Property gifting or donation of a property (also known as “Hiba” in Arabic) is a voluntary transfer of a real estate to your family member(s) or to your company, without consideration. Government fees are significantly less for property gifting to family members than the fees applied for the sale transfer. For instance, the Dubai Land Department transfer fee for property gifting is 0.125% as opposed to 4% that is applicable in a property sale-purchase transfer.
Under current regulations, you can gift your property to your first-degree family that includes children, parents and spouses. Moreover, a property can be transferred as a gift from an individual to his or her company (or vice versa).
Although on the surface property gifting process may look like a simple task, in reality, it is a complex process that involves numerous steps to follow.
We specialize in property gifting services and offer professional assistance for:
- Gifting Property to Children
- Gifting Property to Parents
- Gifting Property Between Husband and Wife
- Gifting Property to Company (or vice versa)
Our property gift transfer services include:
- Dealing with and getting all necessary approvals from authorities;
- Applying for all prerequisite documents such as Affections Plans, Value Estimation Certificates, Site Plans, etc.;
- Facilitating payments of various fees, e.g. to the land department, facilities management, developer;
- Ensuring that all taxes, fees and costs are correctly calculated;
- Attestation of relevant documents to establish a kinship between the donor and the receiver;
- Getting all necessary no objection certificates from developers and facilities management companies;
- Transferring utilities (water, electricity, gas and air cooling);
- Representation before the Land Department at final transfer of ownership;
- Obtaining a new title deed after the gift transfer;
Thus gifting property to family members involves complex tasks and could take up a month time to complete it.
So, in the event that you (as a donor and/or a beneficiary) are not aware of the process of property gifting or not able to attend the necessary formalities personally, you can always appoint our firm as your representatives, who would handle the whole process on your behalf.