12 Common Mistakes to Avoid in 2026 When Buying a House in Dubai

January 3, 2026
Real Estate
(0)
10 mins

12 Common Mistakes to Avoid in 2026 When Buying a House in Dubai

Owning real estate in Dubai is attractive to many individuals who wish to invest in the market, as well as for expatriates wishing to live there.

Knowledge of the Dubai real estate market and applicable laws required to accomplish a purchase may be needed to ensure a successful purchase.

A lack of this knowledge and an understanding of all additional costs may create difficulties during the buying process.

By knowing the process and obtaining the appropriate documentation, you can help reduce the likelihood of having an unexpected expense or experiencing any increase in level of difficulty during this process.

Errors can occur from a wide variety of sources, whether you are a seasoned or first-time buyer; therefore, the potential for negative results exists with every buyer, whether this is your first home or eleventh home purchase.

Thus, this guide is intended to assist you with identifying and avoiding some of the most common mistakes.

Intrigued? Let’s get straight into it.

Understanding the Home Buying Process in Dubai

While buying a property is not hard or complicated, there are many additional documents that accompany buying a home.

These documents require an understanding of each of their purposes so you don’t end up with problems when you try to finish the transaction from beginning to end.

Step 1: Find out the area you would like to live in, what type of property you want to buy, and what is the maximum amount of money you can afford.
Step 2: Locate a licensed, active, and authorized real estate agent that is listed with RERA (Real Estate Regulatory Authority), not a registered real estate agent. If you use an unregistered agent, chances are they are operating illegally.
Step 3: Agree on the price and terms of purchase with the seller.
Step 4: Complete and sign a Memorandum of Understanding (MOU) with the seller.
Step 5: Make initial deposits or advance payments of the total purchase price, based on the most current paid installment amounts available to you.
Step 6: Go to the Dubai Land Department (DLD) with all of your required documentation to complete your transfer of ownership of the property. A 4% fee will be due upon registration; title deeds will be issued upon completion of the registry at the Dubai Land Department.

Foreigners may purchase a residence in Dubai, but only if the residence is located within a Freehold area. All Freehold areas permit full Foreign Ownership of Real Estate (100% foreign ownership).

There are many different types of Freehold areas in Dubai. Foreigners are also able to purchase Leasehold properties. However, Leasehold properties are subject to certain terms and conditions established by the property owner at the time of acquisition.

This is why purchasing a Freehold property is typically more beneficial to foreign buyers.

Common Mistakes in the Home Buying Process

During the home-buying process, several common mistakes that potential buyers should strive to avoid are as follows:

1. Not Seeking Guidance from Professionals

Many buyers choose to buy their homes independently and without assistance from a professional. This could lead to problems due to the complexities of the home-buying process as well as risks associated with overpaying for a property.

Before making a final decision to buy a property located in Dubai, you will need to evaluate that property and its location relative to other future developments anticipated for that area.

You should evaluate that property based on its proximity to upcoming schools and jobs, the ability to utilise public transportation as well as access to shopping and other community amenities that may be of importance to any potential home buyers.

In short, if you are looking for a more urban lifestyle, then consider purchasing property in either Dubai Marina or Downtown Dubai. If you prefer a more rural-style living environment, then consider purchasing property in Emirates Hills or Arabian Ranches.

2. Not understanding your legal obligations:

When it pertains to purchasing residential property in Dubai, being an inexperienced buyer of any property type or an experienced investor who has bought multiple pieces of real estate in the past is a significant responsibility that requires thorough consideration prior to making a decision.

If you take care of the appropriate legal aspects when you formalise a contract for the purchase of a house, it provides both the buyer and seller with a strong foundation upon which to complete a future sale without experiencing excessive difficulties.

The different legal types/categories relevant to real estate transactions include Zoning Laws, Real Property Taxes, Residency Requirements, Property Registration, and the types of documents which must be executed at the time of the purchase/sale of real estate.

A thorough investigation should take place of all available properties that meet your criteria (e.g. price range, amenities, and location) prior to selecting a property to purchase.

3. Lack of Market Research

Understanding market trends is the key to making an informed purchase on a villa or apartment in Dubai. Performing extensive research will determine the true value of the villa or apartment and its expected capital appreciation.

The best sources for obtaining information about the Dubai real estate market include market reports by registered real estate companies, DxB Interact reports, and reports published by the Dubai Land Department (DLD).

They provide a wealth of information to help property buyers and investors recognise areas experiencing growth and make informed decisions.

4. Lack of Property Inspection

Conducting a Property Inspection is a lengthy process but offers opportunities to discover possible maintenance items that would otherwise be undetectable before making a purchase.

By identifying what needs maintenance, you can create an informed decision regarding what you should spend your money.

Dubai has various providers that have trained inspectors who have the knowledge and experience to identify likely defects and to deliver complete and accurate reports.

5. Not Considering the Surrounding Area of the Property

Location should always be top of mind when purchasing Real Estate in Dubai based on your lifestyle and your anticipated investment appreciation. Living near work, schools and public transport not only benefits you, but it can also increase or decrease the value of a property over time depending on where you purchase the property.

