Form F is the unified real estate contract between the seller and buyer issued by the Dubai Land Department (DLD), and since 1 May 2014, it has been mandatory for property sale and purchase transactions in Dubai. In the secondary market, this Form F real estate contract in Dubai serves as the primary sale and purchase agreement—often called the “MOU” in day‑to‑day practice—and sits at the centre of the transaction framework designed by DLD to standardise documentation and reduce disputes.
For most secondary market deals, signing Form F coincides with payment of a 10% property deposit in the Dubai secondary market, usually via manager’s cheque. This article explains what Form F is, when an offer becomes binding, how the 10% (or agreed) deposit is paid, who typically holds it, how it is treated at transfer, and how it interacts with DLD fees, mortgage cheques and off‑plan registration timelines. EGSH helps clients understand and navigate the government‑related steps in this process so they can complete transactions correctly through the competent authorities. This material is general information only; parties with complex or high‑value cases should consider obtaining independent legal advice on their specific situation.
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What Is Form F in Dubai Property Transactions?
Form F in Dubai is the standardised contract between buyer and seller used in DLD‑regulated property transactions. It is part of a set of unified real estate contracts introduced by the Dubai Land Department, consisting of Form A (between the seller and the broker), Form B (between the buyer and the broker), and Form F (between the seller and the buyer). According to Dubai Land Department announcements, the use of these unified contracts for property sale and purchase has been mandatory since 1 May 2014, to standardise documentation, regulate relationships and enhance transparency in the market.
Within Dubai’s real estate framework, the DLD does not leave the drafting of core buyer–seller contracts entirely to private templates. Form F is issued and managed through DLD-approved electronic systems, which helps reduce misinterpretation and supports traceability if a dispute later arises.
RERA-licensed real estate brokers access these systems to prepare and generate Form F electronically as part of the regulated transaction process. This ensures that mandatory sections and required fields are completed in a consistent format and properly recorded. The system-based approach also helps align Form F with subsequent DLD procedures, including registration through Real Estate Registration Trustee centres and the use of approved digital government services.
Unified Contracts, One Framework
Form A, Form B, and Form F work together as a single contractual framework around a transaction. Form A records the relationship between the seller and the broker, defining the listing terms and the broker’s commission. Form B defines the engagement between the buyer and the broker, typically covering search, viewing, and offer submission. Once the buyer and seller agree on commercial terms through their brokers, Form F becomes the central buyer–seller contract in this unified system, recording the property details, price, deposit, payment schedule, and completion conditions that govern the transaction.
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Form F as the Binding MOU Between Buyer and Seller
Form F functions in practice as the binding sale and purchase agreement between buyer and seller. Many market participants still refer to it as the “MOU for property purchase in Dubai,” but, in legal and procedural terms, it is the DLD‑issued unified contract that records the parties’ agreement and underpins the transfer at DLD or a Registration Trustee office. Once both parties sign Form F through the relevant DLD process, their previously informal or email‑based offer is crystallised into a structured contract.
Form F records the core commercial and procedural terms of the deal. These typically include identification of the property (such as unit number, project name and area), the agreed purchase price, the 10% (or other agreed) deposit, any staged payment schedule, and the completion or transfer date. It also records the obligations of the buyer and seller—such as obtaining a No Objection Certificate (NOC), settling service‑charge arrears, or handing over vacant possession—and default or termination provisions.
Signing Form F is usually the point at which an accepted offer becomes a binding contract, subject to any conditions clearly set out in the form, such as obtaining mortgage approval or receiving specific developer or lender consents.
Key Clauses That Interact With the Deposit
Form F commonly includes specific clauses dealing with the deposit and its fate if the transaction does not proceed to transfer. These may describe what happens if the buyer defaults—for example, a clause that may allow the seller to retain the deposit in certain circumstances—or what happens if the seller defaults, such as obliging the seller to return the deposit and possibly pay compensation. The exact effect of these provisions depends on the wording used, any additional agreed terms, and how they operate under applicable UAE law and any dispute‑resolution mechanism specified in the contract.
