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What it costs to buy property in Dubai, before the keys are yours.

The full one-off cost ledger, the deposit each residency needs, and a worked example of the cash you actually have to put on the table. Matched to the rates banks and the DLD apply in 2026.

By the Mulki team · Updated 9 June 2026

Quick answer

Plan for about 7% of the price in one-off costs on top of your deposit. The 4% DLD transfer fee is the bulk of it, with agency, registration and, if you finance, mortgage costs making up the rest. None of it is added to the loan, so it all has to be cash in hand on transfer day.

In short
  • One-off buying costs run about 7% of the price. On a AED 1.5 million purchase that is roughly AED 102,000, separate from the deposit.

  • The 4% DLD transfer fee is the single largest line, and the buyer pays it in full on transfer day.

  • Your deposit depends on residency: about 20% for a resident expat, 15% for a UAE national, and 40% or more for a non-resident.

  • If you finance, two limits bind: the loan-to-value cap and a 50% debt burden ratio on your monthly income. The tighter of the two decides the loan.

  • Fees are never financed. The cash to transact is your deposit plus the full 7%, ready before you sign.

The one-off costs of buying

Buying in Dubai carries no annual property tax and no stamp duty in the British sense. The transaction itself has a fixed set of fees, and they run larger than most first-time buyers expect. Here is the full ledger on a AED 1.5 million apartment bought with a mortgage, line by line, so nothing surprises you at the trustee office.

One-off buying costs: AED 1.5 million purchase with a mortgage
CostRateAED
DLD transfer fee4% of price60,000
Agency commission2% + VAT31,500
Registration trustee feeAED 4,000 + VAT4,200
Mortgage registration0.25% of loan + 2903,290
Bank valuationAED 3,000 + VAT3,150
Title deed issuanceFlat580
Total one-off costsAbout 6.85%102,720

Rates current at June 2026. DLD transfer 4% of price; registration trustee AED 4,000 plus 5% VAT for properties above AED 500,000; agency 2% plus VAT; mortgage registration 0.25% of the loan plus AED 290; bank valuation AED 3,000 plus VAT. Mortgage lines assume an 80% loan of AED 1,200,000.

Two of these lines disappear if you buy in cash: mortgage registration and the bank valuation. Drop them and the one-off costs fall to about AED 96,280, or 6.4% of the price. The other five stand regardless. The 4% DLD fee alone is AED 60,000 on this purchase, which is why the headline rule of thumb, keep 7% aside, is built almost entirely around it.

How much you can borrow

A Dubai bank decides your loan with two caps. The first is loan-to-value, set by the UAE Central Bank and tied to your residency and the price. The second is the debt burden ratio: your total monthly repayments cannot exceed 50% of your monthly income. You get the lower of what the two allow.

Maximum loan-to-value by buyer and price
BuyerUp to AED 5MAbove AED 5M
UAE national85%75%
Resident expat80%70%
Non-residentAbout 60%About 60%

UAE Central Bank mortgage caps for a first residential property. Non-resident caps are set by individual banks and commonly land near 60%. The minimum deposit is the difference from 100%.

So a resident expat buying our AED 1.5 million apartment can borrow up to 80%, AED 1.2 million, and needs AED 300,000 down. If their income makes the monthly payment breach the 50% debt burden ratio, the bank lends less, and the deposit rises to match. Run both limits before you fix on a price.

Run your own

Your deposit, and the monthly.

AED

The purchase price you are planning for.

Residency status

Sets how much a bank will lend. Nationals borrow most, non-residents least.

AED

20% of price. Residents need at least 20% down, with roughly 7% more in cash for fees.

% / year

The annual rate your bank quotes. Compare the rate after any fixed period, not just the headline.

years

Up to 25 years is standard. A longer term lowers the payment and raises the total interest.

AED

Optional. Used to check the 50% debt burden ratio banks apply.

