Q: Hello, I purchased a freehold flat in Dubai and paid an initial 10% while signing the reservation agreement. However, due to financial issues, I am unable to proceed with the next payments. My question is: Can the developer refund my funds? The 10% payment was made to the developer’s escrow account, but I haven’t signed the SPA yet. I requested a refund from both the developer and the property agent, but they declined, stating that the money could not be refunded. Is there any way to recover my funds?

Q: Hi, I wanted to purchase a 2-bedroom apartment in JVC Dubai. I gave a 10% security deposit cheque to the seller. The price mentioned in the MoU is very high compared to other similar apartments in the same building. The bank’s valuation also came in very low. Since the valuation is much lower, how can I terminate the MoU and get my cheque back? The MoU ends on 1st October 2024. One of the articles in the MoU states: In the event that the Buyer fails to make the payments as agreed or fails to complete the transfer on the agreed date due to his own acts or omissions, the Seller has the right to terminate this agreement and retain the deposit, provided that the termination is due to a violation of the agreed terms, unless both parties agree amicably to different dates. I need help urgently.

Q: Hello, I'm about to buy a property in Dubai on the secondary market and have some questions. The agent sent me a link to the Real Estate Brokerage Contract with the following note: A 10% deposit cheque will be given to our agency under the seller's name for the XX apartment. It is non-transferable without consent from both parties and will be returned only by judicial order in case of a dispute. Is it legal to hand over a physical deposit cheque to the agent under the owner’s name before signing Form F, with the mentioned note? If I give this cheque before signing Form F, will I get it back if I change my mind? My rights are not protected here if the owner changes his mind before signing Form F. I tried to verify the title deed ownership on the DLD site, but it shows "Records not found." The agent said this happens sometimes because the owner didn't update their details two years ago when they bought the property, and everything will be validated at the trustee office. Is this correct, or should I insist on updating the details to see validation on the DLD site?

Q: Hello, A buyer of my property has refused to proceed after signing the MOU. Form F indicates the penalty type as "NO." Am I entitled to a deposit cheque or compensation? I have already rejected other buyers and came to Dubai for the deal, but the buyer is not answering the phone.

Q: Hello, I signed a Contract F, but the buyer could not arrange funds within 30 days. Now, I have a new buyer, but the broker says I cannot sign another Contract F for 15 more days under DLD law and cannot sell the property during this period. Is this true?

Terminating a property agreement in the UAE is a complex process that requires a clear understanding of the legal framework governing real estate transactions. Investors must navigate various laws, regulations, and contractual obligations to ensure compliance and protect their interests. This article explores the legal aspects of ending property agreements in the UAE and highlights the key considerations every investor should be aware of.

The provisions of this Law apply to Dubai Land Department, established by virtue of the Declaration issued on 24 January 1960.  

This Resolution approves the Implementing Bylaw of Law No. (13) of 2008 Regulating the Interim Property Register in the Emirate of Dubai.