Service charges: 4 questions to ask before buying
Service charges are a permanent cost of owning in a Dubai community. Before you buy, ask four questions: how much, what it covers, whether anything is unpaid, and what major works are coming.
- How much, and how has it changed?Ask for the current rate per square foot and the last statements. Compare with the official service-charge figures for the community.
- What does it cover?Security, landscaping, pools, maintenance and reserve fund. Two similar rates can buy very different services.
- Is anything unpaid on this villa?Arrears must be cleared before transfer. Make clearing them the seller's obligation in the sale agreement.
- What major works are coming?Ask about planned repairs and the reserve fund, so a large bill does not arrive after you buy.
How much cash do you need to buy?
Open the calculatorFrequently asked questions
Are service charges part of the cash I need?
They are a running cost, not a purchase fee, but budget the first year when you plan your cash.
Do service charges affect rental yield?
Yes. Net yield is rent minus service charges and other costs, so high charges lower it directly.
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