WHAT BUYERS NEED TO KNOW ABOUT SERVICE CHARGES WHEN BUYING OFF PLAN

Buying an off-plan property in Dubai is exciting and offers investors many opportunities, but also questions. A very common enquiry of investors are the service charges. Can a developer charge me service fees even before moving in?

It is important to understand the rules so it helps buyers avoid confusion, stress, and extra costs.

What Are Service Charges?

Service charges are used to cover the maintenance costs of common areas in the building or community. This usually includes security, cleaning, landscaping, facilities, and other building management. These service fees are approved and regulated by RERA.

When Do Service Charges Start?

Most of the time, service charges are billed only after the official handover. This is when the property is complete, ready, and legally available for occupation.

If a property is still being constructed or the buyer hasn’t received any handover notice officially, service fees are generally not to be charged with RERA’s standard practice.

Why Buyers Get Confused

Some buyers still receive service charge demands before they move in. Most of the time, this happens because:

• The developer has issued the handover, but the buyer has not yet occupied the unit

• The property is technically completely made, but the snagging process is still underway

• The charges are only for the common area maintenance

• When the property is officially handed over, service charges are billed even if the unit remains to be vacant.
  

What Is Not Acceptable

Service charges may be questioned if:

• The unit construction is still underway

• There was no official notice of handover received

• Property access is not possible due to developer-end issues

• Charges are back dated for dates before the handover

In such cases, buyers have the right to demand clarification or take the matter to the RERA.

What Buyers Should Do

Before paying any service charges:

• Confirm the official date for handover

• Ask for the service charge budget that’s RERA approved

• Make sure to go through the SPA carefully

• Seek professional guidance to clear out any issues

Why Expert Guidance Matters

Service charges add into long-term recurring costs and ROIs. With a trusted property consultancy, buyers can get help to review contracts, timelines, and obligations before problems arise. When it’s handled by a professional who is aware of the market in real time, it saves time, money, and unnecessary worry.

Being informed is the best asset. Knowing when and how service charges apply helps investors to plan better and invest with certainty in Dubai’s property market.