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The 10% Deposit at Form F Stage: Purpose and Amount
In Dubai’s secondary-market property transactions, a 10% deposit for Dubai property arrangements at the Form F stage is common market practice, but it is not set by statute. The percentage is negotiable and is defined in the contract. Many transactions settle around 10% of the agreed purchase price, but in some cases, especially for very high‑value or time‑sensitive deals, the parties may agree on a higher or lower proportion depending on risk appetite and negotiation leverage.
The property deposit in the Dubai secondary market is not an additional cost; it forms part of the total purchase price. When the parties attend DLD or a Real Estate Registration Trustee centre to complete the transfer, the amount paid as deposit is deducted from the amount the buyer must pay on the day, and the remaining balance is settled via manager’s cheques prepared for the seller, the bank or developer (if any mortgage exists), and DLD fees. The deposit therefore functions as an advance instalment on the purchase price rather than a separate fee.
This deposit should be clearly distinguished from DLD statutory fees, such as the 4% property transfer fee calculated on the sale value in a typical direct sale. In standard practice, this 4% fee is paid by the buyer, unless the sale contract expressly provides for a different allocation between the parties. In addition to the transfer fee, fixed charges, such as title deed issuance, map fees, and knowledge and innovation fees, apply and are payable to DLD or through its designated collection channels.
They are not part of the contractual deposit between the parties and are due regardless of the size of the deposit. Mis-budgeting these amounts can lead to disputes at transfer, particularly when a buyer incorrectly assumes that “10% plus 4%” is all that will be needed on the day.
From a risk and commitment perspective, the deposit plays a signalling and protection role. For the seller, it demonstrates the buyer's seriousness and provides a potential buffer if the buyer walks away without lawful justification, subject to the deposit forfeiture clause and other default terms agreed to under Form F. For the buyer, it secures the seller’s commitment to complete on the agreed terms within the agreed timeline, again subject to what the contract says about the seller’s obligations and any compensation if the seller fails to perform.
A simple way to visualise the relationship between price, deposit and other amounts is:
| Component | Typical Payer | Nature | When It Is Paid |
|---|---|---|---|
| 10% (or agreed) Form F deposit | Buyer | Part of purchase price | On signing Form F |
| Remaining 90% (or agreed balance) | Buyer | Rest of purchase price | On transfer at DLD/Registration Trustee |
| DLD transfer fee (4% of sale value) | Usually split 2% buyer / 2% seller | Official registration fee to DLD | On transfer at DLD/Registration Trustee |
| Mortgage registration fee (0.25% of mortgage value, where applicable) | Buyer | Official mortgage registration fee | When registering initial mortgage with DLD |
How and Where the Form F Deposit Is Paid and Held
Under prevailing practice in Dubai, the Form F deposit is usually paid by a manager’s cheque rather than a personal cheque or cash. A manager’s cheque (often called a cashier’s cheque) is issued by a bank with its own guarantee, giving both parties greater confidence that the funds are good when presented. This method aligns with practices at DLD Registration Trustee centres, which are accustomed to handling managers’ cheques for settlement of property transactions.
In many transactions, the deposit manager’s cheque is made payable to the seller but is physically held by the broker, the Registration Trustee, or another agreed and documented holding arrangement until the transfer is completed or the contract is cancelled in accordance with its terms. The holding party does not normally have independent discretion; instead, they act in accordance with the instructions and conditions set out in Form F or in a related written agreement regarding when and how the cheque may be released. This helps reduce the risk that one party accesses the funds before the agreed point in the process.
Form F can include detailed provisions on how the deposit is to be handled in the event of default, termination, or cancellation. These may include, for example, that if the buyer fails to complete the purchase without a contractual justification, the seller may be entitled to request the release and forfeiture of the deposit, subject to applicable UAE law.
