Every UAE property purchase comes with a list of fees charged by different parties at different stages — the land department, the bank, the agent, the developer and sometimes a lawyer. Miss one and your budget breaks; misunderstand one and you might pay a fee you could have avoided. This guide to Common Property Purchase Fees lists each fee you are likely to meet, what it is for, what it typically costs, and when it falls due.
Think of it as the companion to the big-picture cost breakdown: where our property buying costs guide shows you the totals to budget, this article names every line item so nothing catches you off guard.
Quick Answer
The most common property purchase fees in the UAE are: the land department transfer fee (4% of the price in Dubai, around 2% in Abu Dhabi), the agent’s commission (about 2% plus VAT), the mortgage arrangement fee (around 1% of the loan) plus valuation and mortgage registration, the developer’s No Objection Certificate (NOC) fee, title deed issuance, trustee registration fees, and — for off-plan — interim (Oqood) registration. Together they typically add 6–9% to the purchase price. Each is explained below with typical amounts and timing.
Common Property Purchase Fees at a Glance
| Fee | Typical Amount | Charged By | Due When |
|---|---|---|---|
| Transfer fee | 4% of price (Dubai); ~2% (Abu Dhabi) | Land department | At transfer |
| Transfer admin fees | AED 430 – 580 + AED 10 + AED 10 | Land department | At transfer |
| Agent commission | ~2% of price + 5% VAT | Real estate agency | On signing the sale contract |
| Mortgage arrangement fee | ~1% of loan amount | Bank | On loan approval / disbursement |
| Property valuation fee | AED 2,500 – 3,500 + VAT | Approved valuer | During mortgage processing |
| Mortgage registration fee | 0.25% of loan + admin fee | Land department | At transfer |
| No Objection Certificate (NOC) | AED 500 – 5,000 | Developer | Before transfer |
| Title deed issuance | ~AED 500 – 600 | Land department | At or after transfer |
| Trustee / registration fees | AED 2,000 – 4,000+ | Registration trustee | At transfer appointment |
| Conveyancing / legal fee | AED 5,000 – 10,000 | Conveyancer / lawyer | Through the transaction |
| Oqood (interim) registration | Part of the 4% DLD fee schedule | Land department | Off-plan, in stages |
Fee schedules are updated periodically, so confirm current amounts on the official land department portal for your emirate before paying. The Dubai transfer process guide shows the order in which most of these are paid.
Government and Registration Fees
These are the non-negotiable fees set by the authorities. Nobody can waive them, and the transfer does not complete until they are paid.
Transfer Fee
The headline government fee. In Dubai it is 4% of the sale price, collected by the Dubai Land Department; in Abu Dhabi it is typically 2%, split 1% buyer and 1% seller unless the parties agree otherwise. Other emirates generally fall in the 2–4% range. It is calculated on the registered sale price, and attempts to understate the price to cut the fee are a serious matter — the declared price must match the real transaction.
Administrative and Issuance Fees
Alongside the percentage, expect small fixed charges: the transfer admin fee (typically AED 580 for apartments and offices, AED 430 for land in Dubai), plus the standard AED 10 knowledge fee and AED 10 innovation fee. Issuing the new title deed in the buyer’s name costs around AED 500–600. Individually trivial, but they appear as separate line items on the receipt.
Mortgage Registration Fee
If a bank is financing the purchase, the mortgage itself is registered with the land department at 0.25% of the loan amount plus a small admin fee. This is separate from the transfer fee and is paid even though the buyer already paid 4% on the price.
Professional Fees: Agent, Valuer and Legal
Agent Commission
The standard buyer-side commission is around 2% of the purchase price plus 5% VAT, due when the sale contract (Form F / Memorandum of Understanding) is signed. Each side normally pays its own agent. When buying directly from a developer, the developer often pays the agent and the buyer pays nothing — always clarify this in writing. Commission is negotiable, particularly in slower markets; whatever you agree should be recorded on the agency agreement. Before you sign, it helps to compare the properties themselves carefully, since a rushed choice costs far more than any commission.
Valuation Fee
Banks require an independent valuation from an approved valuer before approving a mortgage, typically costing AED 2,500–3,500 plus VAT. The valuer works for the bank, not for you, and the fee is usually non-refundable even if the loan does not proceed. If the valuation comes in below the agreed price, the bank will lend against the lower figure — one of the quiet risks of mortgaged purchases.
Conveyancing and Legal Fees
A conveyancer or property lawyer handles document checks, the NOC application, coordination with the bank and attendance at the transfer. Fees typically run AED 5,000–10,000. It is optional — many straightforward cash deals complete without one — but for mortgaged purchases, off-plan resales or any deal with complications, professional help is money well spent. Make sure you have the required purchase documents ready before engaging one, to keep their time (and your bill) down.
Bank Fees Beyond the Arrangement Fee
The arrangement fee of around 1% of the loan is only the start of what the bank charges. Check current mortgage rates alongside these fees, because a slightly higher rate with lower fees can be the cheaper overall deal:
- Processing / application fee: some banks charge a flat application fee of AED 500–1,000 on top of the percentage arrangement fee.
- Valuation fee: AED 2,500–3,500 plus VAT, as above.
