How to Deal With Property Handover Delays in Dubai

Dubai's real estate market is a popular destination for investors due to the potential for high appreciation of off-plan properties. However, the risk of project cancellations can be a concern for buyers. To mitigate this risk, the Dubai government has established a comprehensive legal framework and competent authorities to protect the rights of buyers. In this article, we will discuss the measures put in place by the Dubai government to protect buyers, the steps that buyers can take to minimize the risk of project cancellations, and the steps to be taken in case of a project cancellation.

The issue of delayed handovers of properties is a common and frustrating problem for many property owners in the UAE. When paying for a property that is promised to be delivered by a certain date, a delay can cause significant stress and financial hardship. In this article, we will discuss the options available to property owners in cases of delayed handovers, including compensation and legal rights.

What is the permissible buffer for developers in case of a delayed handover?

In the UAE, developers are allowed a permissible buffer of up to 12 months for project delays. This means that the completion date can be extended by 12 months, as stated in the sales and purchase agreement. However, it is important to note that this is only a permissible buffer and not a guarantee.

What are the options if the developer fails to meet the expected handover date?

If a handover is delayed, property owners have the following options:

Communicate with the developer: Reach out to the developer to discuss compensation or any other issues that may arise due to the delay.

File a case in court: If you are not satisfied with the compensation offered by the developer or if no compensation is offered, you can file a hire a real estate lawyer in Dubai and file a case.

What are your legal rights in case of a delayed handover?

As a property owner, you have the right to receive the property on the date specified in the sales and purchase agreement. In the event of a delayed handover, the developer is obligated to compensate you for any damages or losses incurred. The amount of compensation will depend on the terms and conditions of the agreement and the specific circumstances of the case.

What compensation can you receive from the developer in case of a delayed handover?

The compensation offered by the developer for a delayed handover will vary depending on the terms and conditions of the agreement and the circumstances of the case. Some developers may offer a discount on the property price, while others may offer to pay rent until the property is ready for handover.

What is the best way forward in case of a delayed handover?

In the case of a delayed handover, the best course of action is to communicate with the developer to reach an agreement on compensation. If this is not possible, you can file a lawsuit. However, it is important to understand the terms and conditions of the agreement and be aware that legal action can be challenging and time-consuming, with no guaranteed outcome.

In conclusion, delayed handovers of properties can be a frustrating experience for property owners. However, by understanding your legal rights and options, you can ensure that you receive the compensation you are entitled to and protect your rights. Communication with the developer and a clear understanding of the terms and conditions of the agreement are crucial before taking any legal action.