Conversely, if the seller defaults—for instance, by refusing to transfer after the buyer has fulfilled all conditions—the seller may be required to authorise the return of the deposit to the buyer and, in some formulations, pay additional compensation. The specific outcome in any case depends on the signed contract and how the dispute is resolved.
Dubai’s “Buy or Sell Property via Dubai Now” digital service provides an online route for some property transactions, where parties can generate and sign contracts using UAE Pass. According to DLD’s description of this service, either party may cancel the process unilaterally at any stage before signing the contract digitally. Only once the contract is signed through UAE Pass do the parties become bound, and any deposit or other amounts are then governed by the terms of that signed contract, just as in an in‑person Form F signing.
Manager’s Cheque and Safeguarding the Deposit
Using a manager’s cheque reduces the risk of a cheque bouncing, which can be a concern with personal cheques in high‑value real estate transactions. To further safeguard the deposit, the buyer and seller should agree in writing who will hold the cheque, how it will be stored (for example, in the Registration Trustee’s file), and under what conditions it may be released. These conditions should align with the deposit and default provisions in Form F, so that the party holding the cheque has clear, objective triggers for release or return.
Digital Journeys and Contract Control
For transactions handled through Dubai Now, the same principles apply in a digital environment. There is no binding buyer‑seller contract, and therefore no contract‑governed deposit consequence, until both parties sign electronically via UAE Pass. Before that point, either party can cancel the process in the system without needing the other’s approval. Once signed, however, the deposit, payment schedule, and default clauses embedded in the digital contract govern the parties’ rights, just as the paper‑based Form F does in traditional transactions.
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From Signing Form F to Transfer: Fees, Cheques and Timelines
Once Form F has been signed and the deposit paid, the transaction moves into the execution phase. For a completed (ready) property, the parties typically work through conditions such as obtaining mortgage approval, securing a developer’s No Objection Certificate, and settling any existing liabilities on the property (for example, unpaid service charges or outstanding developer instalments). Only when these conditions are met can they proceed to DLD or a Real Estate Registration Trustee centre to complete the transfer, pay the remaining purchase price and settle DLD registration fees.
For a straightforward, direct sale without a complicating mortgage at transfer, DLD’s standard charge is a 4% transfer fee on the sale value. In practice, this 4% is often split 2% for the buyer and 2% for the seller, although parties may negotiate this split in their contract. In addition, the parties must pay fixed title deed issuance fees and DLD’s knowledge and innovation fees, which are relatively small amounts compared to the sale price but must still be budgeted for and paid at the transfer appointment.
Where the transfer is associated with an initial mortgage—such as when the buyer’s bank registers a new mortgage on the property—DLD maintains the same 4% transfer‑fee structure and adds a mortgage registration fee. This fee is 0.25% of the mortgage value, plus related administrative charges, and is typically borne by the buyer as the mortgage borrower. These payments are separate from, and in addition to, the deposit already paid under Form F.
In the case of registering the sale of a mortgaged property, DLD procedures require several manager’s cheques to settle different liabilities. DLD’s guidance on the sale of a mortgaged property states that three manager’s cheques are required: one to the bank or developer for the outstanding debt amount, one to the seller for any remaining net proceeds, and one to DLD for the 4% transfer fees. These are distinct from the Form F deposit, which was paid earlier in the process and is factored into the calculation of how much the buyer must pay on the transfer date.
For off-plan (initial sale) transactions, the process is different but remains closely linked to the executed sale agreement. The DLD requires that the signed Sale and Purchase Agreement (SPA) be registered in the Oqood within 60 days of signing, unless an extension is formally granted under the developer’s approved procedures. This timeline makes post-signing steps time-sensitive. Buyers and developers must coordinate the deposit payment, any contractual instalments, and provisional registration promptly to ensure the transaction remains compliant with DLD requirements.
