What the numbers mean
The convention is simple: the first number is the share paid during construction, the second is the share paid at or after handover. It is market shorthand, not a regulated standard, so the exact schedule is whatever the sales and purchase agreement says — read the schedule, not the brochure.
Scroll the table sideways to see all columns.
| Structure | During construction | At or after handover | What to consider |
|---|---|---|---|
| 80/20 or 70/30 | 70–80% | 20–30% at handover | Higher payments before completion; compare any discount offered. |
| 60/40 | 60%, including the booking amount if specified | 40% at handover | Plan how the handover balance will be funded. |
| 50/50 or 40/60 | 40–50% | 50–60% at or after handover | Check exact due dates and whether any balance is deferred. |
| Post-handover | According to the contract | Remaining instalments after handover | Term, fees and financing costs vary. |
| 1% monthly | Often around 1% of the price each month | A final or handover balance may remain | Check the full schedule and any balloon payment. |
Escrow is the protection that matters
Under Dubai Law No. 8 of 2007, developers selling off-plan must use a separate project escrow account with an approved trustee. The account is intended for the project and is subject to oversight. Verify the project registration, account details and payment instructions with the Dubai Land Department before paying.
Two practical consequences. First, pay only into the project escrow account named in the sale agreement — never into a personal or agency account, however persuasive the story. Second, the registration system (Oqood) is where your purchase is recorded before title exists; if a project is not registered, it cannot legally be sold off-plan and you should stop there.
The DLD states that 5% of the total amount paid into the escrow account is retained for one year after project completion as a safeguard against defects. This is not a personal warranty or a guarantee of a full refund; confirm how the rules apply to your purchase.
Milestone-linked versus calendar-linked schedules
Some developers tie payments to construction progress; others bill against the calendar. A milestone schedule may align payments with progress, but definitions, verification and remedies matter. Have an independent adviser review the actual agreement.
What can go wrong
- Delay. Escrow is one protection, but it does not guarantee a handover date or a return. Check the agreement’s delay clause and the developer’s previous handovers.
- The financing gap. A 60/40 plan means the balance falls due at the stated time; you must fund it or arrange financing. Penalties may apply under the agreement if funding is delayed.
- Resale before completion. Agreements may restrict resale or require consent, a minimum paid amount or a transfer fee. Check the specific terms.
- Service charges after handover. Confirm when charges start and how they are calculated, including if the property is vacant.
Before you sign
- Read the full payment schedule and mark every date and amount.
- Confirm the escrow account number against the registered project record.
- Check the delay clause, the spec list and what is excluded from it.
- Confirm in writing what the developer covers — DLD fee, Oqood registration, service charge for the first year.
- Confirm in writing how the registration fee and other charges are allocated between the parties.
Our project guides show source-reported prices, unit types and dates where available. Confirm them against current developer documents and the signed agreement.