Should developer register off-plan property in purchaser's name?
Question: A year ago, I purchased a property from a developer and paid 40 per cent of the property price. But it turned out the developer did not register the property with the Real Estate Regulatory Department in my name. I asked the developer to register the property in my name, but the developer said, according to his agreement with the Real Estate Regulatory Department, the property will be registered in the name of all buyers after the completion of the project. Is this correct? Do I have the right, according to Dubai real estate law, to cancel the purchase agreement because the property has not been registered in my name. Can I recover the money I paid to the developer?
Answer: As per the law, the developer must register the off-plan property in the name of the purchaser in the initial property register once it is sold.
This initial registration is a must as per Article (3) of Law no. (13) of 2008 Regulating Initial Property Registration in Dubai.
It states that all actions on off-plan property units shall be registered in the initial property register. Sale and all other legal actions that transfer or restrict ownership and any right based thereon shall be deemed null and void unless registered.