Owning property in the UAE is an essential asset for personal use or investment. However, what happens to your property if something unexpected occurs? Without adequate provisions, real estate could be tied up in the court for years, especially if the Will is not registered. One way to avoid future disputes and to ensure proper transfer of ownership is through property gifting. It is a legally recognized process in the UAE.
[url=][/url]This article seeks to explain how property gifting works, who can benefit, and how it helps protect your real estate. We shall also guide you through the legal procedures involved and how Notary Public Dubai can assist you throughout.
What Is Property Gifting in the UAE?
Property gifting is the legal procedure through which you give ownership of your UAE property to a close relative—wife, child, or parent—while you are still alive. This is a voluntary act and without any payment involved in return. In Arabic, this is known as a ‘hiba’.
Gifting is not a commercial transaction like selling a property. It is a personal choice to protect your assets and make sure they reach to the person of your choice without any complications.
Why Gifting Properties Is Important
Most expats in the UAE worry about what happens to their assets when they die. Under Federal Decree-Law No. 41 of 2022, non-Muslim expats who die intestate will have their UAE-based assets distributed according to civil inheritance rules, unless they choose otherwise.
Here’s why gifting is a better option:
- Transfer ownership to your spouse or child during your lifetime with assurance that they will receive the property as per your wishes.
- To avoid lengthy court processes in the UAE for inheritance distribution.
- Protect your family from the legal complexities and financial uncertainty.
Gifting of property is indeed a strategic means to protect your loved ones and your property with complete peace of mind.
Who Can Receive a Property Gift?
Property gifting in the UAE is mainly allowed among first-degree relatives. They are:
- mother,
- father,
- husband,
- wife, and
- Children or companies free of charge, provided that the title deed of the property is not already registered or granted）.
Note: A nominal DLD gift registration fee （usually 0.125% of the valuation value of the gifted property, provided that the fee shall not be less than AED 2,000） and administrative/title-deed issuance fees will apply.
Other relationships may be considered, but they do require Dubai Land Department （DLD） approval and higher fees （e.g., 4% transfer fees like a sale）. Always check with the DLD or a legal advisor to confirm eligibility.
What Types of Properties Can Be Gifted?
Gift property may be any property that has a valid title deed. Such requirements include:
- The property has to be completed （not off-plan）.
- It should be located in a freehold area where gifting is allowed.
- The owner should have complete legal rights to transfer the property.
Generally, there is no gift of leasehold property unless converted to freehold, which is subject to approval from the concerned authority. Properties mortgaged on a gift would require a No Objection Certificate （NOC） from the bank or financial agency.
Legal Requirements for Gifting Properties
When it comes to the completion of the property-gifting transfer, you will need:
- Original Title Deed
- Proof of relationship （e.g., birth certificate, marriage certificate）
- Valid Emirates ID and passport copies of both parties
- No Objection Certificate （if applicable, from the developer）
- Gift transfer application at Dubai Land Department
All documents must either be in Arabic or translated and legalized. This will also take into account the payment of the 0.125% of the valuation value of the gifted property, provided that the fee shall not be less than AED 2,000 plus the administrative charges.
Gifting Property in the UAE-A Step-by-Step Process
- Consult a legal expert: Confirm eligibility and prepare the required documents.
- Obtain relationship proof: Get official certificates attested and translated.
- Apply at the Dubai Land Department: Submit your documents and pay the transfer fee.
- Sign the gift deed: Both parties must be present to sign in front of the DLD officer.
- Receive the new Title Deed: The recipient becomes the rightful owner of the property.
When all documents, approvals, and fees are submitted, the Dubai Land Department can finalize the process of transferring a gift relatively quickly. Although the overall timeline varies depending upon the factors such as obtaining a bank’s No Objection Certificate for mortgaged properties, developer approvals, and scheduling at the DLD Trustee Office.
Common Mistakes to Avoid
- Gifting to non-relatives without checking eligibility
- Using incomplete and/or unverifiable documents
- Offering off-plan properties for gift
- Not consulting a lawyer while the legal review
Remember that gifting is a legal act. Any mistakes can lead to delays in the process or result in rejection.
Benefits of Property Gifting for Expatriates
Many expatriates based in the UAE remain worried and are unaware of what happens to their property after their demise. Gifting the property will ensure that the property goes to:
- Your loved ones as you wish.
- Prevent going through a long court process in the UAE.
- Protect your family from legal and financial instability.
That is a proactive step that would give peace of mind and legal clarity.
How can Notary Public Dubai assist you?
Property gifting is a powerful tool, but it is effective only when done properly. At Notary Public Dubai, our experienced lawyers assist with the following:
- Review your eligibility and documents
- Draft and translate legal papers
- Liaise with the Dubai land department
- Ensure compliance with UAE laws
- Protect your rights and interests
Whether you’re gifting property to your child, spouse, or parent, we’ll assist you with every step with proper guidance. Contact Notary Public Dubai today to book a consultation and secure your property’s future with confidence. [/url] [url=https://www.addtoany.com/add_to/whatsapp?linkurl=https%3A%2F%2Fsunoshayari.com%2Fhow-to-protect-your-uae-real-estate-through-property-gifting%2F&linkname=How%20to%20Protect%20Your%20UAE%20Real%20Estate%20Through%20Property%20Gifting] [/url] [url=https://www.addtoany.com/add_to/twitter?linkurl=https%3A%2F%2Fsunoshayari.com%2Fhow-to-protect-your-uae-real-estate-through-property-gifting%2F&linkname=How%20to%20Protect%20Your%20UAE%20Real%20Estate%20Through%20Property%20Gifting] |
