Dictionary

Speak property.

Every term an investor meets in a UAE transaction — decoded, with an example of how it's actually used. Tap any term to expand.

A

The pace at which available units in an area actually sell. High absorption with low pipeline means pricing power for sellers; the reverse warns of softening rents and resale times.

How it's used“JVC added 4,000 units this year but absorption kept pace — prices held.”

Pools, gyms, concierge, padel courts — the facilities that drive both rent and service charges. Judge them by what tenants in that district actually pay extra for.

How it's used“The rooftop infinity pool adds AED 10K to the rent — and AED 6K to the charges.”

The rise in an asset’s value between purchase and sale. In UAE off-plan, the steepest appreciation typically happens between launch and handover.

How it's used“The unit appreciated 28% during construction — before a single tenant moved in.”
B

The initial agreement (with deposit) reserving a specific unit at a fixed price while the SPA is prepared. Read the refund terms before signing.

How it's used“We signed the booking form at launch — the SPA followed three weeks later.”

A residence operated or licensed by a hotel or lifestyle brand (Bulgari, Baccarat, Bugatti). Expect a 25–40% premium — earned back only when the operator actually manages the building.

How it's used“The Baccarat flag added 35% to the price — and 50% to the resale enquiry rate.”

Everything constructed — walls, balconies and shared allocations. Compare prices on saleable area, not BUA, or you’ll misread the per-sqft math.

How it's used“The brochure quoted BUA; the saleable area was 12% smaller.”
C

The gain between what you paid and what the asset is worth. One of the two engines of return — the other is rental yield.

How it's used“Meydan delivered 8% yield plus 15% capital appreciation last year.”

Rent minus mortgage, service charges and management. Positive cash flow means the property pays you monthly while it appreciates.

How it's used“After the mortgage and charges, the unit clears AED 2,800 a month.”

District-cooling costs absorbed by the landlord — worth AED 500–1,000 a month in many towers. Normalise for it when comparing rents.

How it's used“It looks AED 5K more expensive, but it’s chiller-free — the real cost is level.”

The SPA-committed delivery date, usually with a grace period. The delay-penalty clause decides whether you’re compensated or merely patient.

How it's used“Completion was Q4; the SPA gave a 6-month grace before penalties triggered.”
D

The government authority recording all Dubai property deals. Its 4% transfer fee is the largest closing cost — budget it from day one.

How it's used“Add the 4% DLD fee: the AED 2M unit really costs AED 2.08M.”

5–20% on off-plan bookings; a 20%+ minimum for expat mortgage buyers on ready property.

How it's used“A 20% down payment on AED 1.5M means AED 300K on day one.”

Dubai Electricity & Water Authority requires a refundable deposit (AED 2K apartments, 4K villas) plus connection fees when you activate a unit.

How it's used“Budget the DEWA deposit into your handover costs — it surprises first-timers.”
E

A regulator-controlled account holding instalments until engineers certify construction milestones. The law that made Dubai off-plan safe.

How it's used“The developer never touches your money — escrow releases it per milestone.”

The mandatory lease registration. No Ejari, no utilities, no visa processing on that address.

How it's used“Register the Ejari the week you sign — everything downstream depends on it.”

A refundable deposit that queues you for an allocation before units release. Hot launches sell by EOI order.

How it's used“Two hundred EOIs for eighty units — without one, there was nothing to buy.”
F

Permanent ownership of the property and its land share in designated zones. Sell, lease, mortgage or inherit without a local partner.

How it's used“Palm Jumeirah is freehold — the title deed is yours outright.”

Capturing construction-phase appreciation by reselling the contract before completion. Launch discount + market growth − transfer costs.

How it's used“She flipped the unit at 80% construction for a 31% gain on deployed capital.”
G

AED 2M+ of property earns a renewable 10-year visa (AED 750K starts the 2-year track). Off-plan counts, values combine, family included.

How it's used“Two AED 1M units in the same emirate — combined, they clear the Golden Visa bar.”

Annual rent divided by purchase price. Good for scanning, dangerous for deciding — always cut through to net.

How it's used“7.2% gross sounded great until the charges took it to 4.9% net.”
H

The developer delivers the unit, the last instalment lands, and the title transfers. Snag before you sign.

How it's used“At handover we ran the snagging report — 43 fixes, all on the developer.”

The DTCM licence allowing nightly rentals in Dubai. Its cost belongs inside any short-let yield projection.

How it's used“The operator holds the holiday home licence — we just receive the statements.”
I

Off-plan payments tied to time or construction progress (60/40, 80/20). The structure decides your real ROI more than the headline price.

