real estate scams in Dubai

Real Estate Scams to Avoid in Dubai – 2025 Buyer Guide

Dubai’s real estate market continues to grow in 2025, attracting investors and homebuyers from around the world. But with booming demand also comes rising risk—especially from real estate scams targeting first-time and foreign buyers.

While the government has introduced strict regulations, property scams in Dubai still happen. The key to avoiding them is knowing the red flags and following a smart due diligence process.

This guide reveals the most common real estate scams in Dubai and gives you a buyer’s checklist to stay safe.


1. Fake Property Listings

The Scam:

Scammers list properties that don’t exist—or that they don’t have rights to—on online portals at attractive prices. When you show interest, they pressure you to pay a deposit or viewing fee.

How to Avoid It:

  • Verify the listing through RERA-approved platforms

  • Ask for the Title Deed or Oqood (off-plan document)

  • Deal only with licensed real estate agents (check via Dubai REST app)

  • Never transfer money before visiting the property and confirming ownership


2. Unlicensed Real Estate Agents

The Scam:

Fraudsters posing as agents can manipulate you into signing fake documents or paying illegitimate fees.

How to Avoid It:

  • Ask for the agent’s RERA license number

  • Verify it on the Dubai Land Department (DLD) website or Dubai REST app

  • Avoid agents unwilling to meet at their office or who rush decisions

  • Prefer dealing with RERA-registered brokerage firms


3. Off-Plan Payment Traps

The Scam:

Buyers are lured into paying large upfront amounts for off-plan projects that are delayed, canceled, or never built.

How to Avoid It:

  • Buy only from approved developers listed on the DLD website

  • Verify the project status on Oqood by RERA

  • Never make payments directly to the agent—use escrow accounts only

  • Ensure the Sales Purchase Agreement (SPA) includes penalties for delays


4. Fake Title Deeds

The Scam:

In some cases, scammers create forged Title Deeds and pose as owners to sell or rent property illegally.

How to Avoid It:

  • Always request a copy of the Title Deed

  • Cross-check the property details with the Dubai Land Department

  • Use a licensed trustee office to verify all documents

  • Never accept handwritten agreements without proper legal review


5. Bait-and-Switch Tactics

The Scam:

Agents show you one property online but switch to a different unit when you visit—usually lower quality, higher priced, or already sold.

How to Avoid It:

  • Insist on seeing the exact property listed in the ad

  • Request unit number, floor plan, and location map before viewing

  • Don’t sign or pay until you’ve seen the actual unit in person


6. Hidden Costs and Fake Service Charges

The Scam:

Buyers are often hit with undisclosed maintenance fees, service charges, or additional hidden costs after the sale.

How to Avoid It:

  • Ask for the service charge certificate from the developer or building management

  • Get a breakdown of annual fees in writing

  • Read the full terms of the Sales Purchase Agreement

  • Hire a real estate lawyer to review contracts before signing


Buyer’s Checklist: How to Buy Property Safely in Dubai (2025)

Use this checklist to avoid scams and protect your investment:

Pre-Purchase Checklist:

  • Research the neighborhood and developer reputation

  • Work with a RERA-certified agent only

  • Check if the project is registered with DLD/Oqood

  • Visit the property physically

  • Request the Title Deed or Oqood

  • Get a No Objection Certificate (NOC) for secondary sales

Financial Checklist:

  • Never pay in cash or to personal accounts

  • Use escrow accounts for off-plan payments

  • Verify all fees upfront (agency, DLD, trustee office, registration)

  • Ask for receipts and payment confirmations

Legal & Final Steps:

  • Hire a licensed conveyancer or real estate lawyer

  • Sign the Memorandum of Understanding (MOU) through a trusted agency

  • Register the transaction at a DLD-approved trustee office

  • Confirm ownership transfer through the DLD


FAQs

1. How do I avoid real estate scams in Dubai?

Work only with RERA-certified agents, verify documents through DLD, avoid paying cash, and use escrow accounts for off-plan purchases.


2. What is the most common real estate scam in Dubai?

Fake listings and unlicensed agents are the most common scams targeting new buyers and expats.


3. How can I verify a property in Dubai before buying?

Check the Title Deed via the Dubai REST app or DLD, confirm project status on Oqood, and visit the property in person.


4. Are off-plan properties risky in Dubai?

They can be—especially from unregistered developers. Always verify the project and developer status with DLD before paying.


5. What are hidden costs when buying property in Dubai?

Common hidden costs include service charges, agency fees, DLD registration (4%), NOC fees, and maintenance costs. Always ask for a fee breakdown.


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