A Guide to the Dubai Off-Plan Market

Why Buy an Off-Plan Property in Dubai​?

Investors and owners can save a lot of money when they buy an off-plan property since its prices are much lower compared to existing or ready properties. It is also preferable for buyers who are looking to buy a property in a specific area since the options may become limited or the property might sell out once the project is completed.

Buying off-plan property is an opportunity for investors to secure property ownership without having to pay the whole amount since most developers offer a structured payment plan for a certain duration, sometimes up to a few years after completion. Investors who buy early can enjoy the initial property appreciation during the first few stages as buyers’ interest increases after good marketing, word of mouth, and from the buyers who have already bought the property.

During the early stages of the project construction, developers offer off-plan-properties at a low price which gives investors the opportunity to maximize the initial capital appreciation. Once the targets are met, developers increase the price of the remaining unsold units while offering other incentives such as property management services to make them more attractive.

On the other hand, some buyers prefer completed projects over off-plan developments as they only want to buy something tangible. However, purchasing a property at completion means paying the full market price, and buying the same property during its construction stage costs less than when it’s completed.

Explore the newest off-plan projects in Dubai, including beachfront properties, high-floor apartments, seaview properties, and more. 

How To Buy an Off-Plan Property in Dubai

First things first, get to know the project well before jumping into the buying part: where it is located, what the community is like, what conveniences it offers, the payment plan, the floor plan, the amenities, etc. Engel & Völkers Property Consultants can provide you with all the necessary details about the project to ensure a flawless transaction. Once the decision is finalised, you can finally place a deposit, which is normally between 5-15% of the advertised price, to secure the property. When the deposit is paid in full, a Sales and Purchase Agreement (SPA) will be signed by both parties, the buyer and the developer.

Then, the buyer will go through the Oqood process to register the property under their name. The property consultant should discuss the payment plan details and construction milestones until the project is completed. Once the property has reached completion, the investor can finally enjoy the capital growth and complete ownership of the property.

Stay up-to-date with the latest news and updates from Engel & Völkers Dubai. Get in touch with us at dubai@engelvoelkers.com or call us on 800 355.