by real estate investors before it has been completed. Buying off plan property in Dubai process offers several benefits, including favorable financing terms, cheaper prices than ready-to-move-in residences, and other financial incentives. Dubai off-plan market showed a high increase in the number of transactions (59.4% from last year) with a staggering value of AED 160.46 billion.
Step-by-Step Process To Sell an Off-Plan Property in Dubai:
1. Determine Your Eligibility
The first step in selling off-plan property in Dubai is checking whether you’re eligible or not. Meeting the minimum payment requirements (30% of the total property’s cost) set by the developers of the off-plan property you’ve purchased makes you eligible for it. You have to follow the terms and criteria specified by your developer. Obtaining an occupancy certificate is also essential before selling the off-plan property.
2. Research For A Suitable Buyer
After determining your eligibility, the next step in the process is to conduct thorough research to find a suitable buyer. You can hire a reputable real estate agent from a top real estate agency who can help you with the administrative tasks and find the best buyer who wishes to purchase off-plan property for sale in Dubai. You need to provide essential documents as proof of your authority over the property to the agent.
3. Obtain A No Objection Certificate:
Obtaining NOC from the developer is essential for selling an off-plan property for sale in Dubai. This certificate is proof of confirmation that the developer has no issues regarding shifting the ownership of the property to the new buyer. The Dubai Land Department oversees this process to ensure the interests of both developer and buyer are protected.
4. Agree On Terms:
After obtaining NOC, you need to agree on the terms or strategy with the new buyer of your off-plan property in Dubai. A Sales and Price (SPA) is outlined, which includes details like purchase price for the new buyer, payment plan and duration, property handover date to the new buyer, circumstances under which either party (the current buyer or new buyer) can terminate the SPA and other conditions.
5. Signing Of Contracts:
Once the SPA is drafted, both the involved parties sign the contracts. This officially shifts the ownership of the off-plan property in Dubai from the current buyer to the new buyer.
6. Complete the Transaction:
After signing the contracts, the new buyer will become responsible for any remaining payments of the off-plan property in Dubai. This also includes paying for the service charges and transfer fee to the Dubai Land Department. After all these requirements are fulfilled, the transaction is considered completed.
What Are The Conditions For Selling An Off-Plan Property in Dubai Before Completion?
There are certain conditions that a buyer or investor who has purchased an off-plan property in Dubai needs to fulfill for selling it before completion to a new buyer, which includes:
- The majority of developers in Dubai only permit off-plan properties to be resold once the existing buyer has paid 30–40% of the property’s total worth.
- The payment plan by the developer needs to get transferred to the new buyer, which makes him/her responsible for the remaining payments.
- Filling out and signing form F is mandatory for the transfer of property ownership. Form F is a legally binding contract that outlines the rights and responsibilities of the buyer and seller to minimize the risks of disputes and ensure transparency between them.
- The buyer must get the NOC from the developer to list its off-plan property on the platforms of the property for sale in Dubai. Usually, a charging fee of AED 5,000 is needed to be paid to obtain a NOC from the developer.
- Identification proof needs to be presented by the buyers. For residents, the identification proof is UAE ID or Emirates ID, and for non-residents, it’s a valid passport or investor visa.
Conclusion:
Off-plan properties in Dubai are a safe choice among real estate investors and buyers as their rights are protected by competent authorities, including DLD and RERA (Real Estate Regulatory Authority). You can get an accurate valuation for your off-plan property that you’ve listed on the platforms for off-plan properties for sale in Dubai by hiring a reliable real estate agent.
From guiding you throughout the property selling process to providing regular updates, an experienced real estate agent in the off-plan property market can offer you significant assistance.
