Buying off-plan properties is one of the most intelligent ways to invest in real estate. Intelligent buyers searching for reduced initial outlays with both higher long-term or short-term ROI usually go for off-plan properties. When an off-plan unit has significantly increased in value, investors can now resell the unit at a significantly higher price even whilst still under construction.
WHEN CAN YOU SELL MY OFF-PLAN PROPERTY?
After gaining some value on your off-plan investment, it’s important to know the rules and regulations before attempting to sell your off-plan property.
Several measures have been put in place to ensure that the Dubai market is a safe and secure place to invest. One of these measures is the minimum payment by the first seller. This has a direct influence on buyers looking to sell their off-plan property before it is completed. For instance, Emaar Properties, Dubai’s largest developer, now demands owners to pay off a minimum of 40% of their off-plan property before it can be sold to a new owner. Although this 40% figure varies from developer to developer, therefore it’s important to double-check with each one.
The procedure of selling an off-plan property is comparable to selling a ready property once the minimum repayment requirement has been fulfilled. Buyers and sellers agree on a price and terms, sign contracts, and apply for a NOC, which allows the new buyer to register with the developer and take over all outstanding payments once the transfer is complete. It’s also worth mentioning that, the new buyer no longer have to pay for the 4% DLD as this has already been paid for by the first buyer
Now that you know the regulations governing the selling of off-plan properties, below are the steps to ensure a successful transaction.
Choosing an agent: Finding a reputable real estate agent is the first step. It is preferable to seek out an expert who is more knowledgeable about Dubai, and there’s no better choice than The Property Investor.
Get your documents ready: You must have all of the necessary documentation in order to sell your off-plan Dubai property. Some documents such as NOC will also be required, this will allow the new buyer to register the developer.
Contract signing: Once the buyer is found, a contract is signed between the buyer and the seller. All necessary documents including the NOC will be handed over to the new owner.
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