A Comprehensive Guide to the Cost of Selling Property in Dubai


Selling property in Dubai involves various costs that sellers need to be aware of to ensure a smooth and transparent transaction. Understanding these costs is crucial for sellers to make informed decisions and avoid any surprises during the selling process. In this guide, we will delve into the various fees associated with selling property in Dubai, including NOC fees, agency fees, Dubai Land Department (DLD) fees, transfer of ownership fees, early settlement fees, blocking charges, and mortgage release fees.

  1. NOC Fees (No Objection Certificate):

When selling a property in Dubai, one of the initial steps involves obtaining a No Objection Certificate (NOC) from the developer or the property’s master developer. The NOC serves as official confirmation that the property owner has settled all outstanding dues related to service charges, maintenance fees, and other financial obligations.

The cost of obtaining an NOC can vary based on the developer and the type of property. Generally, NOC fees can range from AED 500 to AED 5,000. It is crucial to check with the developer for the specific NOC fees applicable to your property.

  1. Agency Fees:

Property owners often enlist the services of real estate brokers in Dubai to facilitate the selling process. Real estate agencies typically charge a commission for their services, which is usually a percentage of the property’s selling price. In Dubai, the standard commission rates for real estate agencies range from 2% to 5% of the property’s sale value.

Sellers need to negotiate the commission rate with the chosen real estate broker before signing any agreements. Additionally, some agencies may charge additional fees for marketing and promotional activities, so sellers should be aware of these potential costs.

  1. Dubai Land Department (DLD) Fees:

The Dubai Land Department plays a crucial role in property transactions in Dubai. Sellers are required to pay various fees to the DLD during the selling process. These fees are calculated based on the property’s sale value and include:

– Transfer Fee: The transfer fee is 4% of the property’s sale value, payable by the seller. This fee is intended to cover the administrative costs associated with transferring ownership.

– Mortgage Registration Fee: If the property is mortgaged, there is an additional fee of 0.25% of the mortgage amount for registering the mortgage with the DLD.

– Knowledge Fee: A fee of AED 20 is levied for each transaction to support the DLD’s initiatives and knowledge-sharing programs.

– Innovation Fee: A fee of AED 10 is charged for each transaction to contribute to innovation and development initiatives in the real estate sector.

  1. Transfer of Ownership Fees:

In addition to the DLD fees, sellers need to account for the costs associated with the transfer of ownership. This includes fees related to the issuance of the new title deed and other administrative processes. While these fees may vary, sellers can expect to pay around AED 2,000 to AED 5,000 for the transfer of ownership.

Sellers need to engage with the DLD or seek professional advice to understand the specific fees applicable to their property.

  1. Early Settlement Fees:

If the property being sold has an outstanding mortgage, sellers should be aware of potential early settlement fees. Banks in Dubai may charge a penalty for repaying the mortgage before the agreed-upon term. Early settlement fees can vary, and sellers are advised to consult with their mortgage provider to determine the exact amount.

Understanding early settlement fees is crucial for sellers who plan to pay off their mortgage upon selling the property, as it allows for accurate financial planning and prevents unexpected costs.

  1. Blocking Charges:

Blocking charges, also known as the pre-emption right fees, may apply if the property is subject to pre-emption rights granted to certain individuals or entities. These rights allow specific individuals or groups to purchase the property before it is offered to the general market. The fees associated with blocking charges can vary and are usually negotiated between the seller and the party exercising the pre-emption right.

It’s important for sellers to be aware of any pre-emption rights associated with their property and to factor in the potential blocking charges during the selling process.

  1. Mortgage Release Fee:

If the property is mortgaged, sellers need to consider the mortgage release fee, which is charged by the mortgage provider for releasing the property from the mortgage lien. This fee is typically a percentage of the original mortgage amount and can range from 0.1% to 1%, depending on the bank.

Sellers should contact their mortgage provider to obtain accurate information on the mortgage release fee and to understand the process involved in releasing the property from the mortgage.

Real Estate Brokers and Property Management Companies in Dubai:

Engaging the services of real estate brokers in Dubai is a common practice for property sellers. These professionals assist in marketing the property, negotiating deals, and facilitating the overall selling process. Sellers should carefully select a reputable real estate broker and factor in their commission when estimating the overall costs of selling.

Additionally, property management companies in Dubai may play a role in the selling process, particularly if the property is part of a larger development or community. These companies may charge fees for services such as maintenance, documentation, and other administrative tasks. Sellers should inquire about these fees if applicable to their property.

Off-Plan Property in Dubai:

For sellers of off-plan properties, unique considerations come into play. Developers often have specific processes and fees associated with the resale of off-plan units. Sellers should refer to their sales agreement and consult with the developer to understand any restrictions, fees, or approval processes involved in selling off-plan properties in Dubai.

Luxury Property in Dubai:

Luxury property in Dubai may attract a different set of fees and considerations. The selling process for high-end properties often involves specialized marketing strategies and real estate brokers handling luxury properties may have higher commission rates. Sellers of luxury properties should factor in these additional costs and choose a real estate broker with experience in the luxury market.

Buying Property in Dubai:

While the focus of this guide is on the costs associated with selling property in Dubai, it’s worth mentioning that buyers also incur certain expenses. Buyers typically pay a registration fee, and agent’s commission (if applicable), and may also consider mortgage-related costs. Sellers should be aware of the potential impact of these buyer-associated costs on negotiations and the overall transaction.


Selling property in Dubai involves a comprehensive understanding of the various charges associated with the process. From obtaining the No Objection Certificate to settling DLD fees and addressing mortgage-related costs, sellers need to be diligent in their financial planning. Seeking professional advice, engaging with relevant authorities, and collaborating with real estate brokers and property management companies can ensure a transparent and smooth selling process, allowing sellers to make informed decisions and successfully conclude their property transactions in Dubai.

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