Questions & Answers
Can a developer make a claim of arbitrary charges?
Dear sir/madam,
For a property purchased for AED 757,000/- the developer has sent a notice prior to handover and has claimed:
1) AED 10,000 /- (as admin fee); though the initial representation was utilities + admin will be AED 5000/-
2) AED 33,000 /- (as utility charges); unable to understand what this is for and no supporting documentation provided.
Can a developer make a claim of arbitrary charges?
How is the purchaser protected by law?
How can we force the developer to correct this to only legitimate fees/charges?
Thank you in advance!
Good day,
In fact, the developer is entitled to claim only the amount scheduled in SPA.
Kindly share your SPA via WhatsApp or email in order to peruse and advise you on the way forward and the action to be taken.
Dear questioner,
The SPA is the agreement arranging the relationship between the seller and the buyer so you need to check the agreement to know if the developer respect it or if they breach the agreement.
According to this matter, we will advise you on the legal actions which you should do.
What are the required fees when buying a property in the UAE?
- 2% of the sale value for both the seller and the buyer.
- AED 250 to create a certificate of ownership.
- AED 580 for an apartment or villa map version.
- AED 10 each for innovation and knowledge.
