Buying Real Estate in Dubai is one of the most secure investments in the region, thanks to strong regulations enforced by the Real Estate Regulatory Agency (RERA). Yet, many buyers unknowingly sign Sales and Purchase Agreements (SPAs) without understanding the legal implications, hidden risks, or due diligence required. This is where hiring an experienced Property Lawyer in Dubai becomes crucial.
Whether you are a first-time buyer or a seasoned investor, due diligence is the foundation of a safe property purchase. At dylegalconsultants.com, our legal team ensures that every aspect of your transaction is thoroughly reviewed before you commit to signing an SPA.
Below are the essential due diligence steps your lawyer must perform.
1. Verifying the Developer’s Credentials and RERA Registration
In Dubai, every real estate developer must be registered with RERA. Your lawyer should:
- Confirm that the developer is licensed.
- Review the developer’s past project history.
- Check for delays, disputes, or complaints filed by previous buyers.
- Confirm the developer’s escrow account status for off-plan projects.
This protects you from dealing with unreliable or blacklisted developers. RERA’s strict guidelines ensure accountability, but due diligence prevents costly surprises.
2. Ensuring the Project Is Registered With RERA (For Off-Plan Properties)
RERA requires all off-plan developments to be officially registered, including:
- Approved project plan
- Registered escrow account
- Construction milestones
- Land ownership verification
A Property Lawyer in Dubai will check RERA’s project status and construction progress reports, ensuring the project is compliant. This step is essential to avoid investing in unregistered or stalled developments.
3. Title Deed or Oqood Verification
For ready properties, the lawyer must verify the Title Deed issued by the Dubai Land Department (DLD).
For off-plan units, the buyer receives an Oqood certificate instead.
Your lawyer will verify:
- Authenticity of the document
- Owner’s name
- Property details
- Existing encumbrances, such as mortgages
This prevents fraud and ensures the seller is the lawful owner.
4. Checking for Outstanding Service Charges or Debts
One of the most common oversights buyers make is ignoring unpaid service charges. RERA requires developers and owners to settle all dues before transferring property.
A lawyer should obtain:
- Service charge clearance certificate
- Confirmation of no outstanding maintenance fees
- Statements from the building management company
This ensures you do not inherit unforeseen financial liabilities.
5. Reviewing the Sales and Purchase Agreement (SPA)
The SPA is the most important document in any Real Estate transaction. Your lawyer will examine:
- Payment schedule
- Handover date
- Penalty clauses for delay
- Snagging rights
- Termination conditions
- Refund procedures
- Dispute resolution mechanism
Developers often include clauses that favor them, not the buyer. A lawyer ensures these terms are balanced and compliant with RERA laws.
6. Evaluating the Property’s Actual Specifications
Developers sometimes market units with “brochure specifications” that differ from the final product. Your lawyer should verify:
- Unit area (net vs. gross)
- Parking allocations
- Shared facilities
- Finishing quality standards
- Any Right-to-Change clauses that the developer may use
This ensures the buyer gets what was promised.
7. Checking the Developer’s Escrow Account Compliance
All payments for off-plan properties must be deposited into a RERA-approved escrow account, not the developer’s personal bank account.
Your lawyer will confirm:
- Escrow account details are valid
- Payment milestones match construction progress
- The developer has no history of misusing escrow funds
This protects your investment from financial mismanagement or project abandonment.
8. Ensuring There Are No Legal Disputes or Court Orders on the Property
Your lawyer should investigate whether the property is involved in:
- Ongoing litigation
- Ownership disputes
- Bankruptcy issues
- Mortgage defaults
A legal check with Dubai Courts protects you from inheriting a problematic asset.
9. Confirming Service Charges and RERA Index Compliance
RERA publishes an annual service charge index. A Property Lawyer ensures:
- The project’s service charges are approved
- You are not being overcharged
- Charges comply with RERA guidelines
This safeguards your long-term investment.
10. Final Legal Opinion & Buyer Advisory
After completing due diligence, the lawyer will prepare:
- A legal report summarizing findings
- Advice on whether to sign the SPA
- Required modifications to the agreement
- Risk mitigation recommendations
At dylegalconsultants.com, buyers receive a comprehensive assessment that protects them from legal and financial risks before finalizing their purchase.
Conclusion
Signing an SPA without a lawyer exposes buyers to unnecessary risks—even in a regulated market like Dubai’s. RERA provides strong protection, but only a qualified Property Lawyer in Dubai can ensure the SPA aligns with your rights, the project is compliant, and the developer has fulfilled all legal obligations.
Thorough due diligence is not just recommended—it is essential for a safe and secure real estate investment.
Disclaimer: The content in this article is provided for informational purposes only and does not constitute legal advice.