Dubai Property: The legislation of the United Arab Emirates strictly monitors the real property sector. The country has certain structures that monitor the quality of implementation and compliance with standards, and each of the emirates has its own procedure and rules. The official website of Ax Capital tried to figure out what the law on property for sale off-plan in Dubai UAE says if the developer delays delivery.
Refunds for rescheduling
The demand for construction projects in Dubai is growing rapidly. However, not all houses are brought to operation on time. These months can be critical for an investor: some invest money with the expectation of movement and prepare for the date specified in the contract, others lose money, since they initially purchased real property for rent. Is it possible to demand a penalty or paying back of the money invested in this case?
The legislation permits to reschedule the delivery date up to 12 months. Such a delay will not be considered a breach of contract.
Now, especially, many developers can refer to the impact of pandemic restrictions, which could really become force majeure circumstances that entailed the postponement.
Judicial practice
If the period of 12 months is exceeded, then it will be difficult to terminate the purchase-and-sale contract and return your own funds. For example, when the proceedings begin many developers insist that construction is in progress, although it is clear from the outside that this is not the case. There was the precedents: developers posted activity data on the website of the Land Department, postponing the moment of delivery for some reason.
Steps to start a business in Dubai
It turns out that the only solution is judicial recourse, but even here it is necessary to be ready for the fact that there is no guarantee of winning an action. If the department sees in fact that the site continues to be under construction, you will lose by spending time and money on the process. Of course, you can still terminate the contract if not all of the developer’s obligations are fulfilled in accordance with it. However, it is necessary to read exactly what conditions are contained specifically in your document for this aim.
Buyer protection
However, Dubai investors are already protected by accounts on which all invested funds are held until the developer reaches a certain stage of construction. Therefore, there is no need to worry, but it is definitely worth contacting reliable construction development companies.
Assistance in purchase of a housing in the UAE
If you want to have one hundred percent confidence that when you buy a new-built in Dubai you will not receive a housing with a delay, we recommend you to contact reliable developers. The best way to find them is through an agency: Ax Capital will help you with this. The company has considerable experience in the real property selection and is well aware of the Arab developers’ image, so it will easily find a reliable option for you at the best price.
Start searching for housing in comfort – with Ax Capital!