Off-Plan or Ready Property
How escrow protects you in Dubai
- A developer who sells off-plan must open an escrow account with an approved escrow agent, one for each project.
- Buyers' payments go into that account and can be used only to build that project.
- The developer's creditors cannot seize the money in the account.
- 5% of the account is retained after completion and released one year after the units are registered to the buyers.
- If a project is not completed, the escrow agent, with the Land Department, acts to complete it or refund buyers.
Source: Dubai Legislation: Law No. 8 of 2007 Concerning Escrow Accounts for Real Estate Development1
Pay only into the project's escrow account, never to a personal or general company account.1,3
Off-plan and ready compared
| Off-plan | Ready | |
|---|---|---|
| Maximum mortgage, expatriate first home | 50% | 80% up to AED 5m; 70% above |
| Registration in Dubai | By the developer, within 60 days, after the buyer pays the 4% fee | At a trustee office; title deed on completion |
| Registration in Abu Dhabi | Within 21 days of the sale, or an AED 10,000 fine | On DARI, 2% of the contract value |
| Golden Visa | Qualifies from an approved developer | Qualifies |
Source: Central Bank of the UAE Rulebook: Regulations regarding mortgage loans; Dubai Land Department: Developers to pay property registration fees within 60 days; DARI help centre: Off-plan unit sale registration; ICP: UAE Golden Residency2,3,4,5
Frequently Asked Questions
Are off-plan payments protected in Dubai?
Yes. Under Law No. 8 of 2007, payments go into a project escrow account that can be used only for that project and cannot be seized by the developer's creditors.
How much can I borrow for an off-plan property?
At most 50% of the value, whoever the buyer is, under the Central Bank mortgage rules.
Sources
- Dubai Legislation: Law No. 8 of 2007 Concerning Escrow Accounts for Real Estate Development
- Central Bank of the UAE Rulebook: Regulations regarding mortgage loans
- Dubai Land Department: Developers to pay property registration fees within 60 days
- DARI help centre: Off-plan unit sale registration
- ICP: UAE Golden Residency
Figures checked 21 October 2026. Prepared by Invest-Emirates.ae for general information. It is not investment, tax or legal advice; please confirm details with a qualified adviser before acting.