How it's used“60/40 plan: 60% across construction, 40% only when the keys exist.”
L

Up to 99 years of use rights without owning the land. Cheaper entry than freehold; check the remaining term before buying.

How it's used“The 99-year leasehold had 71 years left — priced accordingly.”

The mortgage as a share of value. Expat caps: 80% under AED 5M on a first home, lower above and on later properties.

How it's used“At 80% LTV on AED 2M, the bank funds 1.6M — you bring 400K plus fees.”
M

The entity that plans an entire area — roads, parks, zoning — then sells plots to sub-developers. Nakheel (Palm), Emaar (Downtown), Aldar (Yas).

How it's used“Buy the master developer’s vision first, the tower second.”

Written confirmation of what a bank will lend you. In fast markets it converts you from browser to buyer.

How it's used“Pre-approved at AED 1.8M, she closed in nine days.”
N

Rent minus service charges, management and vacancy, over total purchase cost. The only number that matters.

How it's used“Gross 7%, net 5.1% — the 1.9% gap was the service charges.”

Confirms service charges are settled before a resale can transfer. Routine, but it catches unprepared sellers at the trustee office.

How it's used“Transfer was delayed a week waiting on the NOC.”
O

Purchasing from the developer during construction, typically 15–30% below completed comps, on staged payments protected by escrow.

How it's used“Off-plan entry at AED 1,650/sqft against ready comps at AED 2,100.”

The registration certificate proving your legal claim on an off-plan unit. It converts to a full title deed at handover.

How it's used“The Oqood certificate arrived two weeks after the DLD fee cleared.”

The share of nights or months a rental is tenanted. It converts projected yields into real ones.

How it's used“At 72% occupancy the short-let still beat the long-let by 4 points.”
P

Payments running 2–5 years after handover, letting rent service them. Effectively 0% developer financing — check the price premium.

How it's used“40% post-handover over 3 years — the tenants effectively paid it.”

The only honest way to compare units: same district, same completion status, saleable area only.

How it's used“AED 2,690/sqft on floor 38 against a district average of 2,900 — that’s the entry.”
R

Licenses brokers, enforces escrow law, publishes the rent index, arbitrates disputes. The reason off-plan stopped being a gamble.

How it's used“Check any broker’s RERA card number before you sign anything.”

RERA’s benchmark limiting increases at renewal, based on your rent vs. the area average.

How it's used“The index allowed 10% — the landlord’s 20% ask wasn’t enforceable.”

Profit over money actually invested — not property price. Staged payment plans are why off-plan ROI beats the raw appreciation number.

How it's used“25% appreciation on 60% deployed capital = 41% ROI before costs.”
S

Charged per sqft for building maintenance (roughly AED 10–30/sqft in Dubai). The gap between gross and net yield lives here.

How it's used“AED 22/sqft on 660 sqft: AED 14,520 a year off the rent cheque.”

A professional defect survey before handover that shifts repair costs back to the developer. Never skip it.

How it's used“The snagging report found misaligned doors and a chipped counter — all fixed free.”

Fixes price, schedule, handover date, specs and penalties. The delay and default clauses are where deals go bad — read line by line.

How it's used“The SPA’s 12-month grace period mattered more than the brochure ever did.”

Furnished units rented by the night through licensed operators. Gross yields can double long-lets in tourist districts — management fees and seasonality apply.

How it's used“Marina short-let: 14% gross, 9% after the operator’s cut.”

Everything that isn’t a developer launch. Deep secondary demand means fast exits — the hidden variable in every developer choice.

How it's used“Emaar’s secondary market moved the unit in 11 days.”
T

The DLD-issued ownership certificate — digital and instantly verifiable through the Dubai REST app.

How it's used“Verify the seller’s title deed in the app before transferring a dirham.”

The DLD charge on every Dubai transaction (2% in Abu Dhabi), paid at registration.

How it's used“On AED 3M, the transfer fee alone is AED 120K.”
U

The right to use and profit from a property without owning it — the legal machinery behind many leasehold structures.

How it's used“The usufruct grants income rights for 99 years, land title stays put.”
V

A bank-appointed appraisal setting lendable value. If it lands under the agreed price, the buyer funds the gap.

How it's used“Valuation came in 6% light — we renegotiated rather than fund the gap.”

The share of time without a tenant. District-level vacancy is the earliest warning that supply is outrunning demand.

How it's used“Rising vacancy in the cluster flagged the rent cut two quarters early.”
Y

Rent as a share of price — gross before costs, net after. The spread between the two is where bad investments hide.

How it's used“Buy on net yield, brag about gross yield.”