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Guide
Buying Off-Plan in Dubai (2026): Escrow, Oqood, Delays and Reselling
Off-plan means buying from the developer before completion, on a staged plan tied to construction. Two structural protections sit underneath it. Your instalments go into a project-specific escrow account governed by Law No. 8 of 2007, not into the developer's general funds, and they release against verified construction progress. Your purchase is recorded on the DLD interim register through Oqood, which is what gives you a registered interest before a title deed exists. Neither protection removes the two risks that actually bite: construction delay and exit liquidity. And you generally cannot resell until you have paid a developer-set share of the price, commonly in the 30% to 40% range, set in your SPA rather than by law.
What Oqood actually is
Oqood is the Dubai Land Department's pre-title-deed registration for off-plan property. It is issued at the point you sign the Sale and Purchase Agreement, and it records your interest in the specific unit on DLD's interim register while the building does not yet exist as a titled asset. Registration triggers the 4% DLD fee, the same headline percentage you would pay on a completed purchase.
The distinction that matters: Oqood is not a title deed. It is a registered interest in a unit under construction, which converts to a title deed at handover. People treat the two as interchangeable and then discover the difference when they try to mortgage, resell or use the property to support a visa application. See the glossary for how Oqood, Ejari and the title deed differ.
Escrow: what your money is actually protected against
Dubai requires developers to deposit off-plan buyer payments into a project-specific escrow account under Law No. 8 of 2007. Funds are held against that project and release to the developer as construction progress is verified, rather than being paid over on signing. Reported practice is that releases are tied to inspected completion milestones, though the precise schedule is a matter between the developer, the escrow agent and RERA rather than something published per project.
Be precise about what this covers. Escrow protects your money from being spent on something other than your project. It does not guarantee that your project finishes, that it finishes on time, or that it is worth what you paid when it does. Those are separate risks, and no escrow account addresses them.
What happens if the project is delayed
Delay is the single most common off-plan complaint, and it is a matter of contract before it is a matter of law. Your SPA sets the anticipated completion date and, usually, a grace period. What you can do when that date passes depends on what your specific agreement says about extension, compensation and termination, and on RERA's position on the project's status.
The practical protections are ones you exercise before signing, not after: check the developer's delivery record on completed projects rather than their marketing, confirm the project is registered and escrow-backed with DLD, and read the delay and termination clauses properly. A project that is registered, escrow-backed and being built by a developer with a delivery history is a different proposition from one that is none of those things, even when the brochures look identical.
Reselling before handover
You can sell an off-plan unit before completion. Law No. 13 of 2008 established the interim register that makes this possible, and the transfer is completed through the Oqood system with a No Objection Certificate from the developer.
The condition people miss is the payment threshold. Most developers will not consider a resale application until you have paid a set share of the purchase price, commonly reported in the 30% to 40% range. That threshold is set in your SPA by the developer, not fixed by law, so it varies by developer and project, and it is one of the specific things to check before you sign rather than assume. Expect the developer to charge an assignment or transfer fee as well, reported in the region of 2% to 5% of the original purchase price, on top of the NOC fee and the DLD Oqood transfer charge.
This is what "exit liquidity" means in practice for off-plan. Your ability to get out is gated by how much you have paid in, by the developer's willingness to issue an NOC, and by whether there is a buyer for an unbuilt unit in a market that may have moved since you bought.
Off-plan and the Golden Visa
Off-plan can support a residence application. The visa side is covered separately in the off-plan route guide, and the honest position there is worth repeating here: qualification is reported to rest on the recorded contract value reaching AED 2 million, but DLD's published document list centres on the title deed or e-Certificate of Title, which an off-plan buyer does not yet hold. The Rule Tracker logs that tension as unresolved rather than smoothing it over. If residency is the reason you are buying off-plan, confirm your specific case with DLD or the Cube centre before you commit, not after.
What to check before you sign
- Project registration and escrow. Confirm with DLD that the project is registered and that an escrow account exists for it. This is checkable, and it is the floor, not a bonus.
- The developer's delivery record. Completed handovers, on what timelines. Not the sales gallery.
- The resale threshold in your SPA. The specific percentage you must pay before you can assign, and the fee for doing so.
- Delay, extension and termination clauses. What happens, contractually, when the anticipated completion date passes.
- The payment plan shape. A long post-handover plan lowers your entry cash and lengthens your commitment. Both halves are real.
How we verified this
The two structural protections are named instruments: Law No. 8 of 2007 concerning escrow accounts for real property development in the Emirate of Dubai, and Law No. 13 of 2008 establishing the interim property register that permits sale of off-plan units before handover. The 4% DLD registration fee follows DLD's published fee position. Developer-set figures on this page, specifically the 30% to 40% resale threshold and the 2% to 5% assignment fee, are ranges reported across the market rather than published rules, because they are contractual terms set per developer and per project. We state them as ranges for that reason and tell you to read your own SPA. Milestone-linked escrow release is reported practice rather than a per-project published schedule.
This is general information, not legal or investment advice. Your position is set by your specific SPA. Have it reviewed by a UAE-licensed professional before you sign.
Frequently Asked Questions
Is my money safe when I buy off-plan in Dubai?
Your instalments go into a project-specific escrow account under Law No. 8 of 2007, and release to the developer against verified construction progress rather than on signing. That protects your money from being spent on another project. It does not protect you against delay, or against the market moving before handover.
What is Oqood and is it the same as a title deed?
No. Oqood is DLD's pre-title-deed registration for off-plan property, issued at SPA signature, recording your interest on the interim register and triggering the 4% DLD fee. It converts to a title deed at handover. Treating the two as the same causes problems with mortgages, resale and visa applications.
Can I sell an off-plan property before it is completed?
Yes. Law No. 13 of 2008 established the interim register that permits it, and transfer runs through the Oqood system with a developer No Objection Certificate. Most developers require you to have paid a set share of the price first, commonly reported at 30% to 40%, and that threshold is set in your SPA rather than by law.
What fees do I pay to resell off-plan?
Expect a developer assignment or transfer fee, reported in the region of 2% to 5% of the original purchase price, plus the NOC fee and the DLD Oqood transfer charge. Confirm the exact figures in your SPA, since they are contractual rather than published rates.
What happens if my off-plan project is delayed?
It depends on your SPA, which sets the anticipated completion date, any grace period, and the extension, compensation and termination terms, and on RERA's position on the project status. There is no single statutory answer, which is why the delay clause is one of the things to read carefully before signing.
Does off-plan qualify for the Golden Visa?
It is reported to qualify on the recorded contract value reaching AED 2 million, but DLD's published document list centres on the title deed, which an off-plan buyer does not yet hold. That tension is logged as unresolved in our Rule Tracker. Confirm your specific case with DLD before relying on it.