OffplanCompare

UAE off-plan property glossary

Plain-English definitions of every term you'll encounter buying off-plan property in the UAE — from RERA and escrow accounts to payment plans, snagging and the Golden Visa.

How to use this glossary

Every term below links to a dedicated page with a longer explanation, real-world examples and links to the regulator or DLD documentation that defines it. Use it as a reference while you read a brochure, sign an SPA, or compare projects on OffplanCompare. The list is alphabetical — but if you're new to off-plan, the most-asked entries are off-plan property, payment plan, handover, DLD fee and RERA. Every definition is written for UAE buyers specifically: terminology imported from other markets (UK, US, India) often doesn't map cleanly, and the entries here flag where it diverges.

Featured terms buyers actually search for

All terms (A – Z)

Affection plan
“Affection plan” is not a real UAE real-estate term — it’s almost always a typo or voice-typing slip for “payment plan” (or sometimes “attraction plan” / “affordable plan”).
Broker commission
Fee paid to a real-estate broker for arranging a transaction; in the UAE typically 2% of the price plus VAT for off-plan and secondary deals.
DLD fee
The 4% Dubai Land Department registration fee charged on every property transfer, payable on top of the unit price.
Ejari
Dubai's mandatory tenancy registration system; every Dubai rental contract must be registered on Ejari to be legally enforceable.
Escrow account
Project-specific bank account where off-plan buyer payments are held; funds are only released to the developer against verified construction progress.
Freehold
Ownership category that grants a buyer outright, perpetual ownership of the unit and a proportional share of the land.
Golden Visa
A 10-year renewable UAE residency granted to qualifying property investors, professionals and entrepreneurs.
Handover
The moment the developer completes construction, the unit passes inspection, and the keys (and title deed) transfer to the buyer.
Leasehold
Ownership category granting the buyer use of the property for a fixed term (commonly 99 years) rather than outright ownership.
NOC (No Objection Certificate)
Developer-issued letter required for transfers, mortgages, modifications or resales on a property still under the developer's master-community.
Off-plan property
Property bought before construction is complete, directly from the developer, usually paid for via an instalment plan tied to construction milestones.
Oqood
The DLD-issued off-plan sale certificate that records the buyer's interest in a Dubai project before the title deed is issued at handover.
Payment plan
Structured instalment schedule that splits the unit price into a down-payment, construction-linked stages, and a handover payment.
Post-handover payment plan
Instalment tail that continues after the unit hands over, letting the buyer pay a portion of the price over 1–5 years post-completion.
Rental yield
Annual gross rental income expressed as a percentage of the property's price; the primary investment-return metric for UAE buy-to-let.
RERA
The Real Estate Regulatory Agency, the Dubai authority that regulates developers, escrow accounts, brokers and the off-plan sales process.
ROI
Total return on investment, combining rental income with capital appreciation from purchase to sale.
Service charges
Annual fee paid by the owner to fund common-area maintenance, security and amenities in the development.
Snagging
Pre-handover inspection where the buyer (or a professional inspector) identifies defects for the developer to fix before keys are handed over.
SPA (Sales & Purchase Agreement)
The binding contract between buyer and developer that sets out the unit specification, price, payment plan and handover commitment.
Title deed
The official ownership document issued by the Land Department on handover, naming the buyer as the registered owner of the property.

Related guides

Frequently asked questions

What is an off-plan property in the UAE?
An off-plan property is a unit sold by the developer before construction is complete — and often before construction has started. Buyers commit to the unit at a launch price, sign a Sales & Purchase Agreement (SPA), and pay the developer over a structured payment plan as construction progresses. At handover the unit is registered with the Dubai Land Department (DLD) and a title deed is issued.
What's the difference between off-plan and ready property?
Ready property is already built and registered — you pay roughly the full price up front and move in (or rent it out) immediately. Off-plan is paid in instalments tied to construction milestones, the entry price is typically 15-30% lower than the eventual ready price, and you receive the unit on handover (anywhere from a few months to several years out). Off-plan trades earlier ownership for lower entry cost and capital-appreciation potential.
What does the DLD fee cover?
The DLD fee is the Dubai Land Department's transfer tax — 4% of the purchase price — paid once when ownership is formally transferred. Some developers absorb it into the purchase price during launch promotions; most pass it on to the buyer at the time of registration. See our full DLD fee entry for examples and edge cases.
Is RERA approval required for every off-plan project in Dubai?
Yes. In Dubai, every off-plan project must be registered with RERA (the Real Estate Regulatory Agency) and assigned an escrow account before the developer can legally collect any payment from buyers. The project's RERA registration number is the most reliable signal that the buyer is dealing with a real, regulated project — not an unregistered side deal.
What is an Oqood and why does it matter?
An Oqood is the interim registration certificate issued by the DLD for an off-plan unit. It records the buyer's beneficial ownership during the construction period — before the title deed is issued at handover. Without an Oqood you cannot resell the unit or use it as collateral. Most developers issue it after the first one or two payment-plan instalments clear.
What is a post-handover payment plan?
A post-handover payment plan splits a portion of the purchase price across instalments that fall after handover — so you continue paying the developer for 1, 2 or 3+ years after taking possession. It's effectively a developer-financed mortgage. It reduces the cash outlay needed during construction and lets buyers start receiving rental income before they've finished paying. Read the dedicated post-handover plan entry for typical splits.
What is snagging in UAE off-plan property?
Snagging is the final-walkthrough inspection that buyers (or an independent inspector they hire) carry out before signing for handover. It documents every defect — paint, fittings, plumbing, AC, finishes — so the developer fixes them under warranty before the buyer takes formal possession. Skipping it is one of the most expensive mistakes in off-plan buying.
Does buying off-plan property qualify me for a UAE Golden Visa?
Yes, with conditions. An off-plan purchase worth AED 2 million or more from a UAE-government-approved developer qualifies the buyer for the 10-year Golden Visa, even before the property is handed over — provided the payment to date meets the threshold. Read the Golden Visa entry for the exact financing rules and current approved-developer list signals.