Transfer fee (4%) or Registration fee (4%) or Both

Discussion in 'Dubai property' started by aliasgar_ns, Feb 20, 2014.

  1. aliasgar_ns

    aliasgar_ns Member

    Hi,
    I am buying an apartment (under construction) directly from developer.
    Can you advise if I have to pay Transfer fee (4%) or Registration fee (4%) or Both?

    Regards
     
  2. totallyproperty

    totallyproperty Administrator Staff Member

    I have done some digging for you and I am still not sure exactly what you pay as there are some reductions for developers in certain situations. I know that the transfer fee has doubled to deter those looking to make a quick buck so I would guess this will be set in stone?

    It looks to me as though you might pay both fees but do not act on this as it is not very clear at all. I would ask the developer for advice.
     
  3. iceton

    iceton New Member

    If you are buying direct from the developer you will only be required to pay the land dept registration fee, if you buy from a secondry seller who has already completed on the property then you would pay the transfer fee which in some cases can be negotiated where the seller pays 50% and buyer 50% dependant on the sellers situation and attitude. When buying from a secondry seller and where there is an intermediate agent you will normally be expected to pay the agent a 2% fee also, something a bit strange here in Dubai compared to UK is that the buyer pays the agents fees.
     
  4. iceton

    iceton New Member

    If you are buying direct from the developer you will only be required to pay the land dept registration fee, if you buy from a secondry seller who has already completed on the property then you would pay the transfer fee which in some cases can be negotiated where the seller pays 50% and buyer 50% dependant on the sellers situation and attitude. When buying from a secondry seller and where there is an intermediate agent you will normally be expected to pay the agent a 2% fee also, something a bit strange here in Dubai compared to UK is that the buyer pays the agents fees.:stupid:
     
  5. totallyproperty

    totallyproperty Administrator Staff Member

    Hi Iceton

    Many thanks for clarifying the situation.

    Regards,


    Mark
     
  6. aliasgar_ns

    aliasgar_ns Member

  7. iceton

    iceton New Member

    No problem, which development are you buying in??
     
  8. aliasgar_ns

    aliasgar_ns Member

    Al Khail Heights in Al Quoz 2
     
  9. iceton

    iceton New Member

    Ahh ok, an associate of my wife has just bought two there, that's the development that was intended for all the Armed Forces Officers isn't it and then govt decided to sell it off, looks pretty neat from what Ive seen and good location
     
  10. aliasgar_ns

    aliasgar_ns Member

    Yes!
    One of the few FREEHOLD properties (not leasehold) that you can find that a reasonable price and located in center of the city.
     
  11. shabbir ali

    shabbir ali New Member

    Registration fees

    Hi,

    I know this is a late reply to this thread. I have recently joined in and thought to share this amongst you all.

    Transfer fee (4%) or Registration fee (4%) or Both

    Its not both, its either one:

    In case you are buying directly from the developer, then, per the Land Department law, the developer is suppose to pay the registration fee of 2% of the price and the balance 2% to be paid by the Purchaser. This is Registration fees.

    In case it is being purchased from a third party that is the secondary market, then in that case it all depends on the MOU between the buyer and the seller. In many cases the transfer fee is split between the buyer and the seller. This is Transfer fees.
     
  12. propdealer

    propdealer New Member

    Have to clarify that point above exemption of fees, as per the Developer that I purchased from, I have to pay 4% and it is in my COP.
     
  13. doons124

    doons124 New Member

    Nowdays the developers do not pitch in for the registration fees, so the buyer pays the full 4%.
     
  14. Alwasol2020

    Alwasol2020 New Member

    Transefer Fee for off Plan Project can range from 500- 5000 AED , and it Should Be Called " OQOOD" which is issued by RERA a properties regulatory body of Dubai Land Dept.

    only for Completed Projects there will be 4% Title Deed charges where the Buyer / Seller shares the 4% if only agreed .
     
  15. Saad Arif

    Saad Arif New Member

    There seems to be much confusion going on among people here regarding what to pay and what not to pay. Let me clarify it all for you guys.

    1) Transfer Fee and Registration Fee are technically the same thing
    2) Law states that buyer pays 2% and seller pays 2% registration/ transfer fee unless agreed otherwise.
    3) Standard practice in Dubai is that, buyer normally pays for the 4% transfer fee.

    Conclusion: You are buying from developer, in this case 4% registration fee has to be paid by you because I am yet to see a developer in Dubai who agrees to pay 2% from his side.

    Regards,
    Saad Arif :)
     
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