How Dubai protects off-plan buyers' money
Off-plan buyers' money in Dubai is protected by the project escrow account: under Law No. 8 of 2007 payments go into a separate bank account, may…
Check the developer in the Licensed Developers list on the DLD website or in Dubai REST, and the project in Project Status Enquiry or the Mashrooi section, which show completion percentage and the escrow account number. Ads must carry a permit number and Madmoun QR code, and brokers a RERA card. Pay only into the project escrow account and make sure the contract is registered in Oqood.
Almost everything you need to know about a Dubai developer and project can be checked yourself, for free, using official data from the Dubai Land Department (DLD) and its regulator RERA. This is not a formality. Under Law No. 13 of 2008, a contract for a project not approved by the competent authorities is void, and under the implementing rules any off-plan sale made before the project is approved and registered with DLD is void. Below is a step-by-step check and the questions to ask before signing.
Under Law No. 8 of 2007 (Art. 4), only a company entered in the DLD Register of Real Estate Developers and licensed by the competent entities may carry on development in Dubai. You can check this in the Licensed Developers service on the DLD website or in the Dubai REST app, which also lists certified developers.
Also ask who owns the land. A developer may not start a project or sell off-plan before taking possession of the plot (with its demarcation certificate) and obtaining all required approvals (Art. 4 of Law No. 13 of 2008 and Art. 4 of Executive Council Resolution No. 6 of 2010). The DLD investor guide recommends checking whether the developer owns the land or has a development agreement with the owner.
DLD's "Know Your Rights" guide lists what a buyer should check before signing an off-plan contract:
Two official tools answer these questions. The Project Status Enquiry service (DLD website, Dubai REST app or WhatsApp on 8004488) finds a project by land number, project number or name and shows its completion percentage and details. The Mashrooi section of Dubai REST shows completion percentage, construction photos, the escrow account number and owners' payments. RERA's guide for brokers says plainly that project licensing and registration are verified in Dubai REST — Mashrooi.
Marketing can describe progress however it likes, but the legally relevant completion percentage is determined differently. Under Art. 17 of Resolution No. 6 of 2010, it is confirmed by a technical report from a RERA-approved consultant after a site inspection, and Law No. 19 of 2020 also calculates completion under RERA standards. So compare the seller's claims with the figure in Project Status Enquiry and Dubai REST: that figure drives, for example, the termination rules if payments are missed.
DLD explicitly advises engaging only with ads that carry the QR code.
| Warning sign | Why it matters |
|---|---|
| You are asked to pay into a personal, broker or "temporary" account | Off-plan payments must go into the project escrow account |
| The project is not in Project Status Enquiry / Mashrooi | An off-plan sale before project approval and registration is void |
| The ad has no permit number or QR code | Off-plan advertising requires DLD authorisation |
| Payments are not linked to construction stages | Refusing to link payments to RERA-proposed milestones is a ground for termination in court (Art. 20 of Resolution No. 6 of 2010) |
| Extra "processing fees" from the developer | A developer may not charge amounts beyond those approved by DLD (Art. 7 of Law No. 13 of 2008) |
| The contract is not registered in Oqood | An unregistered sale is void; under DLD terms registration is due within 90 days of signing |
| The developer will not hand over the final contract | This is also a ground for going to court (Art. 20 of Resolution No. 6 of 2010) |
Before signing, ask the developer or broker:
Developer profiles with official data are in the developers section, and projects are in the new developments catalogue. This article describes official ways to verify and is not legal advice: to review a specific contract or dispute, consult a lawyer in Dubai.
Figures, fees and rules in this article are based on the official sources below.
In the Licensed Developers service on the DLD website or in the Dubai REST app. Under Law No. 8 of 2007 only a developer entered in the DLD Register of Real Estate Developers and licensed may carry on development.
Use the DLD Project Status Enquiry service on the website, in Dubai REST or on WhatsApp at 8004488. You can search by land number, project number or name, and the result shows completion percentage and project details.
Look for the permit number and the Madmoun QR code. Scanning the code shows whether the ad is RERA-approved, who the advertiser is and whether the unit has been sold. DLD advises engaging only with ads that carry the QR code.
Find them in the Licensed Real Estate Brokers list on the DLD website and verify their RERA electronic card in Dubai REST through the Ecard verification service, using the card type and number.
From Project Status Enquiry and the Mashrooi section of Dubai REST. The legally relevant figure is confirmed by a technical report from a RERA-approved consultant, not by marketing materials.
Under Law No. 13 of 2008 and Resolution No. 6 of 2010 any off-plan sale before project approval and registration with DLD is void. If the project is not yet in the official database, do not transfer money.
This article is for information only and is not legal or financial advice. Rules and fees can change — check the sources before any transaction.
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