Standard Transfer Path for Completed Properties
For a typical completed property, the practical sequence usually looks like this: the buyer and seller negotiate terms, then the buyer signs Form F and pays the deposit. Next, they satisfy contract conditions such as mortgage sanction and the issuance of the developer’s NOC. Once ready, they book an appointment at DLD or with a DLD‑accredited Registration Trustee, prepare manager’s cheques for the remaining purchase price (after deducting the deposit) and for the DLD transfer fee, attend the appointment to sign the transfer documents, and, after DLD processes the transaction, obtain the new title deed in the buyer’s name.
Mortgaged and Off‑Plan Sales: Additional Attention Points
Mortgaged and off‑plan sales require extra attention because they involve additional cheques, fees and legally imposed time limits. For mortgaged properties, the parties must ensure that the bank’s settlement cheque, the seller’s balance cheque and the 4% DLD cheque are all correctly prepared and aligned with the outstanding loan and sale price, separate from any Form F deposit already exchanged. For off‑plan transactions, developers and buyers must monitor the 90‑day deadline for registering the initial sale with DLD’s provisional register, as missing this window can create compliance issues and may affect the enforceability of the underlying buyer–seller contract.
Practical Checklist for Buyers and Sellers at the Deposit Stage
Before signing a buyer–seller contract in a Dubai property transaction via Form F and handing over a manager’s cheque for the deposit, both parties benefit from running through a clear, practical checklist. The following points help structure that review:
- Verify the origin of Form F. Confirm that Form F has been generated by a broker registered with DLD through DLD’s systems, and that the property details—unit number, project name, size and location—match official records and the title deed or Oqood for off‑plan units.
- Check price, deposit and schedule. Ensure that the purchase price, the deposit amount (for example, a 10% deposit on a Dubai property), and any staged payment schedule are all clearly stated, including explicit wording that the deposit forms part of the purchase price and how it will be applied at transfer.
- Review default, termination and deposit clauses carefully. Read the sections describing what happens if either party fails to complete in full detail, paying particular attention to whether and when the deposit may be forfeited or must be returned. If there is any uncertainty or unusual wording, consider obtaining independent legal advice before signing.
- Agree on who holds the manager’s cheque and the terms under which it is held. Decide in writing whether the deposit manager’s cheque will be held by the broker, a DLD Registration Trustee, or another agreed mechanism, and specify the documented conditions for release. This reduces the scope for disagreement about who controls the cheque and when it can be presented.
- Distinguish contractual sums from official fees. Make a clear list separating contractual obligations between buyer and seller (purchase price, deposit and any agreed adjustments) from payments due to DLD and other authorities, such as the 4% DLD transfer fee, the 0.25% mortgage registration fee for initial mortgages, and fixed title deed and ancillary fees.
- Align timelines with DLD processes. Check that the completion or transfer date in Form F allows sufficient time to obtain mortgage approval, developer NOCs and any other required consents, and for off‑plan sales, to register the initial sale within DLD’s 90‑day provisional register deadline.
- Use support services appropriately. EGSH can help you understand which documents and cheques are commonly required at DLD and Registration Trustee offices, how to navigate digital services such as Dubai Now and UAE Pass, and how the overall Dubai real estate transfer process fits around your Form F and deposit commitments.
Managing Your 10% Deposit With Confidence
Form F is the Dubai Land Department’s unified buyer–seller contract and is at the heart of secondary‑market property transactions in the emirate. Once signed—whether on paper through a broker using DLD systems or digitally via UAE Pass in Dubai Now—it usually marks the shift from an informal offer to a binding sale and purchase agreement, with a 10% (or otherwise agreed) deposit paid at the same stage.
That deposit is part of the purchase price and is normally paid by the manager’s cheque, held until transfer or lawful cancellation under the contract, and then deducted from the balance due to complete the purchase. It is separate from DLD’s 4% transfer fee, mortgage registration fee and other official charges, which must also be paid at or around the time of transfer or registration.
