Off-plan purchase, developer strength, escrow account, title registration: what to verify before committing — and the role of a lawyer, independent from the agent and the developer.
Dubai offers a protective framework for off-plan purchases: buyers' payments pass through an escrow account governed by Law No. 8 of 2007, and the transaction is registered with the Dubai Land Department (DLD) and supervised by RERA, the off-plan sale contract being recorded on the interim Oqood register. These safeguards do not remove every risk: the developer's financial strength, delivery timelines, title conformity and contract terms still have to be checked before signing. A lawyer reviews these points upstream, in full independence from the agent and the developer.
Dubai's Law No. 8 of 2007 requires that sums paid by buyers of an off-plan project be deposited into an escrow account opened in the name of the project with an approved institution. Funds are released to the developer only as construction progresses, as certified by an engineer. The developer must also demonstrate a commitment of its own (a deposit of a portion of the estimated construction cost, or an equivalent bank guarantee) before being authorised to market the project.
The mechanism secures the allocation of funds to the project; it guarantees neither the delivery date, nor the quality of the works, nor the developer's overall financial soundness. Checking the developer's track record, its past deliveries and the delay clauses remains essential.
Every off-plan project must be registered with the Dubai Land Department and linked to a RERA-approved escrow account before any marketing. The off-plan purchase contract must be recorded on the interim Oqood register to be enforceable; final ownership is then evidenced by the title deed issued by the DLD on handover. The acquisition must be located in a freehold zone open to foreign ownership.
GEOTAX does not act as an agent, developer or Emirati notary: the firm reviews your file before you commit, identifies the points requiring attention, articulates the transaction with your French tax situation (IFI, residence, filings) and, where needed, directs you to trusted local counterparts. Your interest remains the only compass.
A review of the sensitive points of the transaction and their France-UAE tax articulation, before you commit.
Have my project reviewedOff-plan purchases concentrate most avoidable accidents. Protection comes not from the developer's sales pitch but from three verifiable milestones: registration of the contract on the interim register (Oqood), payment of funds exclusively into the project's escrow account opened in the developer's name under regulatory control, and consistency between the contractual payment schedule and actual construction progress. A payment requested outside escrow, a project without a registration number, or a schedule disconnected from progress are three immediate stop signals.
| Milestone | What to verify | Red flag |
|---|---|---|
| Project | Developer and project registered (RERA/DLD), dedicated escrow account | Project "being registered", bank details in another entity's name |
| Contract (SPA) | Payment schedule, reciprocal delay penalties, delivery clause, plans annexed | One-sided penalties, "indicative" areas, missing annexes |
| Payments | Every instalment into the project's escrow account, receipts kept | Request for a "direct" or offshore transfer |
| Registration | Oqood issued in your name after the first payment | Registration "deferred" without justification |
| Handover | Snagging, conformity with plans, transfer of the title deed onto the final register | Pressure to accept without reservations |
On the secondary market as on new builds, the pre-signature review of a Dubai acquisition systematically covers: the seller's exact identity and capacity to sell; the title deed and absence of charges or unreleased mortgage; the position of any sitting tenant; service-charge status and arrears; the zone's eligibility for full foreign ownership; the property's conformity with registered plans; the developer's NOC for transfer; the complete computation of transfer fees and commissions; the funds-release timeline; and the price's consistency with recorded transactions in the area. Each point leaves a documentary trace — and it is that trace we require, item by item, before signature.
The estate agent brings the parties together; the conveyancer executes the transfer; neither answers for your home-country tax position or for the scheme's fit with your estate — whatever that home country is. The firm's work sits exactly there: reviewing the SPA before signature (not after), sequencing payments against the protective milestones, settling the ownership structure before registration — a title deed cannot be restructured without friction — and preparing the home-country side simultaneously (local bank account, financing, future taxation of rent or resale) — in full for French clients, in coordination with your local adviser for other jurisdictions. Securing the deal is not one more step in the transaction: it is the order of the steps that changes.
References current as at 12 July 2026. Emirati real-estate law falls within the remit of local authorities; this page is informative and does not constitute Emirati-law advice.