Dubai has a variety of built-up residential communities for potential buyers of residential real estate. If you do not select an appropriate, desirable location based upon your needs, you may incur longer commuting times to work, decreased convenience, and reduced overall returns on investment.

Additionally, when determining if you are going to purchase a residential property in Greater Dubai, it is very important for potential buyers to take into consideration what school district the property may fall within; what potential job growth opportunities exist; what public transportation options are available; and where any new developments may be located in relation to the desired property to make an informed decision.

If you prefer a metropolitan way of living, you may wish to consider purchasing from either the Downtown Dubai or Dubai Marina.

However, if your family desires a quieter, family-oriented community, you may wish to purchase in either Emirates Hills or Arabian Ranches.

6. Be Aware Of All Legal Obligations and Responsibilities

When a seller properly buys his/her home from a buyer, the home is considered a lawful sale and the seller will not encounter potential difficulties with the transaction in the future regarding the transfer of ownership to another person.

There are several categories/types of laws that regulate how real estate transactions are conducted. Any person who is thinking about investing in residential real estate (first-time investors), or an experienced commercial or residential real estate investors, must understand all the legal aspects and requirements of obtaining ownership of residential properties (villas, Apartments, etc.) in the United Arab Emirates, especially Dubai, before they begin their acquisition.

Tip: Consider hiring an certified agent or company to help ensure that your RERA regulations are in compliance.

7. Neglecting Potentially Dangerous Dealings

The real estate market in Dubai can provide significant ROI. However, there is always the possibility of risk to buyers.

The most common types of risks that buyers can expect are risks associated with the volatility of the market, as well as problems with the developer or past owners

However. with careful research and assistance from agents who are certified by RERA, it is possible to mitigate these risks to help you identify the best opportunities when making investments.

8. No Mortgage Pre-Applied

A common mistake of buyers is to start searching for properties without obtaining mortgage approval.

Receiving mortgage pre-approval prior to starting your search will help clarify how much home you can afford to purchase, and will also provide a signal to the seller that you are a serious buyer. This allows you to confidently pursue the properties that are available to you.

9. Not Considering the Risks of Off-Plan Projects

If you plan to purchase off-plan properties in Dubai, there are a few things you should be sure to check for.

First, find out if the project is registered with RERA.
Secondly, look for information regarding the developer’s reputation for completing projects on time.
Lastly, you should confirm that the payment plans are fair and establish escrow accounts to protect your investment.

If done correctly, you can mitigate many of the financial risks associated with purchasing a home and ensure that your investment is secure and in the hands of a developer who has the resources to deliver on time.

10. Not Reading the SPA

The Sales and Purchase Agreement (SPA) is a vital document that outlines the responsibilities, entitlements, and conditions of both parties. Many purchasers execute the SPA without fully comprehending the specifics within them. The presence of ambiguous terms or incomplete clauses within the SPA may create opportunities for disagreements and disputes to arise from a legal perspective.

Specifically, because the SPA does not define the exact dates for the transfers of ownership, nor does it specify what penalties will apply for any delays between transfer dates, it will be exceptionally challenging for a purchaser to seek compensation from the seller.

It follows logically that every buyer must comprehensively examine their SPA if they hope to avoid experiencing a dispute with the seller in the future.

11. Extra Costs Related to Purchasing a Property

In the case of the purchase of real estate, a purchaser will generally need to pay the DLD 4% of the sale price to register the property.

In addition, for purchasers who are purchasing properties on an off-plan basis, purchasers will incur additional cost of Oqood fees.

Finally, there are additionally associated costs that a buyer will incur when purchasing real estate, such as the agency commission of the agent, as well as any mortgage application fee, property valuation fee, and annual maintenance fees.

Being cognizant of these additional costs associated with purchasing real estate is critical for effective budget planning, financial planning, and therefore also for completing the purchase without problems or incidents.

12. Failing To Meet Visa Eligibility Requirements

To qualify for a Golden Visa based on investment in Dubai’s real estate market you must invest a minimum of AED 2 million. Therefore if you purchase a property that is valued less than AED 2 million you will not be eligible to get a Golden Visa.

Therefore, be mindful about the property cost to be eligible for Golden Visa in the UAE.

The Bottom Line

Investing in Dubai property can yield significant returns; however, if you do not know what to expect or how to purchase, it can be incredibly complicated for you.

This is true for new as well as experienced buyers of real estate in the UAE. Because everyone is new to the real estate industry when they buy their first property in Dubai, there is always the possibility of making mistakes that could lead to losing money or resulting in disputes between the buyer and seller.

The Dubai real estate market has continued to grow at an unprecedented rate, and therefore, present and prospective buyers need to be aware of several common mistakes that buyers potentially make, such as, but not limited to: Being overly anxious and attempting to complete the buying process too quickly.

Using a professional. Not researching the Dubai real estate market. By keeping these common failures in mind, you can have a better chance at having a streamlined buying process.

Having an expert assist you with your purchase will significantly reduce your chances of making any of these common buying errors.

For more information on investing in Dubai real estate, get in touch with our highly experienced professionals at TAQ Global Properties:

Location: Office 1003, Dusseldorf Business Center, Al Barsha, Dubai, United Arab Emirates

Contact: +971 44561405

Email: info@taqproperties.ae