List of the Common Real Estate Terms in Dubai
Dubai has a thriving real estate market with an evidently lucrative potential. Entering it as a stakeholder can be an exciting experience. The sector is supported by a robust system, thanks to the efforts of the authorities. However, the property market in the emirate involves various laws and technicalities that can be overwhelming, especially for newcomers. This makes understanding real estate terms in Dubai crucial. Let’s learn more in this regard.
Real Estate Terminologies for Organisations and Systems
Organisations and systems in Dubai are responsible for regulating the real estate market and ensuring transparency and efficiency.
Here is a list of the common real estate terms in Dubai for organisations and systems.
Dubai Land Department (DLD)

The Dubai Land Department is the official government entity responsible for overseeing and regulating all real estate transactions in Dubai. It ensures that all property deals are legitimate and transparent. The DLD is also responsible for handling ownership transfers, issuing title deeds and property registration.
Real Estate Regulatory Agency (RERA)
RERA is one of the regulatory wings of the DLD. It is responsible for enforcing rules and regulations. Additionally, RERA issues licences for real estate professionals and registers various real estate-related contracts. This agency also ensures fairness and transparency in all real estate transactions.
Makani
Makani is a smart navigation system in Dubai responsible for providing a unique 10-digit code to each building, house and public place. This 10-digit code is called the Makani number. This makes it easy to locate any property. It translates to ‘my location’ and serves as a replacement for the traditional street addresses.
Al Sa’fat
Also known as Dubai Green Building System, Al Sa’fat is another one of the commonly used real estate terms in Dubai. Introduced by the Dubai Municipality, it promotes sustainability in the construction business and ensures that new developments in Dubai are environmentally friendly.
Trakheesi
The Trakheesi system issues real estate licences and permits to agents and brokerage firms in Dubai. This smart system gives agents access to multiple databases for registration and records. This licence is required for developers and real estate agents to legally market or advertise properties.
Rental Disputes Centre (RDC)

Rental Dispute Centre is the judicial body under the DLD. This entity is designed to solve disputes between landlords and tenants. Tenants can file complaints against their landlords at RDC and vice versa. It aims for fast and efficient resolution of different types of rental disputes, preventing costly and lengthy legal processes.
Real Estate Terminologies for Special Contracts and Services
Special contracts and services protect the interests of buyers and sellers while also ensuring secure transactions.
Ejari
Ejari is an online system introduced by RERA to regulate rental contracts. Every rental contract in Dubai must be registered through Ejari to ensure legal protection for both the tenant and landlord. This system makes it easier to resolve rental disputes.
Memorandum of Understanding (MoU)
A Memorandum of Understanding (MoU) is an agreement between the buyer and seller in a real estate transaction. It sets the basic terms before signing the final contract. The MoU outlines all the key details of the deal including price, payment structure and conditions of sale. It also acts as a formal agreement showing the buyer’s and seller’s willingness to proceed with the transaction.
Oqood
The DLD online service, Oqood, is used to automate, register and manage off-plan properties. It allows developers and investors to document and manage property sales before the project is completed and maintain transparency.
Musataha
Musataha is a real-estate contract that allows a person or entity to lease someone else’s land and develop a property on it for up to 50 years. The developer’s right on the property ends once the lease expires.
Real Estate Terminologies for Commercial and Residential
These commonly used terms define types of ownership and agreements in the Dubai real estate sector.
Freehold

A freehold zone refers to designated areas where foreign investors can own property. In a freehold property, the buyer owns both the property and the land it’s built on, allowing for full ownership rights until they decide to sell it to someone else.
Leasehold
Leasehold property ownership gives the buyer rights to the property for a set period of time but land ownership does not transfer. Usually, the leasehold term in Dubai is 99 years. This term can also be extended. However, once the lease expires, ownership goes back to the original owner.
BUA
Built-up Area (BUA) refers to the total covered area of a building, including balconies and interior walls. It is the gross floor space. It is important when calculating the total living space in a property.
Saleable Area
Saleable area refers to the space of a property that can be sold or leased. It does not include common areas such as hallways, staircases and foyers.
Mortgage Term
The mortgage term refers to the period over which the loan must be repaid.
SPA
A Sales and Purchase Agreement is a legal contract between the buyer and the seller that includes all terms of a property sale. A lawyer drafts the agreement to protect the interests of the seller; however, the buyer is allowed to negotiate the terms of the contract. The agreement becomes binding once both parties sign the contract.
POA
Power of Attorney gives a person the right to legally act on someone else’s behalf in their absence. In real estate, a buyer or seller might give their representative a POA to handle transactions if they cannot be present.
Title Deed
A title deed is an official document issued by the DLD that provides proof of ownership of a property. This document is required for any transfer of property ownership.
Form ‘A’ & ‘B’
These are the two RERA forms in Dubai.
Form ‘A’
This form refers to a standard agreement between a seller and a real estate agent authorising the agent to sell the property.
Form ‘B’
A form ‘B’ refers to a standard agreement between a buyer and a real estate agent proving that the agent is authorised to represent the buyer in a real estate transaction.
Escrow Account
An escrow account is a secure account where funds are held for property transactions until the project reaches a specific stage.
Post-Handover Payment Plan
It is a payment method where the buyer pays part of the property price after receiving ownership.
Snags
Minor issues or defects found in a property before the final handover to the buyer are known as snags.
Gated Community
A gated community is a residential area with controlled access, offering additional security and privacy.
Off-Plan Property
A property that is sold before it is completed with flexible payment plans available.
Completion Bond
A completion bond is a financial guarantee provided by the developers to ensure a project is completed on time. In case of delay or other other issues, buyers receive compensation.
FAQs
What is the difference between freehold and leasehold?
A freehold property gives the buyer full ownership of the land and property. However, a leasehold property gives rights only to the property for a set period of time.
Why do I need to register my rental contract with Ejari?
Registering a rental contract with Ejari ensures that all legal rights of the tenants and the landlords are protected. It also provides a clear record in case of disputes.
This was the glossary of real estate terms in Dubai that all buyers, sellers and renters must be familiar with to make the property transactions easier. This knowledge will also help individuals navigate the Dubai real estate market.
Whether you are buying your first home or looking to expand your investment portfolio, Dubai is a great place to start. Browse through properties for sale in Dubai to get your hands on luxury villas, townhouses and apartments.
Stay tuned to dubizzle’s real estate blog for more tips and tricks to help make real estate transactions easier.