Most first-time buyers prepare for the 20% down payment. What often catches them by surprise is the closing costs, which can add roughly another 8% to the property price. These include Dubai Land Department fees, agency commission, bank fees, valuation, trustee and conveyancing costs.
Your exact total depends on the property, mortgage, developer and professionals you use. The important point is simple: calculate these costs before you sign Form F, not after.
Plan for the price, down payment and closing costs
These are three separate amounts:
- The property price. The amount agreed with the seller.
- The down payment. The part of the property price you pay yourself. The bank finances the remaining approved amount.
- The closing costs. Government, agency, bank and transaction charges paid on top of the price.
It buys equity in the home. The fees pay for the transfer, finance and professional work around the transaction.
For an expatriate buying a first home below AED 5,000,000, the Central Bank of the UAE generally allows the bank to finance up to 80% of the property price. This is called the loan-to-value ratio, or LTV. It leaves at least 20% for the buyer to pay. UAE nationals may have different limits, and a bank can approve less than the maximum.
Closing costs, line by line
Here is an example for a ready property priced at AED 2,000,000, with the bank financing AED 1,600,000. VAT is included where it applies.
| Cost | How it is estimated | AED |
|---|---|---|
| DLD transfer | 4% of price + AED 580 | 80,580 |
| DLD title deed | Fixed | 250 |
| Agency commission | 2% + 5% VAT | 42,000 |
| Bank arrangement | 1% of loan + 5% VAT | 16,800 |
| Mortgage registration | 0.25% of loan + AED 10 | 4,010 |
| Valuation | Illustrative, VAT included | 3,150 |
| Trustee | Illustrative, VAT included | 4,200 |
| NOC | Illustrative, VAT included | 2,625 |
| Conveyancing | Illustrative, VAT included | 7,875 |
| Estimated closing costs | 161,490 | |
The Dubai Land Department, or DLD, charges 4% of the purchase price to register the sale and 0.25% of the mortgage amount to register the mortgage. Other charges, including agency commission, valuation, the developer's No Objection Certificate (NOC) and conveyancing, vary by provider. Ask for written quotes.
What an AED 2,000,000 home means in cash
In this example, the buyer needs AED 561,490 before Sooner support: AED 400,000 for the down payment and AED 161,490 for closing costs. Mortgage approval does not remove the need to budget for those fees.
The estimated fees on top of the down payment for an AED 2,000,000 home.
When the money is usually due
You pay different fees at different stages. Ask for the amount and due date of each one.
- Before or around mortgage approval: valuation and some bank charges.
- Before transfer: deposit commitments, conveyancing and any developer NOC charge.
- On transfer day: the down payment, DLD transfer fee, trustee fee, mortgage registration and title-deed charges.
- On completion: agency commission and any remaining professional invoices, depending on your agreements.
Ask your mortgage advisor, conveyancer and agent for a payment schedule showing each amount, who receives it and when it is due.
Where Sooner fits
A mortgage finances part of the property price. It usually does not pay the closing costs. Sooner can finance eligible closing costs separately.
Subject to eligibility, Sooner can finance up to AED 500,000, capped at 10% of the ready property's value. You repay the amount monthly over 60 months. The current service fee is 7% to 9% a year, calculated as a flat rate on the amount financed. You see the full repayment cost before signing.
You still pay the required down payment. Sooner is for eligible fees charged on top of the property price.
In the AED 2,000,000 example, the down payment remains AED 400,000. If approved for the full amount, Sooner would finance the AED 161,490 in closing costs and the buyer would repay it monthly.
Your down payment may be all you need upfront.
Check eligibility in about two minutes. No documents and no credit impact at this stage.
Six questions to ask before signing
- How much has my bank approved, not just the advertised maximum?
- Which fees are percentages and which are fixed quotes?
- Does every commercial quote include VAT?
- Who pays each fee under the signed sale agreement?
- What date is each amount due?
- How much cash remains after completion for moving, utilities and an emergency reserve?
Figures are an educational illustration based on Sooner's current calculator and a ready Dubai property. They are not a quote, mortgage approval, legal advice or tax advice. Government and provider charges can change. Confirm the transaction-specific schedule with DLD, your lender and your appointed professionals.