Results
Monthly payment
AED 8,668

On a AED 1,600,000 loan over 25 years at 4.25%.

Debt burden ratio
22%

Within the 50% ceiling UAE banks apply to all monthly debt repayments.

Loan amountAED 1,600,000
Loan to value (cap 80%)80%
Total interest over the termAED 1,000,343
Total repaidAED 2,600,343

Your down payment clears the 80% loan cap. Remember the 4% DLD fee and other closing costs sit on top, paid from cash rather than financed.

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The cash you actually need

People budget for the deposit and forget the fees. Add them and the real cash to transact on the AED 1.5 million apartment, with a mortgage, is the deposit plus the full one-off costs.

Cash to transact: AED 1.5 million apartment, resident expat, 80% mortgage
LineAED
Deposit (20% of price)300,000
One-off buying costs102,720
Total cash to transact402,720

Deposit at 20% of price. One-off costs from the ledger above. Excludes the first service charge invoice and moving or furnishing costs.

The fees add 34% on top of the deposit here. That is the number that catches buyers out: not the monthly payment, which the calculator above settles in seconds, but the lump the bank will not lend against. Have it ready before you make an offer, not after.

Before you commit

  • 01

    Get the pre-approval first.

    A mortgage pre-approval tells you the real ceiling under both the loan-to-value cap and the 50% debt burden ratio. It also fixes your rate window. Shopping without it means negotiating on a price the bank may not fund.

  • 02

    Keep the 7% as cash, not equity.

    The DLD fee, agency and registration are due in cash on transfer day and are never added to the loan. Set them aside separately from the deposit so a tight completion does not strand you.

  • 03

    Read the service charge before you sign.

    The first Mollak invoice lands soon after handover, and the rate is building-specific. A high-charge tower quietly changes the economics of the whole purchase. Check the per-square-foot rate against similar buildings first.

  • 04

    Price the exit, not just the entry.

    Selling later carries its own costs, mostly the 2% agency and any mortgage release. A property has to appreciate past both the buying and selling costs before you are genuinely ahead. Know that breakeven going in.

Rates and caps current at June 2026 and indicative. Bank lending terms vary by applicant and lender; the DLD and your bank confirm the exact figures for your purchase. Not financial advice.

Questions

Frequently asked questions

How much are the fees to buy a property in Dubai?
Budget around 7% of the price in one-off costs. The largest is the DLD transfer fee at 4% of the price. On top sit agency at 2% plus VAT, a registration trustee fee of about AED 4,200, the AED 580 title deed, and, if you finance, mortgage registration at 0.25% of the loan plus a bank valuation of about AED 3,150. On a AED 1.5 million purchase that totals roughly AED 102,000, or 6.85%.
How much deposit do I need to buy in Dubai?
It depends on residency. A resident expat needs at least 20% down on a first home up to AED 5 million, and 30% above that. A UAE national needs around 15%. A non-resident buying from overseas usually needs at least 40%, though the exact figure is set by the lending bank. The deposit is separate from the roughly 7% of fees, which banks do not add to the loan.
Is the 4% DLD fee split between buyer and seller?
By custom the 4% is often described as shared, but in practice the buyer pays the full 4% transfer fee to the Dubai Land Department on the day of transfer. It is calculated on the sale price and is the single biggest line in your buying costs.
What is the debt burden ratio in Dubai?
UAE banks cap your total monthly loan repayments at 50% of your monthly income, the debt burden ratio. The mortgage payment, plus any car loan, credit card minimums and other instalments, has to fit inside that half. It is one of the two limits, alongside loan-to-value, that decides how much a bank will actually lend you.
Do I pay these costs again on an off-plan purchase?
The structure is similar but the timing differs. Off-plan buyers pay a DLD registration fee (the Oqood fee) of 4% as well, usually at booking, and the agency and registration mechanics shift to the developer's process. The cash discipline is the same: keep the fees aside, they are not financed.

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