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Can the foreigners purchase lands in the Emirate of Dubai?

The Land Department applicable regulations stipulate that UAE nationals and GCC nationals can possess lands and buildings in Dubai. Non-GCC nationals can purchase lands through Emaar Real Estate Company, Palm Project or Jumeira Projects.


Can a land or real estate be purchased in the name of a company?

 Yes, a land or property can be purchased in the name of a company on the condition that this company or establishment is registered at the competent authorities, and wholly-owned by a UAE national (100% ownership).


Could a property or land be registered in the name of a foreign company?

Yes, properties and lands within the specified areas for foreign ownership as indicated in Law No (7) could be registered in a foreign company’s name.


  What are the documents required for donated land registration?

 The following documents are required:

  • Original Land Map as issued by the Dubai Municipality (issued before six months or less).
  • Copies of passport and nationality certificates of new owners.

Can more than one donated land be registered?

 The law does not restrict the number of lands to be registered.


Can the donated land be sold?

The Land Department applicable laws and regulations stipulate that it is impermissible to dispose of the lands donated to the UAE nationals unless a permission is obtained from H. H. the Ruler. This permission that allow donated-lands to be disposed is called "No Hindrance of Disposal".


Can the donated land be mortgaged?

A person donated a land by the Ruler may mortgage such land at the banks duly licensed to operate in Dubai. Mortgage should be made against the construction on the mortgaged land provided that the mortgage is equivalent to the loan value. No mortgage is to be registered at the Land Department in favour of any mortgagee rather than the duly licensed banks to duly register the mortgages, the loan should be expensed against the construction on the mortgaged bank. The contract should contain the mode of payment of the installments of the loan value.


Can the Government-donated land, which devolved to the donee’s heirs, be disposed of?

 The laws and regulations applicable at the Land Department stipulate that the inherited lands can be disposed of after the procedures of inheritance and evaluation, if necessary, are completed.


Can the donated land be separated?

No, except in the following cases:
  • Order from H.H the Ruler.
  • Approval of the Joint Committee.
  • If the land is already separated, but there is no deed of title issued on such separation.

Can the donated lands be joined?

They cannot be joined to the free hold lands. The contrary is permissible provided that conditions of the restricted ownership apply to the land joined.


Can the donated lands be exchanged?

The Land Department registers the replacement of a donated land with another land. It does also legalize the change of the donated land of a person to another one donated to another person upon a prior exchange took place in the Municipality.


What is meant by mortgage portfolio?

A mortgage portfolio is when an individual or company decides to mortgage some or all of their properties in one mortgage contract.


What are the benefits of using a mortgage portfolio?

There are two main benefits of using a mortgage portfolio:

  • Avoiding complications.
  • Receiving a higher or more appropriate loan from the financier.


If several properties were mortgaged together in a mortgage portfolio would it be possible to redeem one of them without the others?

Yes, the mortgager has the right to redeem any one of the properties that are within the mortgage portfolio after providing the Land Department with a no objection letter from the financier.

 

Could I transfer a mortgage from one financier to another?

Yes, you could transfer the mortgage loan from one financial body to another but only after providing the Land Department with a no objection letter and mortgage termination letter from the first financier.


What are the conditions of the application for land or property mortgage?

The mortgage should not be registered in the following cases:

  • If the mortgagor is minor unless an order from the Public Prosecution is obtained.
  • If the mortgagee bank is not licensed to operate in the UAE.
  • If the land is attached.

How much are the brokerage fees?

It is recognized that the broker receives 1% of the sale value unless the two parties agree on the contrary.


Could the power of attorney be used for selling and buying properties in Dubai?

Yes, a power of attorney attained from the Dubai Courts could be used to sell and buy property in place of the original owner but only after the boundaries of the delegation has been clearly defined.

Can the fiduciary sell or mortgage a property for his own benefit using the power of attorney?

Fiduciary cannot sell or mortgage a property for his own benefit unless it is clearly mentioned in the power of attorney.


