Off-Plan Payment Plans in Dubai: 60/40, 70/30 Explained

Ahmed IbrahimChief Executive Officer and Partner, Nasama Properties · 2 November 2026 · 9 min read

Short answer: An off-plan payment plan in Dubai splits the price into instalments paid while the building goes up and a final share paid at or after handover. A 60/40 plan means 60% during construction and 40% on completion; 70/30 means 70% and 30%. Post-handover plans spread part of the price over the years after you get the keys. The split changes how much cash you need each year, and it usually affects the price you pay.

Off-plan payment plans Dubai developers publish look simple on a brochure: two numbers and a slash. Behind them sit the details that decide whether a project fits your cash flow: when each instalment falls due, what you pay on day one, and what the developer gives up to offer a slower plan. This guide explains the plans, with a worked example, so you can compare two projects like for like.

What the split means

Every plan divides the price between two periods.

• During construction. A booking deposit, then instalments tied to dates or to construction stages.
• On handover. The remaining share. In a post-handover plan, part of it is spread over the years after the keys.

What you pay at the start

Three costs usually fall in the first weeks:

1. Booking deposit. Set by the developer, commonly in the 5% to 20% range. It is the first instalment of the plan, not an extra.
2. Dubai Land Department (DLD) fee. 4% of the purchase price. Some developers advertise a "DLD waiver" and pay it for you; it does not appear in the SPA, so get it in writing on the offer or booking form.
3. Oqood registration. Oqood is the DLD system that records off-plan sales in the buyer's name before a title deed exists. There is an administration charge.

Ask for all three in writing, with amounts, before you pay anything.

Construction-linked versus time-linked instalments

This distinction matters more than the headline split.

Construction-linked plans tie each instalment to a milestone: 10% at foundation, 10% at 20% structure, and so on. If construction slows, your payments slow with it. Milestones should be certified and reflected in the RERA project status.

Time-linked plans set payments on fixed dates, for example 10% every six months. Easier to budget for, but if the project is late you may have paid most of the price before the building is ready.

The sales and purchase agreement (SPA) will say which.

60/40, 70/30 and 80/20 examples

Common formats; every project sets its own schedule.

• 80/20. 80% during construction, 20% on handover. Fast. Often paired with a sharper price because the developer gets its cash early.
• 70/30. 70% during construction, 30% on handover. One of the most common formats.
• 60/40. 60% during construction, 40% on handover. Slower. The 40% is often where buyers switch to a mortgage.

The second number is the one to plan for. On a 60/40 plan, 40% of the price is due in a single window around handover. That is the largest cheque in the plan.

Post-handover payment plans

A post-handover payment plan Dubai developers offer lets you pay a share of the price after you receive the keys. Typical examples, not rules:

• 60/40 with the 40% paid over 2 years after handover
• 50/50 with the second half paid over 3 to 5 years
• 70/30 with the 30% paid quarterly for 2 years

You can live in the unit, or rent it out, while still paying for it. Two things to check:

1. Title deed timing. In many post-handover plans the title deed transfers only after the final payment.
2. Resale during the period. You may need the developer's consent and to settle the balance first.

The 1% monthly plan as a marketing format

A "1% monthly payment plan Dubai" headline usually means a 1% instalment each month during construction, after a larger deposit and before a lump sum on handover. It is a time-linked plan presented differently. One percent a month is 12% a year; on a 3-year build that is 36% during construction, plus the deposit, with the rest on or after completion.

It is not a different kind of plan. Convert it to a split and a yearly cash figure before comparing it with a 60/40 or 70/30 offer.

How a plan changes the cash you need per year

Example only. Assume a price of AED 1,000,000, a 3-year build, and no fees included.

The fast plan needs the most cash early. The 60/40 plan looks gentle until handover, then asks for more than half the price in one year. The post-handover plan spreads the load, but the biggest share falls after you hold the keys, when service charges also start.

Add the DLD fee, Oqood charge and any agency fee to the first row. That is the real Year 1 number.

The trade-offs

A payment plan is credit from the developer. Credit has a cost, even when no interest appears on the brochure.

• Slower plans often mean a higher price or fewer discounts. The developer funds more of the build and recovers that cost in the price.
• Faster plans can mean a better price. Developers often reward buyers who pay more up front.
• Post-handover plans can mean a smaller choice of units.

Compare the total price, not just the schedule. If one of two similar units has a slower plan, ask what its price would be on the faster plan. The difference is what the extra time costs you.

What happens if you miss an instalment

Your SPA sets out the consequences, and developers must follow RERA rules on late payment, notice periods and termination. The process usually involves a formal notice, a period to cure the default and, if unresolved, termination with the developer retaining a share of the amount paid according to the stage of construction. Read the default clauses before you sign.

Assignment or resale before handover

Many buyers sell before completion by assigning the SPA and the Oqood registration to a new buyer. Check three things:

• Developer consent. Most developers require a no-objection certificate (NOC) and charge a fee for it.
• Minimum paid-up share. Many developers block resale until a set percentage of the price has been paid.
• DLD fees on transfer. The new buyer registers the purchase again, with its own fee.

If early resale is part of your plan, confirm the rules in writing first.

Mortgages on off-plan

UAE banks lend on off-plan property, but on tighter terms than on ready homes. Loan-to-value limits are lower, funds are usually released at handover or against milestones, and the project must be on the bank's approved list. Non-residents face stricter criteria. Many buyers pay the construction instalments in cash and finance the handover share. If that is your plan, get a pre-approval before you book.

How to compare two plans like for like

Put both plans on one page and check:

1. Total price, including and excluding fees.
2. Split, with any 1% monthly format converted to percentages during and after construction.
3. Year-by-year cash, with fees added to Year 1.
4. Trigger type: construction-linked or time-linked.
5. Handover window, and what the SPA says if it slips.
6. Post-handover terms: title deed timing, resale restrictions, renting out.
7. Exit costs: NOC fee, minimum paid-up share, DLD fee on transfer.
8. Mortgage path: is the project on your bank's list?

The finder at /offplan/ shows each project's plan split, and the area pages carry a "Plan" column so you can scan a district at once.

Frequently asked questions

What does a 60/40 payment plan mean in Dubai?

It means 60% of the price is paid in instalments during construction and 40% on handover. Some 60/40 plans spread the 40% after handover. Check the SPA for exact dates and whether payments are tied to construction milestones.

Is a post-handover payment plan a good idea?

It can be, if you want to spread cash over several years while living in or renting out the unit. The trade-off is often a higher price, and the title deed may transfer only after the final payment. Compare the total price against the same unit on a faster plan.

What fees do I pay when booking off-plan in Dubai?

Typically a booking deposit, the 4% DLD registration fee and the Oqood administration charge. Some developers cover the DLD fee as a promotion. Get every fee in writing before you pay the deposit.

Can I get a mortgage on an off-plan property in Dubai?

Yes, but on tighter terms than for a ready home. Loan-to-value limits are lower, the project must be on the bank's approved list, and funds are usually released at handover or against milestones. Most buyers finance only the handover share.

Can I sell my off-plan unit before handover?

Usually yes, by assigning the sales contract. Most developers require a minimum paid-up share and an NOC, for which they charge a fee. The new buyer pays their own DLD registration fee.

Next step

Send us the projects you are weighing and we will put their payment plans, fees and mortgage options side by side before you book. Message us on WhatsApp at +971 50 275 7603 or use the contact form. The consultation is free.