What a property gift means in Dubai
A gift, known locally as a Hiba, hands a home or unit to someone else without any price changing hands. The owner who gives it is called the donor and the recipient is the beneficiary, and the gift only takes legal effect once the Dubai Land Department registers it and issues a new title deed. Many owners use it as a succession tool, because property left without a registered will can pass through a long court process and be divided by default rules rather than by your wishes. Keep in mind that a registered gift is final and cannot later be taken back.
Who can receive a gift
You can hand property to anyone informally, but the DLD only treats a transfer as a gift, with its reduced fee, when the parties have a qualifying relationship. Anyone outside this list, including brothers, sisters, grandchildren, stepchildren and other relatives, would normally go through a standard sale transfer instead.
- Your husband or wife
- Your parents
- Your children, including minors, who can receive through a parent acting for them
- A company you own outright, in either direction, and in some cases the first-degree relatives of its sole owner
Check that your property qualifies
Several restrictions can stop a gift before it starts, so confirm each one with the relevant party early. Rules for off-plan units have varied over time, so ask the developer and the DLD about your unit before you plan around a gift.
- Ready property with a clear title deed is the simplest case
- A mortgaged home needs the bank’s approval, which usually means repaying the loan or moving it to a beneficiary who meets the bank’s lending criteria
- A property can only be gifted once, and later transfers are treated as sales
- If the unit supports an investor Golden Visa, that visa and its dependants must be cancelled first
- The developer must be willing to issue a no-objection certificate
Documents to prepare
Proof of relationship is where most delays happen. A marriage or birth certificate issued outside the UAE has to be legalized in the issuing country, attested by the UAE embassy there and by the UAE Ministry of Foreign Affairs, and legally translated into Arabic, so start on it first.
- The title deed, or the Oqood certificate where relevant
- Passport and Emirates ID copies for both donor and beneficiary
- A birth certificate for a parent and child, or a marriage certificate for spouses
- Company documents such as the trade licence and memorandum of association for a company gift
- A DLD valuation certificate
- The developer’s NOC and, if relevant, the bank’s clearance
- A notarized POA for any party who will not attend
How the transfer works
Gift transfers are handled at a DLD trustee office rather than by the parties alone. The appointment itself is short once everything is ready, but the full journey often takes several weeks because of document attestation and developer paperwork.
- Settle any service charges and ask the developer for the NOC
- Obtain the valuation, either through the DLD’s online service for flats and villas or at a trustee centre for land
- Book the trustee office, submit the file and have it checked
- Pay the fees and sign, in person or through your representatives
- Receive the new title deed in the beneficiary’s name
What a gift costs
The main saving is the DLD registration fee: for a qualifying gift it is a small percentage of the assessed value, far below the fee charged on a sale. On top of that you should budget for the trustee office charge, title deed and site plan fees, and smaller government service charges. Translation, attestation and POA notarization are separate costs, and since official fees are revised from time to time, check the current schedule before you submit.
The POA you need if you cannot attend
Both parties are normally expected at the trustee office, so a POA lets a trusted person sign for whichever side is abroad or unavailable. A general POA should not be assumed to cover a gift, and a special POA written for this one transaction is the safer route. It can usually be notarized remotely, for residents and non-residents alike, and a parent can grant one both to give a property and to receive it on behalf of a minor child.
- Identify the property exactly as it appears on the title deed
- Name the representative who will act for you
- State clearly that they may complete the gift transfer
- Have it properly notarized before the appointment
How we can help
We can prepare a special property gift POA worded for your transfer and arrange its notarization, including remotely if you live overseas. If you are unsure which documents your case needs, we are glad to talk it through.