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What are Title Deeds in the UAE? A Quick Guide

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June 12, 2024
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One of the first phrases many people hear when just entering the real estate market in the UAE is “title deed”. But, what is it and why is it necessary to have for a villa or property transfer in Dubai?

Read on to discover more facts and details about different aspects of this proof of property ownership.

What is a title deed?

As a legal document, a title deed establishes ownership rights over a property. The main details regarding the house, villa or property and its owner are contained in the title deed.

It includes information on the number of properties bought and the kind of ownership. Additionally, there is comprehensive data such as the building number, precise position as indicated by the plot, and size of the property. The names of the owners and their shares are also listed in the title deed.

Additionally, it contains the certificate number, the date and number of registration, and the purchase price of the property.

What are the main types of title deeds?

Property ownership for expats mainly include these types:

  • Freehold: these title deeds grant full ownership rights to the property, allowing owners to hold it indefinitely and make alterations as desired.
  • Leasehold: this type of title deed provides the right to use and occupy a property for a specific period, typically ranging from 10 to 99 years.

Whether they are offshore or onshore, foreign trusts or funds are not allowed to own real estate in Dubai. Currently, direct real estate ownership by foreign offshore companies is forbidden within the designated zones. On the other hand, ownership of property in these zones may be retained by offshore entities that held it prior to the implementation of this regulation.

They are capable of handling a range of real estate transactions, including leases and sales. They can only maintain the properties they already own; they are not allowed to buy any more.

Sample Dubai Title Deed

How to acquire a title deed?

In the process of a property purchase, the title deed is transferred from the seller to the buyer after the transaction is done.

To ensure legal protection, it is essential to register the title deed with the relevant authorities, such as the Dubai Land Department or Abu Dhabi Municipality.

The process involves submitting the necessary documentation, paying the required fees, and complying with any specific regulations set by the authorities.

The title deed will be mailed straight to the owner’s specified location after it has been issued by the DLD. Within thirty days, the title deed is delivered. The buyer receives the interim paperwork designating them as the owner up until that point.

Owners who are curious about how to verify who owns a property in Dubai can use the REST API created by DLD to verify title deed ownership. The material may also be checked out on DLD’s official website.

How to transfer property ownership?

Transferring ownership of a property requires a valid sale and purchase agreement, outlining the terms and conditions of the transaction.

Both the buyer and the seller must sign the agreement, which is then registered with the relevant authorities.

Please note that in certain cases, for example, when selling a property that is still under a mortgage, you have to obtain a No Objection Certificate (NOC) from the bank or financial institution.

This certificate ensures that the mortgage is cleared, allowing for a smooth ownership transfer.

How much to pay for a house transfer?

For less than about AED 950, you could transfer a title deed or property in Dubai. Find more details on transfer fee in below:

  • Each title deed: AED 250
  • Land map: AED 100
  • The villa and apartment map: AED 250
  • The unified map with Dubai Municipality: AED 325
  • Innovative fee: AED 10
  • Knowledge fee: AED 10

Need professional advice?

Remember to seek professional advice and consult with relevant authorities to ensure a smooth and successful property transaction experience in the UAE.

Here at VillaSquad, we could help you find the proper villas or luxury houses in different locations in the UAE. After finding the right house, you could be sure that experts could help you through the title deed process.