If the power of attorney was issued abroad what are the necessary procedures to legalize it in the UAE?

The power of attorney is to be accredited both in the UAE embassy located in the country where the delegation has been issued and again in the ministry of foreign affairs in the UAE.


Can the affected lands be disposed of?

The fully affected lands cannot dispose thereof. Their owners should contact the Dubai Municipality for completing the procedures of compensation. The partially affected land can be disposed of. For example, an area of land 10.000 Square Ft, 500 square feet were affected. Its owner can dispose of the remaining area. Regarding the affected area, the owner can contact the Municipality for compensation.


Who are the persons entitled to the Preemption?

  • Partners of the common property.
  • Supervisor of the common endowment in a common property.
  • Endowment reference if the endowment is a common property.


Who are the persons not entitled to the preemption?

  • The persons to whom the endowment is made unless they are endowment references.
  • The neighbors.
  • The endowment supervisor unless he is entitled to take the preemption from the endowment makers.


What are the procedures to be followed by the party entitled to the preemption?

He should apply for preemption within two months from his knowing the sale. The pre-emption case should be filed through the Land Department. To keep his rights, the date of filing the application to the Land Department should be recorded. It is worth noting that in all cases the pre-emption case shall not be heard after six months from the date of registration at the Land Department. The pre-emption case should be filed at the court in which circuit the real estate the subject of pre-emption lies. The party entitled to the pre-emption should pay the price as soon as the court specifies that. The court may give him one month grace period or less to pay the price. This is discretionary for the court. The purchaser shall have the right to ask the party entitled to the pre-emption to take or drop his right therein. The property is to be proven as owned by the party entitled to the preemption.


What are the conditions of land donation?

The Land Department registers the donations of the immovable property. It means that some person(s) transfer the whole or a part of their land to other person(s). Donation requires that the donor and donee of the free hold property should appear at the Land Department. Regarding the restricted property, a Court Certificate is required as all the hindrances of disposal of land are existing as well as all the orders withdrawing the residential donations unless they are built within five years from the date of obtaining the donation-deed of title-donation certificate from Court (this is not necessary if the free hold relevant parties have personally appeared)- passports and Khulassat Qaid [Nationality Certificates].


Could information about the owner of a property or land in Dubai be requested from the Land Department?

The Land Department will not disclose information on its clients due to the privacy policy it upholds on the matter. However, information on the land condition could be viewed via specific information machines spread all over the transaction area at the Department.


Could auction houses request to have their property related auctions within the Land Department premises?

If an auction house wanted to have its property related auction in the Land Department, it should submit a formal request for the department to revise and respond to accordingly.


At what stage could a property owner submit a request to the Land Department to issue a title deed?

Owners could submit a request for a title deed from the day they have signed the formal ownership papers (contract) with their developers. They are to request this procedure form their main developers (e.g. Emaar, Nakheel and Dubai Properties) after which they wither will receive a no objection letter that they have to represent to the department or else the developer is to undertake the whole process in their place.


How long does it take to issue a title deed?

A title deed takes no longer than 3 days to be issued if all the necessary documents were submitted.


What is meant by initial registration?

Initial registration is registering an incomplete sale (i.e. when only part of the value of the property has been paid) in the Land Department databases after which a certificate is issued indicating the sale (the amounts paid and the installments to be made).


Could a developer who owns a land development lease (Musataha) sell the remainder of their period to another developer?

Yes, the period left on a land development lease (Musataha) could be sold to another body and without attaining the approval of the original land owner. This is completed by issuing a new land development lease in the Land Department for the new developer.


What are the various compensation options for lands?

The municipality issues a letter to the Land Department to compensate owners in one of two ways, either using the monetary compensation or by replacing the said land with another.


If a deceased person was not Muslim, how will the Land Department handle the matter of their property inheritance?

Inheritance issues are decided by the deceased family members and their religion. Moreover, courts in Dubai will rule according to the inheritance procedures followed in the said person’s country of origin.



 
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