- Life / property insurance: most banks require decreasing-term life cover assigned to the loan, plus property insurance — annual premiums vary by age and loan size.
- Manager’s cheque issuance: a small fee (often AED 25–75 per cheque) for the banker’s cheques used to pay the seller and the land department at transfer.
- Early settlement fee: if you repay the mortgage early, banks typically charge around 1% of the outstanding balance (capped by the central bank’s rules). Ask about this before you sign.
Our overview of real estate financing options compares how these charges differ between banks and Islamic finance providers.
Developer and Community Fees
No Objection Certificate (NOC)
The NOC is the developer’s confirmation that all service charges on the unit are paid up and that it has no objection to the transfer. Without it, the land department will not register the sale. Fees range from around AED 500 to AED 5,000 depending on the developer — one of the widest variations in the whole fee list. Ask for the exact figure at the start of the transaction, not the week of transfer.
Service Charge Adjustments
Service charges are usually paid annually in advance. At transfer, the seller’s prepaid charges are pro-rated: the buyer reimburses the seller for the portion covering the period after the transfer date. This is not a “fee” exactly, but it is a cash outflow at completion that buyers often forget. New developments may also levy a one-off community or sinking-fund contribution on first resale.
Oqood Registration (Off-Plan)
Off-plan purchases are recorded in the interim registration system (Oqood in Dubai). The 4% DLD fee still applies but is generally collected in stages with the payment plan, and the developer handles the interim registration paperwork. Confirm in the sales and purchase agreement exactly how much is due at each stage. For more on this route, see off-plan vs ready property.
Who Pays What: Buyer vs Seller
Custom, not law, decides most splits — but custom is fairly consistent:
- Buyer usually pays: the transfer fee (in practice, often the full 4% in Dubai), their own agent’s commission, all mortgage-related fees, valuation, title deed issuance, and trustee registration fees.
- Seller usually pays: their own agent’s commission, the NOC fee in many cases (though this is negotiable), and any outstanding service charges or penalties cleared before transfer.
- Negotiable: the transfer fee split itself — some deals are struck at 2% each — plus the NOC fee and, occasionally, a share of conveyancing.
Whatever you agree, write the split into the sale contract. Verbal promises about “we’ll split the fees” are the source of a remarkable number of transfer-day arguments.
Fees You Can Reduce or Avoid
Not every fee is fixed. Practical ways buyers trim the bill:
- Negotiate the commission. 2% is the norm, not a law. In quieter markets 1–1.5% is achievable, especially if one agent represents both sides.
- Buy direct from the developer for off-plan or new stock — often zero buyer commission.
- Compare bank fee schedules, not just rates. A lower arrangement fee or waived valuation can outweigh a small rate difference.
- Skip the conveyancer for simple cash deals if you are confident with paperwork — but keep one for anything mortgaged or complicated.
- Ask about the NOC fee on day one and factor it into your offer price rather than discovering it at the end.
- Avoid double valuations. If a recent bank valuation exists for the unit, ask whether the bank will accept it.
Frequently Asked Questions (FAQs)
Which property purchase fee is the largest?
The land department transfer fee — 4% of the price in Dubai — is the single biggest cost for almost every buyer. The agent’s commission at around 2% plus VAT comes second. Together they account for the great majority of the 6–9% total buyers should budget above the price.
Do I pay these fees again if I sell later?
Yes, partially. When you sell, you will pay your own agent’s commission again and clear any NOC and service charge dues. The buyer pays the new transfer fee. Fees are per transaction, not per owner.
Are property purchase fees refundable if the deal falls through?
Generally no. Agent commission paid on signing, valuation fees and NOC fees are typically non-refundable if the buyer walks away. This is why due diligence — checking the property and the paperwork — should happen before money changes hands, not after.
Is VAT charged on the property price itself?
Residential resales are generally exempt or zero-rated for VAT, so no 5% on the price in a standard residential deal. VAT does apply to the services around it: commission, legal and valuation fees, and bank charges all carry 5% VAT.
Can fees be included in the mortgage?
Banks lend against the property value (or the lower of price and valuation), not against the fees. In practice this means fees come out of your own funds on top of the down payment. A few banks offer slightly higher loan structures, but do not count on financing the fee bill.
Do off-plan buyers pay fewer fees?
Different, not necessarily fewer. Off-plan buyers often avoid buyer-side commission and pay the DLD fee in stages, but they still face registration, valuation (if mortgaged) and eventual service charges. Always read the payment schedule in the sales and purchase agreement line by line.
The Bottom Line
Common property purchase fees are predictable once listed: the transfer fee, agent commission, mortgage and valuation charges, the NOC, title deed and trustee fees, plus the smaller admin line items. Budget 6–9% above the agreed price, get every split and every negotiable fee in writing before signing, and confirm current government fee schedules on the official portal. The buyers who overpay are rarely the ones who paid too much for the property — they are the ones who forgot the fees.
Last Updated: 8 October 2026
About the author: Zaviyar Sultan is a UAE-focused writer at Paxi, covering driving, visas, banking, insurance and everyday UAE life. His guides are researched from official UAE government and regulator sources and updated regularly.
Paxi is an independent informational website, not affiliated with the UAE government or any agency mentioned; content is general information only, not legal, immigration or financial advice; verify critical details with official sources before acting.