By carefully reading Form F, focusing on the deposit, default, and timeline clauses, and using registered brokers, EGSH guidance, and official DLD channels, buyers and sellers can approach the Form F MOU Dubai stage with a clear understanding of their commitments and the steps needed to complete a compliant, well‑structured transaction.
FAQ
What is Form F in Dubai property transactions, and how does it differ from Form A and Form B?
Form F in Dubai property transactions is the unified real estate contract between buyer and seller issued via DLD systems, and it records the agreed price, deposit, obligations and completion terms. Form A governs the relationship between the seller and the broker, while Form B governs the relationship between the buyer and the broker, so only Form F directly binds the buyer and seller to each other in a standardised DLD format.
When do I pay the 10% deposit in a Dubai property purchase using Form F?
In most secondary‑market deals, the buyer pays the 10% deposit at the time of signing Form F, once the parties have agreed on the commercial terms and the broker has generated the contract in DLD’s system. The exact percentage and timing are negotiable and must be specified in the contract, but market practice typically sets the initial commitment at 10% of the agreed purchase price.
How is the Form F deposit held in Dubai, and who keeps the manager’s cheque?
The Form F deposit is typically paid by a manager’s cheque made out to the seller but physically held by the broker or a DLD Registration Trustee until transfer or lawful cancellation under the contract. The parties should record in writing who will hold the cheque and the conditions for its release, so that the holding party can act strictly in line with the agreed Form F terms.
Is the 10% deposit refundable if the seller defaults in Dubai?
If the seller defaults—for example, by refusing to transfer after the buyer has met all contractual conditions—Form F may entitle the buyer to a refund of the deposit and, in some cases, contractual compensation. Whether the 10% deposit is refundable in such a case depends on the exact wording of the Form F default and termination clauses and how they operate under applicable UAE law or any dispute‑resolution forum specified in the contract.
How does Form F work with mortgaged property in Dubai?
When buying or selling a mortgaged property, Form F still sets the price, deposit, obligations and timelines between buyer and seller, but the transfer mechanics at DLD include extra cheques and steps. DLD requires three managers’ cheques for a sale of mortgaged property—one to the bank or developer for the outstanding debt, one to the seller for the remaining proceeds and one to DLD for the 4% transfer fee—while the earlier Form F deposit is taken into account in calculating how much the buyer must pay at transfer.
Are DLD transfer fees separate from the 10% deposit under Form F?
Yes, DLD transfer fees are entirely separate from the deposit under Form F. The 10% (or agreed) deposit is part of the purchase price between the parties, whereas the DLD property transfer fee of 4% is an official charge on the sale value, usually split 2% by the buyer and 2% by the seller, plus fixed deed and ancillary fees, all payable directly to DLD or through its authorised collection channels.
How is an off‑plan sale registered with DLD after signing the sale agreement?
For an off‑plan (initial) sale, once the sale and purchase contract is signed and any agreed deposit is paid to the developer, DLD requires that the initial sale be registered in the provisional register within 90 days of contract signing. The developer or its authorised representative usually submits the application through DLD’s systems, and buyers should ensure that the agreed deposit and instalment plan align with this statutory registration timeline.
Can I cancel a property transaction started through Dubai Now before signing the contract?
When using the Dubai Now property buying service, either party may cancel the process without the other’s approval at any stage before signing the contract via UAE Pass. After digital signing, the transaction becomes binding, and any cancellation or treatment of the deposit is governed by the contract’s terms, as for a traditional Form F generated and signed through a broker and a Registration Trustee.
Explained by
Muneer Juma Al Balushi
Real Estate Registration Trustee Consultant
Muneer Juma Al Balushi has six years of experience in the real estate registration system of the Dubai Land Department. He specialises in accurate, secure, and legally compliant property registration.
This article is intended to provide general information based on official UAE sources, and does not constitute personalised legal advice. Before acting, applicants should verify the current rules and fees directly with the relevant authority or an authorised service centre.
