This week has been crazy for off-plan sales at Carlton Real Estate. I have personally sold 6 units in Sunset Rise and Marina Vista on Emaar Beachfront and one unit in Burj Royal, Downtown, also by Emaar. Below is some advice on buying off plan and my personal favourite projects that are on the market now with great payment plans and potential growth.
Why buy off plan now?
The prices are low and in line with today’s market rates with completions post-2020 which gives the buyer a good chance of appreciation on the purchase price.
Supply post-2020 is less than what it has been in the previous two years which gives demand a chance to catch up with supply. With new investor visas and revised trade license requirments, we will expect the population to grow at a faster rate than before This is also due to fewer project releases since 2017.
Payment plans are affordable, waived DLD fees (4%), post-payment plans, large % of payment only due on completion allowing the buyer to get up to 75% finance or spread out the cost of payment after receiving the keys.
Changes in the law, 10-year investors visas, stronger regulations for Developers and Escrow Accounts, explained below:
Law No. 8 of 2007 on Escrow Accounts for Real Estate Developments in the Emirate of Dubai Pursuant to this Law, developers that intend to sell units off-plan in a real estate development project must open a separate escrow account for the project with an escrow agent (bank/financial institution) accredited by the Dubai Land Department (DLD). The developer must deposit in a project escrow account all amounts paid by the purchasers of off-plan units and loan payments funded by financiers for the purpose of construction of the real estate development project. The amounts deposited in the escrow account shall be allocated exclusively for the purposes of construction of the real estate development project and settlement of the project financing payments in accordance with the Law. Project escrow accounts are audited and monitored on a regular basis by the Real Estate Escrow Account Division of the Real Estate Regulatory Agency (RERA), the regulatory arm of the DLD.
Key Issues Investors Need to Know when Buying Real Estate Off-Plan
Before signing an off-plan unit sale and purchase agreement, buyers should visit the Dubai Land Department (DLD) and the Real Estate Regulatory Agency (RERA) or the DLD’s website (www.dubailand.gov.ae) to check the following:
1. Is the real estate project registered with RERA?
2. Is there an escrow account for the project? What is the escrow account number and the name of the escrow account agent?
3. What is the percentage of completion of the project and the expected date of completion?
4. Is the developer registered with RERA? Does the developer own the development land or is there a development agreement between the owner and the developer?
5. Does the developer have the required permits and approvals from DLD and RERA to sell units off-plan in the relevant project?
Carlton Real Estate
extracts from ‘Know your rights’ from Dubai Land Department and Al Tamimi Report found on the DLD website
Sunrise Bay Emaar Beachfront
Exclusive Ramadan Offer on Sunrise Bay
Pay 25% and Get The Keys
Remaining 75% to
Be Paid Over 3 Years
3 Years Service Charge Waiver
Offer available on 2, 3 and 4 bedrooms, completion October 2021
Life on the Island
Sunrise bay’s two towers are conveniently connected to each other through a podium deck boasting world-class sports facilities, access to several retail and healthcare facilities and private parking spaces. A family-friendly promenade dotted with the finest restaurants, retail outlets and chic cafés runs alongside the 750-metre sandy beaches flanking either side of your seaside home.
Emaar South EXPO Golf Villas 4
Greenview by Emaar
3 bedroom Villas from AED1,000,000 NO DLD fee save 4% no commission
60% during construction
20% post completion with 1% monthly instalments
3 and 4 bedroom Villas available
Completion April 2022
Email email@example.com to register your interest the official launch is at 8 pm today